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iMEGA UIGEA Challenge To Have Day In Court
16 January, 2009

NEWS

With the Interactive Media Entertainment & Gaming Association (iMEGA to the initiated) challenging the constitutionality of the Unlawful Internet Gambling Enforcement Act of 2006, the association received some welcome news.

According to iMEGA's website, "The U.S. 3rd Circuit Court of Appeals has asked iMEGA’s legal team to provide notice of their availability in April, for oral arguments in their challenge to a Federal law targeting the Internet gambling industry."

Under the UIGEA, the payment processing of online gambling transactions by financial institutions in the United States are prohibited, something that doesn't sit well with iMEGA.

It is the association's assertion that forcing banks, payment processors and credit card companies to play "police" is something that will be detrimental, especially considering the current economic conditions in the United States.

"iMEGA's attorneys argue that UIGEA should be 'void for vagueness,' and that Congress erred when it declined to defined what 'unlawful Internet gambling' is, as they are required," the association said.

"iMEGA also argues that Congress cannot delegate that necessary determination as to what is 'lawful' or 'unlawful' to U.S. banks and credit card companies."

"The Department of Treasury, which crafted the regulations for UIGEA, testified last year before Congress that they themselves could not make the necessary determination."

The 3rd Circuit Court provided iMEGA's legal team, which is headed by Eric Bernstein, with a list of potential dates.

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