Online betting is illegal in the U.S. state of Washington. Betcha.com is an online bookmaker based in Seattle, Washington. Yesterday, in a unanimous ruling, the Washington State Supreme Court ruled that Betcha.com’s business is illegal and must cease and desist. Sounds obvious, right? As usual, it’s a little more complicated than that.
Betcha.com says that the state’s gambling laws don’t apply to them because they make it optional for the losing bettors to pay off the wagers. Why anyone would bet with a bookie that doesn’t require the loser to pay is another question. According to the Supreme Court, though, the website qualifies as an illegal bookie because it arranges bets and takes a percentage as a fee.
According to Betcha.com, because payment was optional, the users of their website are not engaged in online gambling. According to Justice Tom Chambers, though, “under the statutory definition of bookmaking, it is immaterial whether or not Betcha users were engaged in gambling activity.”
Though Washington state does allow some forms of gambling, including card rooms that offer poker and blackjack, bookmaking and online gambling are specifically outlawed. An online gambling website for bookmaking, therefore, would definitely not be allowed, if that’s what Betcha is. According to Betcha.com founder Nicholas Jenkins, it’s not.
On Betcha, players can bet on basically anything, including sports, politics and virtually any event, such as “whether the moon would be full on a given night.” Anyone who wants to offer or accept a bet transfers money from their bank account to an escrow account held by Betcha. Once the event takes place and there is a clear winner, the loser has 72 hours to either pay up or opt out of the bet. The website keeps track of how often a losing bettor pays up and gives them an “honor rating.” Bettors who routinely renege on bets get a low rating and earn a reputation of someone you don’t want to bet with.
With the court ruling against Betcha, the website will have to shut down or else risk prosecution for operating an illegal online gambling company and transmitting gambling information and funds over the internet.
Tags: Betcha.com, Nicholas Jenkins, online betting, online bookie, online bookmaker, online gambling, sports betting, Washington online betting
