IMGL Magazine April 2023

US FEDERAL REGULATION

Second, in Greater New Orleans Broadcasting Ass’n, the Court emphasized that § 1304 devolved into a regulatory regime “so pierced by exemptions and inconsistencies that the government cannot hope to exonerate it.” 23 This may be the Betting on Our Future Act’s fate, if passed. There is much open to interpretation in the Act considering: (1) the way advertising looks in 2023, (2) the fact “advertise” is not defined in the Act, and (3) the grasp that sportsbooks already have on the sports industry. For example, could a broadcaster show sportsbook stadium advertising signage on-air? Could an announcer reference an in-arena sportsbook without encouraging patronage? This gray area could serve as the basis for subsequent exemptions to the Betting on Our Future Act. Intenational laws as guidance International gambling advertisement regulations also serve as a valuable case study for all United States sports betting stakeholders. As United States sportsbooks create and implement advertisements, consideration should be given as to whether similar advertisements received pushback, or would be prohibited, under international laws. In 2018, Italy’s government approved regulation banning any form of advertising, sponsorship, or communication presenting promotional content relating to games or betting with cash prizes. 24 Italian law is not limited to television and radio broadcast advertisements like the Betting on Our Future Act. Rather, Italy’s “Dignity Decree” bans gambling advertisements however carried out and by any means, including television and radio broadcasting, the press, billboards, internet, digital and electronic tools, and social media, with limited exemptions. In early March of 2023, Belgium’s King Philippe signed a Royal Decree that will ban all gambling advertisements on all

media platforms in all public places beginning July 1, 2023. 25 The rules are considered the strictest gambling advertising regulations in any regulated market in Europe. For logistics, and in the interest of respecting ongoing contracts, Belgium’s government created transition periods for the sports industry. Beginning January 1, 2025, all gambling advertisements will be banned from stadiums, and from January 1, 2028, sponsorship of sports clubs by gambling companies will also be restricted. There has been pushback against these regulations in both Italy and Belgium. Since 2018, the Italian Football Federation (“FIGC”) has been calling for authorities to suspend the ban. 26 The FIGC claims that the ban is estimated to have cost Italian football clubs around EUR100m in potential sponsorship revenues and that the regulation was “bringing the entire sports sector to its knees.” 27 Now, there are reports that Italy’s government is moving towards reforms that would allow some betting companies to sponsor teams. 28 Belgium’s sports sector confirmed it will challenge the Royal Decree, per an open letter from the country’s advocates of cycling, basketball, football and the organizers of major sporting events. 29 The advocates contend a ban will not protect fans from gambling addictions, but will propel them towards the unsafe offerings of unauthorized providers. Instead, Belgium’s sports industry wants to play an active role in creating a solution to gambling addiction and take on responsibility in doing so. Conclusion Based on the foregoing, it may be that the path of least resistance in the United States is for industry operators to self- regulate without substantial government intervention — but that seems unlikely given the ubiquity of advertisements. If

23 Greater New Orleans Broad. Ass’n, 527 U.S. at 190. 24 Ernesto Apa & Eugenio Foco, Italian Communications Authority Issues New Guidelines Softening the Resrictions on Gambling and Betting Ad- vertisements Provided by the Decreto Dignità, PORTOLANO CAVALLO (May 5, 2019), https://portolano.it/en/newsletter/portolano-cavallo-in- form-digital-ip/italian-communications-authority-issues-new-guidelines-softening-the-restrictions-on-gambling-and-betting-advertisements-pro- vided-by-the-decreto-dignita. 25 Lauren Walker, Gambling advertising banned in Belgium from 1 July, THE BRUSSELS TIMES (Mar. 8, 2023), https://www.brusselstimes. com/397910/gambling-advertising-will-be-banned-in-belgium-from-1-july. 26 Italy evaluates future of ban on gambling sponsorships in football, FOCUS GAMING NEWS (Dec. 9, 2022), https://focusgn.com/italy-evalu- ates-future-of-ban-on-gambling-sponsorship-in-football. 27 Philip Conneller, Repeal Gambling Ad Ban to Save Serie A, Italian Government Told, CASINO.ORG (Aug. 3, 2021), https://www.casino.org/ news/repeal-gambling-ad-ban-to-save-serie-a-italian-government-told/. 28 Jake Evans, Italy could reverse ban on gambling shirt sponsorship in football, IGAMING NEXT (Dec. 8, 2022), https://igamingnext.com/news/ italy-could-reverse-sponsorship-ban/. 29 Belgian sports sector to challenge ban on gambling advertising in court, BELGA NEWS AGENCY (Mar. 24, 2023), https://www.belganewsagen- cy.eu/belgian-sports-sector-to-challenge-ban-on-gambling-advertising-in-court.

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IMGL MAGAZINE | APRIL 2023

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