The third ruling favorable to online poker in 2009 came down this week, this time in the state of Colorado. In a case that pitted Kevin Raley against the State for operating a poker league, a jury found Raley not guilty of illegal gambling. The Poker Players Alliance (PPA), which boasts 13,000 members in the state, commented on the victorious ruling.
The PPA noted that, under Colorado law, illegal gambling as it pertained to the case is defined as “means risking any money, credit, deposit, or other thing of value for gain contingent in whole or in part upon lot, chance, the operation of a gambling device, or the happening or outcome of an event, including a sporting event, over which the person taking a risk has no control, but does not include bona fide contests of skill.” The outcome hinged on whether poker was a game of skill or a game of chance in Colorado. Professor Robert Hannum, Professor of Statistics at the University of Denver, served an instrumental role in claiming that poker is indeed a game of skill, serving as an expert witness. According to the Coloradoan, the PPA paid for Hannum’s appearance.
Gary Reed, the PPA’s State Director for Colorado, commented in a press release distributed by the organization on Monday, “The PPA is pleased with the outcome of this case. It is further confirmation that poker is indeed a game of skill, not chance. At the same time, the not guilty verdict cements the rights of Colorado citizens to enjoy the American pastime of poker and will allow law enforcement to use its scarce resources to investigate real unlawful activity in the state, not poker games.” Raley is a card-carrying member of the PPA, which operates a Litigation Network for its paid membership to take advantage of. The Network connects poker players in need of legal counsel with local lawyers.
Last week, a three-judge Court of Appeals panel in the Commonwealth of Kentucky ruled that its Governor, Steve Beshear, did not have jurisdiction to order the seizure 141 internet gambling domain names, including those belonging to mammoth online poker rooms such as PokerStars, Ultimate Bet, and Full Tilt Poker. Twenty-four hours after the successful Court of Appeals ruling, the Commonwealth announced that it would appeal the case to the Kentucky Supreme Court. The domain names were seized under the grounds that they were “gambling devices,” similar to tangible items found in an illegal underground casino such as slot machines, roulette wheels, and dice. No timeline has been given as to when the Kentucky Supreme Court will announce whether it will take the case. The Kentucky Justice and Public Safety Cabinet, headed by J. Michael Brown, is anchoring the case for the Commonwealth.
In Pennsylvania, a similar case was resolved just over one week ago. Judge Thomas A, James, Jr. ruled that Texas Hold’em is a skill game in the state. Its defendants, Walter Watkins and Diane Dent, operated a $1-$2 No Limit Hold’em game out of their garage. No rake was taken, but each player was encouraged to tip the dealer proportionally to the size of the pot of they won. An undercover Pennsylvania State Trooper participated in the game, which ultimately led to its demise. Extensive mathematical studies were presented in Judge James’ ruling, including text from Mike Caro’s “Secrets of Winning Poker” and other industry literature. In Pennsylvania, video poker machines are illegal, as the state’s Supreme Court has ruled that they constitute games dominated by chance, not skill.
John Pappas, Executive Director of the one million member strong PPA, commented on the recent surge of pro-poker rulings: “The momentum continues in our favor and the PPA will continue to champion such causes in other states as well as at the national level.”