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NEVADA

The Gambling Control Act is contained in Tilt 41, Chapter 463 of the Nevada Statutes. All statutes in this research have been pulled from the Nevada Statutes. The public policy in Nevada is to control gambling so that it will be able to help the economy of the state without harming the inhabitants. Id. 463.0129. Perhaps that is why anyone interested in conducting a gambling enterprise could theoretically obtain a license to do so.

Anyone interested in reading the administrative regulations of the Nevada Gaming Commission should go to the Nevada Gaming Regulations as they are printed in the Nevada Administrative Code.

  1. Definition of Gambling

    1. Gambling/Gaming:

      1. “To deal, operate, carry on, conduct, maintain or expose for play any [gambling] game . . . or to operate an inter-casino linked system.”

    2. A gambling game includes games that are

      1. “played with cards, dice,” or gambling devices

      2. “for money, property, checks, credit or any representative of value[.]”

    3. Some examples of gambling games (although this is not an inclusive list) are: “faro, monte, roulette, keno, bingo, fan-tan, twenty-one, blackjack, seven-and-a-half, big injun, klondike, craps, poker, chuck-a-luck, Chinese chuck-a-luck (dai shu), wheel of fortune, chemin de fer, baccarat, pai gow, beat the banker, panguingui, slot machine, any banking or percentage game or any other game or device approved by the commission[.]”

    4. What truly defines a gambling scheme is not whether it is dependent on chance or skill, but rather, if there is a wager involved. . If no wager takes place, then no approval is necessary. See Nev. Op. Atty. Gen. No. 38, 2000 WL 33171886. In Ex Parte Pierotti, 43 Nev. 243 (1919) the court expresses its view that holding gambling games to the standard of being games whose material element is chance is absurd. With the widespread licensing of gambling in the state, it appears that such distinctions are not necessary or up to date.

  2. Definition of Bookmaking

    1. Bookmaking is legal in Nevada when it is done with a license. §463.430 covers this issue.

    2. There is no statute, case law, or attorney general opinion that contains a definition of bookmaking. It is the obvious practice of keeping a book of wagers.

  3. Specific gaming device definitions

    1. §463.0155 defines a gambling device as:

      1. “[A]ny equipment or mechanical, electromechanical or electronic contrivance, component or machine used remotely or directly in connection with gaming or any game which affects the result of a wager by determining win or loss. The term includes:

        1. A slot machine.

        2. A collection of two or more of the following components:

          1. An assembled electronic circuit which cannot be reasonably demonstrated to have any use other than in a slot machine;

          2. A cabinet with electrical wiring and provisions for mounting a coin, token or currency acceptor and provisions for mounting a dispenser of coins, tokens or anything of value;

          3. A storage medium containing the source language or executable code of a computer program that cannot be reasonably demonstrated to have any use other than in a slot machine;

          4. An assembled video display unit;

          5. An assembled mechanical or electromechanical display unit intended for use in gambling; or

          6. An assembled mechanical or electromechanical unit which cannot be demonstrated to have any use other than in a slot machine.

          7. Any mechanical, electrical or other device which may be connected to or used with a slot machine to alter the normal criteria of random selection or affect the outcome of a game.

          8. A system for the accounting or management of any game in which the result of the wager is determined electronically by using any combination of hardware or software for computers.

          9. Any combination of one of the components set forth in paragraphs [(a) to (i)], inclusive, of subsection 2 and any other component which the commission determines by regulation to be a machine used directly or remotely in connection with gaming or any game which affects the results of a wager by determining a win or loss.” Id.

    2. Punchboards

      1. Punchboards are not gambling devices. Op. Atty. Gen. No. 83-6 (June 29, 1983).

    3. Slot Machines

      1. Slot machines are defined as “any mechanical, electrical or other device, contrivance or machine which, upon insertion of a coin, token or similar object, or upon payment of any consideration, is available to play or operate, the play or operation of which, whether by reason of the skill of the operator in playing a gambling game which is presented for play by the machine or application of the element of chance, or both, may deliver or entitle the person playing or operating the machine to receive cash, premiums, merchandise, tokens or any thing of value, whether the payoff is made automatically from the machine or in any other manner.”

      2. The definition of a slot machine contains the elements of gambling (prize, chance, and consideration) and reflects the rule that gambling does not depend on the presence of skill or chance.

  4. Bucket Shop Laws

    1. §202.450 declares that buckets shops are against public policy.

  5. Prohibition of Games of Skill

    1. Poker / Card Games / Games using Dice

      1. § 463.383 states that “[c]ard games, that is, stud or draw poker, bridge, whist, solo, low ball, and panguingui for money, and slot machines, when not utilized as an adjunct to or a unit of any banking, percentage or mechanical device or machine, are not gambling games under the provisions of this section.”

      2. All other gaming with cards must be done with a license to be legal.

    2. Billiards / Bowling / Darts

      1. Not mentioned in this context in statute, case law, or attorney general opinion.

  6. Express Exemptions

    1. Social Gaming

      1. The definition of a gambling game (see above) specifically excludes:

        1. “[G]ames played with cards in private homes or residences in which no person makes money for operating the game, except as a player[.]” See definition of gambling game.

      2. Also, § 463.383 states that “[c]ard games, that is, stud or draw poker, bridge, whist, solo, low ball, and panguingui for money, and slot machines, when not utilized as an adjunct to or a unit of any banking, percentage or mechanical device or machine, are not gambling games under the provisions of this section.” This basically echoes that set forth in the above definition. As long as there is no thing of value risked on a game, it is not within the definition of gambling.

    2. Charity Gaming

      1. The definition of a gambling game specifically excludes “games operated by charitable or educational organizations[.]” See definition of gambling game.

      2. Charitable nonprofit activity

        1. A charitable or nonprofit activity is one that supports the “arts, amateur athletics, peace officers or health or social services, or conducted for any benevolent, civic, educational, eleemosynary, fraternal, humanitarian, patriotic, political or religious purpose, including the operation of a qualified organization.” §462.075.

      3. Qualified Organization defined:

        1. “[A] bona fide charitable, civic, educational, fraternal, patriotic, political, religious or veterans' organization that is not operated for profit.” §463.4093

      4. Requirements of a charitable activity

        1. §463.409 outlines the requirements for a charitable organization to gain the board’s approval to conduct a gambling game.

        2. This section notes that the board may impose its own requirements, however, a charitable organization is limited to one gambling function in a calendar quarter.

        3. §§462.150-170 provide more information on the approval of a qualified organization to engage in gambling.

      5. Charitable Bingo Games

        1. §463.4094: Operating a Charitable Bingo Game Without a License

          1. “A qualified organization may operate a charitable bingo game without obtaining a license . . . if:

            1. The organization is approved by the executive director and the total value of all the prizes offered in charitable bingo games operated by the organization during the same calendar year does not exceed $500,000;

            2. The organization registers with the executive director and the total value of all the prizes offered in charitable bingo games operated by the organization during the same calendar year does not exceed $50,000; or

            3. The total value of the prizes offered in the charitable bingo games does not exceed $2,500 per calendar quarter.”

      6. §463.40965: Proceeds from Bingo Game

        1. The net proceeds from the bingo game can only be used to benefit the organization’s charitable or nonprofit activities in Nevada.

        2. Organizations must submit a comprehensive financial report to the executive director by February 1st each year.

      7. Charitable lottery

        1. §462.064 defines a charitable lottery as “a lottery operated by a bona fide charitable or nonprofit organization . . . .”

        2. There are three main conditions for the operation of a charitable lottery. These conditions are contained in §462.140 and require that the qualified organization fulfill the following guidelines.

          1. “The organization is approved by the executive director and the total value of all the prizes offered in charitable lotteries operated by the organization during the same calendar year does not exceed $500,000;

          2. The organization registers with the executive director and the total value of all the prizes offered in charitable lotteries operated by the organization during the same calendar year does not exceed $25,000; or

          3. The total value of the prizes offered in the charitable lottery does not exceed $2,500 and:

            1. The organization operates no more than two charitable lotteries per calendar year; or

            2. The tickets or chances for the charitable lottery are sold only to members of the organization, and to guests of those members while attending a special event sponsored by the organization, and the total value of all the prizes offered in charitable lotteries operated by the organization during the same calendar year does not exceed $15,000.”

        3. §462.180 states that a qualified organization cannot sell a lottery ticket outside of the county where the lottery is held and its surrounding counties. A charitable organization may not conduct more than one lottery in a calendar quarter unless it has specific authorization from the executive director to do so.

    3. Chucky Cheese Exemptions /Commercial Gaming

      1. Not mentioned in statute, case law, or attorney general opinion.

    4. Lottery

      1. §462.105 defines lottery as “any scheme for the disposal or distribution of property, by chance, among persons who have paid or promised to pay any valuable consideration for the chance of obtaining that property, or a portion of it, or for any share or interest in that property upon any agreement, understanding or expectation that it is to be distributed or disposed of by lot or chance, whether called a lottery, raffle or gift enterprise, or by whatever name it may be known.”

      2. For more information on the Nevada Lottery go to http://nevadastatelottery.com.

      3. Punchboards are considered lotteries and are prohibited under the state constitution and chapter 462 of the Nevada Revised Statutes. Op. Atty. Gen. No. 83-6 (June 29, 1983).

    5. Horseracing

      1. Pari-mutuel system: §466.028

        1. Where someone places a bet on a horse race at a window and “equipment is used to pay a person's winnings in the precise amount of money wagered by persons who did not win, after deducting taxes owed and commissions charged by the race track.”

        2. A license must be obtained to hold races using the pari-mutuel system. §466.105.

      2. Regulations

        1. The regulations in chapter 466 supersede those of any local governments. §466.210.

        2. Each track can only operate 300 days out of the year. §466.110.

        3. Wagering on the horse race can only be done in :

          1. “The enclosure wherein the race which is the subject of the wagering occurs; or

          2. A licensed gaming establishment which has been approved to conduct off-track pari-mutuel wagering.” §466.155.

    6. Dog Racing

      1. §466.095 strictly prohibits dog racing or pari-mutuel wagering in association with dog racing.

  7. Specific Internet Prohibition

    1. Internet gaming is divided into two categories: wagering and non-wagering. Where there is a wager, and patrons are risking something of value on an uncertain outcome, the Nevada Gaming Commission must give its approval (pursuant to Commission regulations 14.230 through 14.250 which are in the Nevada Administrative Code). When there is no wager, but instead a gaming licensee merely receives free “play credits” for the internet cite that are accumulated by “time spent at the website, rather than the outcome of a virtual game,” it is not a gaming activity. Therefore, to conduct a cite that allows people to place wagers, one would have to be approved by the Nevada Gaming Commission. If no wager takes place, then no approval is necessary. Nev. Op. Atty. Gen. No. 38, 2000 WL 33171886.

  8. Statute of Anne / Recovery of Debts

    1. §463.361: Enforceability and Resolution of Gaming Debts

      1. Unless otherwise provided, gambling debts must be evidenced by a credit instrument to be enforceable.

    2. §463.362: Resolution of Disputes over Winnings and Losses

      1. “Whenever a licensee and a patron have any dispute as to alleged winnings, alleged losses or the manner in which a game is conducted, the licensee and the patron are unable to resolve the dispute to the satisfaction of the patron and the dispute involves:

        1. At least $500, the licensee shall immediately notify the board; or

        2. Less than $500, the licensee shall inform the patron of his right to request that the board conduct an investigation.

        3. The board, through an agent, shall conduct whatever investigation it deems necessary and shall determine whether payment should be made.

      2. The agent of the board shall mail written notice to the board, the licensee and the patron of his decision resolving the dispute within 30 days after the date the board first receives notification from the licensee or a request to conduct an investigation from the patron. The failure of the agent to mail notice of his decision within the time required by this subsection does not divest the board of its exclusive jurisdiction over the dispute.

      3. Failure of the licensee to notify the board or inform the patron as provided in subsection 1 is grounds for disciplinary action . . . .

      4. The decision of the agent of the board is effective on the date the aggrieved party receives notice of the decision. Notice of the decision shall be deemed sufficient if it is mailed to the last known address of the licensee and patron. The date of mailing may be proven by a certificate signed by an officer or employee of the board which specifies the time the notice was mailed. The notice shall be deemed to have been received by the licensee or the patron 5 days after it is deposited with the United States Postal Service with the postage thereon prepaid.”

  9. Lawful Commercial Casino Gaming

    1. Transportation of Gambling Devices

      1. §463.420 states that it is legal to ship gambling devices into the state as long as the manufacturer registers, records, and labels the shipment to comply with 15 U.S.C. §§1171-1177.

    2. Definition of a Gambling Enterprise District

      1. “[A]n area that has been approved by a county, city or town as suitable for operating an establishment that has been issued a nonrestricted license.” §463.0158.

    3. License Requirement

      1. Under §463.160 it is unlawful for someone (owner, lessee, employee) to do the following:

        1. “To deal, operate, carry on, conduct, maintain or expose for play in the State of Nevada any gambling game, gaming device, inter-casino linked system, mobile gaming system, slot machine, race book or sports pool;

        2. To provide or maintain any information service;

        3. To operate a gaming salon; or

        4. To receive, directly or indirectly, any compensation or reward or any percentage or share of the money or property played, for keeping, running or carrying on any gambling game, slot machine, gaming device, mobile gaming system, race book or sports pool, without having first procured, and thereafter maintaining in effect, all federal, state, county and municipal gaming licenses as required by statute, regulation or ordinance or by the governing board of any unincorporated town.

        5. The licensure of an operator of an inter-casino linked system is not required if:

          1. A gaming licensee is operating an inter-casino linked system on the premises of an affiliated licensee; or

          2. An operator of a slot machine route is operating an inter-casino linked system consisting of slot machines only.

        6. Except as otherwise provided in subsection 4, it is unlawful for any person knowingly to permit any gambling game, slot machine, gaming device, inter-casino linked system, mobile gaming system, race book or sports pool to be conducted, operated, dealt or carried on in any house or building or other premises owned by him, in whole or in part, by a person who is not licensed pursuant to this chapter, or his employee.

        7. The Commission may, by regulation, authorize a person to own or lease gaming devices for the limited purpose of display or use in the person's private residence without procuring a state gaming license.”

    4. Gambling license defined

      1. §463.0159 defines gambling license as a license issued by the state pursuant to chapter 464 of the Nevada Revised Statutes. It allows a person to engage in gaming and pari-mutuel wagering.

    5. Gaming Salon defined:

      1. §463.01595 defines a gaming salon as “an enclosed gaming facility which is located anywhere on the property of a resort hotel that holds a nonrestricted license, admission to which facility is based upon the financial criteria of a patron as established by the licensee and approved by the Board.”

    6. Interactive Gaming defined

      1. §463.016425 defines interactive gaming as a method of conducting gambling games “through the use of communications technology.”

      2. Communications technology “means any method used and the components employed by an establishment to facilitate the transmission of information, including, without limitation, transmission and reception by systems based on wire, cable, radio, microwave, light, optics or computer data networks, including, without limitation, the Internet and intranets.”

    7. Licensed Gaming Establishment defined:

      1. §463.0169 defines a licensed gaming establishment as an place that has a license under chapter 463 of the Nevada Revised Statues that conducts gaming.

    8. Nonrestricted licenses in a county with a population of 100,000 or more:

      1. §463.1605 states that an establishment in a county whose population is 100,000 or more can only receive a nonrestricted license for the operation of a mobile gaming system, race book or sports pool. However, if the establishment is a resort hotel, it can receive a nonrestricted license without this condition.

      2. A county, city or town can require additional requirements of resort hotels than are contained in §463.1605.

      3. A nonrestricted license can be given to an establishment other than a resort hotel if:

        1. The establishment was subject to condemnation before June 17, 2005; or

        2. The establishment was subject to condemnation after June 17, 2005 and “the new location of the establishment is within the same redevelopment area as the former location of the establishment.”

    9. License to Operate 15 or Fewer Slot Machines:

      1. §463.161 authorizes the issuance of a license in this circumstance when the use of the machine is “incidental to the primary business” of the establishment. It can only be issued to the owner of the business or to a licensed operator of a slot machine.

    10. §463.162: Gaming License Regarding Gambling Games

      1. A person must have a gambling license to lend, let, lease, deliver, or furnish a gambling game, slot machine, services or property for a percentage of the money played.

      2. Exceptions to this general rule are contained in this section

    11. Operation of a Gaming Device in a Restricted Area of Public Transportation

      1. §463.163 states that a licensee can only operate a gaming device in such an area with prior approval of the board.

      2. If one anticipates that an area will become such a restricted area, the application must be filed with the board at least 15 days before it is anticipated to be restricted.

    12. Qualifications for License

      1. §463.170 states that a person or organization must be found suitable by the board in order to receive a license. Some things to consider are:

        1. good character, honesty and integrity;

        2. the person does not pose a threat to the public interest

        3. the person does not pose a threat to the policy of the state.

      2. If the applicant is applying for an inter-casino linked system the considerations include:

        1. “The applicant has adequate business probity, competence and experience, in gaming or generally; and

        2. The proposed financing of the entire operation is:

          1. Adequate for the nature of the proposed operation; and

          2. From a suitable source.”

        3. The commission can regulated the number of people who can have a financial interest in the corporation (other than a publicly traded corporation, limited partnership, limited-liability company or other organization or association licensed under chapter 463), and otherwise regulate the licenses to uphold the public interest.

    13. Exemption for Slot Machines in Public Transportation Facility

      1. §463.177 states that a governing body can lease a portion of a public transportation facility for the operation of slot machines if:

        1. “The lessee who is operating the slot machines complies with all applicable federal, state and local licensing requirements; and

        2. The terms of the lease provide for the immediate termination of the lease upon the revocation of any license necessary to operate the slot machines.

    14. Contents of a State License

      1. §463.200 states that an applicant has to apply using applications provided by the Board. A complete application includes:

        1. Licensee’s name;

        2. Location of licensee’s place(s) of business;

        3. “The gambling games, gaming device or slot machines to be operated.”

        4. The names of all those interested in the business and their respective natures;

        5. Anything else the board requires to “discharge its duty properly.”

        6. A sworn and notorized statement from the owner or lessor of the premises “indicating whether the consideration paid by the applicant for the use of the premises has been or will be increased because of the operation of gaming on the premises” (if the application is for a restricted license and the licensee doe not own the premises).

    15. Permissible Wagering Instrumentalities

      1. §463.307 permits wagering to be done with “chips, tokens, wagering instruments or other instrumentalities approved by the board, or with wagering credits or the legal tender of the United States.”

    16. Certain Counties can have Nonrestricted Gaming Licenses

      1. §463.3072 states that Nevada was the fastest-growing state in the US from 1990-1996; that it will continue to be; and that Clark County has the greatest population in Nevada. Because of these facts the legislature found that “[t]he gaming industry is vital to the economy of this state and Clark County, and the continued growth and success of gaming is of critical importance to the general welfare of all the residents of this state.”

      2. “A significant part of the continued growth and success of gaming depends upon the attractiveness, excitement and vitality of the Las Vegas Strip. To make the Las Vegas Strip more attractive to visitors, there is a need to promote new development along the Strip and to concentrate the next generation of resort hotels in a location that is convenient to visitors, supported by an existing infrastructure and suitable for the unique and exciting atmosphere of resort hotels.

      3. The concentration of the next generation of large gaming establishments along the Las Vegas Strip would use land efficiently and would promote responsible use of financial and natural resources by encouraging urban development in those areas where the transportation systems and infrastructure are best suited for such intensive development.”

      4. In light of the benefit gambling has on the economy of Clark County and the state of Nevada, the legislature also found that its continued success would depend on the regulation of gambling.

      5. Part of this regulation includes locating gambling establishments in the proper areas so that residential areas may ‘grow and flourish.’” Id.

    17. Gambling in Counties of Population of at least 400,000

      1. §463.3074 states that counties of at least 400,000 that have gambling establishments or enterprises are regulated by §§ 463.3072-3094.

    18. Gaming Zones

      1. Las Vegas Boulevard Gaming Corridor—§§463.3073, 463.3082

      2. Rural Clark County Gaming Zone—§§463.3078, 463.3082

      3. Establishments outside of a gaming enterprise district—§463.308

    19. Employees of Gaming Establishments or Independent Contractors

      1. §463.335 states that a person who is employed by a gaming establishment or an independent contractor has to register with the board.

      2. §463.350 states that no one can be involved in gaming (either by playing, facilitating, loitering, or working) unless they are 21 years old or older.

    20. Electronic Transfers on Money

      1. §463.3557 states that the “electronic transfer of money from a financial institution directly to a game or gaming device may not be made with a credit card” unless it is an interactive gaming system.

  10. Gaming Crimes and Penalties

    1. §193.140: Punishment of Gross Misdemeanors

      1. Imprisonment in county jail for up to 1 year; and/or

      2. A fine of no more than $2,000.

    2. §193.150: Punishment of Misdemeanors

      1. Imprisonment in county jail for up to 6 months, and/ or a fine of no more than $1,000.

      2. In lieu of all or part of punishment by jail and/or a fine, a person may be subject to a period of community service.

    3. Penalty for Gaming or employment in gaming under 21

      1. §463.350 makes it a misdemeanor to gamble or work in the gambling industry under the age of 21.

    4. Failing to appear before the gambling commission

      1. §466.220 states that it is a misdemeanor to fail to appear before the gaming commission to answer a summons issued pursuant to the powers of the board of commissioners in Nev. Rev. Stat. §466.180, or to refuse to testify to the commission.

      2. It is also a gross misdemeanor to hold horse races without a license. Id. In addition, any violation of the horse racing statutes is a misdemeanor. Id.

    5. Holding an unauthorized lottery

      1. §462.250 makes it a misdemeanor for a person who “contrives, prepares, sets up, proposes or draws any lottery,” unless authorized by a license or otherwise by the commission.

    6. Unauthorized Sale of a Lottery Ticket

      1. §462.260 states that a person who “sells, gives or in any manner whatever furnishes or transfers” to another any interest in a lottery ticket is guilty of a misdemeanor.

    7. Assisting in an unauthorized lottery

      1. §462.280 makes it a misdemeanor to be involved in an unauthorized lottery.

    8. Operating an office for the Sale of unauthorized lottery tickets

      1. §462.290 states that “[e]very person who opens, sets up or keeps by himself or by any other person any office or other place for the sale of or for registering the number of any ticket in any lottery in violation of this chapter, or who by printing, writing or other means intentionally advertises or publishes the setting up, opening or using of any such office, is guilty of a misdemeanor.”

    9. Insuring or guaranteeing lottery tickets

      1. §462.300 makes it a misdemeanor to insure against a lottery drawing.

    10. Allowing the use of a building or vessel for a lottery

      1. §462.320 makes it a misdemeanor to allow the use of a building or vessel for a lottery.

    11. Dog Racing

      1. §207.235 makes it a misdemeanor to conduct “dog racing as a gaming activity” in Nevada.