Ohio Casino Control Commission Proposes Regulations for Promotions Linked to Merchandise Sales

The Ohio Casino Control Commission (OCCC) is stepping up its regulatory efforts to ensure that licensed operators adhere to strict guidelines regarding promotions linked to merchandise sales. This move aims to enhance transparency and maintain ethical standards in Ohio’s gambling industry.

Introduction of New Rule

In a bid to clarify the rules for promotional activities, the OCCC has introduced Ohio . Code Chapter 3775-16-09. This proposed regulation, submitted to the state’s Common Sense Initiative Office, outlines the permissible ways licensed operators can offer promotions or bonuses tied to non-gaming transactions. It also emphasizes that all gambling-related ments must be free from misleading content, ensuring clear and honest communication with consumers.

The push for clearer Ohio that offered patrons a bonus bet equal to the cost of purchased merchandise. This promotion triggered an investigation by the OCCC, which found that it violated existing state gaming regulations.

The investigation revealed that the promotion violated two specific rules: Rule 3775-16-08 and Rule 3775-16-09. These rules set forth guidelines for responsible gaming messaging and stipulate that gambling promotions should only be offered to individuals aged 21 and older. Furthermore, the regulations require operators to provide options for customers to opt out of future ments. Ohio, similar to other regulated gambling markets in the U.S., also bans the use of “risk-free bet” terminology to avoid misleading players.

Chapter 3775-16-09 is designed to ensure that gambling ments in Ohio are straightforward and transparent. Regarding promotional activities, the proposed rule explicitly states that “Sports gaming proprietors must not offer a promotion or bonus in connection with or as a result of a non-gaming, consumer transaction.” This clause specifically addresses the type of promotion that Fanatics ran, linking bonuses to merchandise sales.

The proposed rule also permits promotions or bonuses linked to non-gaming transactions under strict conditions. These promotions must not target individuals under 21, those ineligible to participate in sports gaming, individuals with gambling problems, or other vulnerable populations. Additionally, promotions can only be offered to patrons who have been verified to be 21 or older and are not enrolled in the Ohio Voluntary Exclusion Program.

Public Engagement and

The OCCC has opened a public comment period for the proposed rule, which will remain open until July 12. During this period, residents and industry stakeholders are invited to provide . The commission has also released a Business Impact Analysis to help operators and the public understand the potential effects of the new regulation.

The issue in Ohio is part of a broader pattern of regulatory challenges faced by Fanatics. Earlier in the month, the Tennessee Sports Wagering Council fined Fanatics $50,000 for violating state regulations regarding self-exclusion lists. The operator self-reported that it had allowed eight self-excluded holders to place wagers, attributing the mistake to its recent $225 million acquisition of PointsBet’s U.S. business.

The OCCC’s proposed rule is a significant step towards tightening the regulation of gambling promotions in Ohio. By addressing the issues highlighted by the Fanatics incident, the commission aims to foster a more transparent and responsible gaming environment. The public comment period offers a valuable opportunity for stakeholders to share their perspectives and contribute to the development of a fair and well-regulated gambling market in Ohio.

These regulatory measures are part of the OCCC’s broader effort to protect consumers and ensure that gambling operators adhere to high standards of ethical conduct. As the gambling landscape continues to evolve, such regulations are crucial in maintaining the integrity of the industry and safeguarding the interests of the public.

Source:

”Ohio gaming regulator proposes new rule amid Fanatics violation”, sbcamericas.com, June 28, 2024.