Constitutionality Of UIGEA Contested

Constitutionality Of UIGEA Contested

22 Feb, 2009

courtThe constitutionality of the Unlawful Internet Gambling Enforcement Act (UIGEA) of 2006 has been challenged by the Interactive Media Entertainment and Gaming Association (iMEGA). The case could be heard as early as April.

 

The iMEGA’s legal advisors have been contacted by the US courts, asking for their availability in April to provide oral arguments in the case.

The courts have provided a number of possible dates to lawyers for iMEGA and the defendants in this case, the US Department Of Justice, the Federal Trade Commission and the Federal Reserve.

 

Chairman of the iMEGA Joe Brennan stated: "We're... happy the Court is moving forward... We have a strong [case] and it will be difficult for the Department Of Justice to defend UIGEA because it is so fatally flawed."


The court action, iMEGA vs. Keisler, claims the unconstitutionally of the UIGEA is because it places the establishment, responsibility and expense of implementation of these laws onto financial institutions.


The argument has been put forward that the 2006 UIGEA legislation is too vague and that the error is with Congress for failing to define exactly what is 'unlawful Internet gambling'. iMEGA argues that Congress cannot delegate this to the financial institutions.  

 

The Department of Treasury, last year testified before Congress that it was not able to determine what amounted to 'unlawful Internet gambling'.