The Interstate Wire Act of 1961, often called the Federal Wire Act , is a United States federal law prohibiting the operation of certain types of betting businesses in the United States. It begins with the text:
14-439: Whoever being engaged in the business of betting or wagering knowingly uses a wire communication facility for the transmission in interstate or foreign commerce of bets or wagers or information assisting in the placing of bets or wagers on any sporting event or contest, or for the transmission of a wire communication which entitles the recipient to receive money or credit as a result of bets or wagers, or for information assisting in
28-758: A wire communication as defined in the Communications Act of 1934 in 47 U.S.C. §153 ¶( 59 ). This makes everything online today and all wireless phones a use of wire communications by law whether a physical connection to wire is visible or is not. The Communications Act of 1934 created the Federal Communications Commission to replace the Federal Radio Commission . If there were no real wired communications today, there would be no online and there would be no mobile phones. Satellite communications would be
42-483: Is considered wired line. Local telephone networks often form the basis for wired communications and are used by both residential and business customers in the area. Many networks today rely on the use of fiber optic communication technology as a means of providing clear signaling for both inbound and outbound transmissions and are replacing copper wire transmission. Fiber optic technology is capable of accommodating far more signals than copper wiring while still maintaining
56-626: The OLC's new opinion, which the Commission claimed would reduce its annual profits by millions of dollars. New Hampshire Gov. Chris Sununu said the state wasn't interested in negotiating an out-of-court settlement, "we're looking to win." District Court Judge Paul Barbadoro ruled in the Commission's favor, stating that the Wire Act "is limited to sports gambling", but declined to vacate the 2018 OLC opinion. The First Circuit Court of Appeals affirmed
70-612: The U.S. Department of Justice (DOJ) stated its opinion that the Wire Act "prohibits gambling over the Internet, including casino-style gambling." In 2011, the DOJ reversed its position, when the Office of Legal Counsel (OLC) published a formal opinion on the scope of the Act concluding, "interstate transmissions of wire communications that do not relate to a 'sporting event or contest' fall outside
84-479: The Wire Act's prohibitions are "not uniformly limited to gambling on sporting events or contests." The decision was published on January 15, 2019, with a promise to delay enforcement of the new opinion for 90 days to "give businesses that relied on the 2011 OLC opinion time to bring their operations into compliance with federal law." The New Hampshire Lottery Commission filed suit in February 2019 seeking to vacate
98-596: The act applies only to bets placed on "sporting event or contest" and not other forms of gambling. Wired communication Wired communication refers to the transmission of data over a wire -based communication technology ( telecommunication cables ). Wired communication is also known as wireline communication . Examples include telephone networks , cable television or internet access , and fiber-optic communication . Most wired networks use Ethernet cables to transfer data between connected PCs. Also waveguide (electromagnetism) , used for high-power applications,
112-660: The decision in January 2021. In November 2021, International Game Technology filed a lawsuit to declare the 2018 opinion unlawful, seeking to protect itself from possible prosecution for its online lottery operations outside of the First Circuit. In September 2022, the Rhode Island District Court ruled in IGT's favor, stating that IGT could not be prosecuted under the Wire Act anywhere in the country, as
126-475: The eight bills given to Congress was Senate Bill 1656—The Wire Act. The Interstate Anti-Crime Acts were signed by the 35th President of the United States John F. Kennedy on September 13, 1961. Legal opinions have varied as to whether the Wire Act applies only to sports betting, or applies to all forms of gambling, such as lotteries and casino games. In a 2002 letter to Nevada state officials,
140-563: The gambling fraternity would be a mortal blow to their operations — Robert F. Kennedy discussing how the Wire Act would affect organized crime After being selected to become U.S. Attorney General , Robert F. Kennedy suggested to the 87th United States Congress to pass legislation which would make interstate gambling illegal. Kennedy's goal of the legislation was to help the United States Justice Department stop organized crime from trafficking . One of
154-480: The integrity of the signal over longer distances. Alternatively, communication technologies that don't rely on wires to transmit information (voice or data) are considered wireless , and are generally considered to have higher latency and lower reliability. The legal definition of most, if not all, wireless technologies today or " apparatus, and services (among other things, the receipt, forwarding, and delivery of communications) incidental to such transmission " are
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#1732779979200168-467: The only current technology considered wireless . In general, wired communications are considered to be the most stable and best of all types of communications services. They are relatively impervious to adverse weather conditions in comparison to wireless communication solutions. These characteristics have allowed wired communications to remain popular even as wireless solutions have continued to advance. This article related to telecommunications
182-475: The placing of bets or wagers, shall be fined under this title or imprisoned not more than two years, or both. Several legal opinions and rulings have discussed whether forms of gambling other than sports betting fall within the Act's scope. It is quite evident that modern, organized, commercial gambling operations are so completely intertwined with the Nation's communications systems that denial of their use to
196-439: The reach of the Wire Act." The 2011 opinion noted that "the sparse case law on this issue is divided". The U.S. Fifth Circuit Court of Appeals ruled in 2002 that the Wire Act prohibition on the transmission of wagers applies only to sports betting and not other types of online gambling. Lower courts in other circuits had reached the opposite conclusion. In 2018, the OLC reversed its position again, with an opinion declaring that
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