Games of Skill, Internet Cafes and the Casino Commission

Games of Skill, Internet Cafes and the Casino Commission

Today, the Ohio Supreme Court unanimously upheld a $10 limit on the payout for games of skill. The Court found that this did not violate the equal protection clauses of the U.S. and Ohio Constitutions. The case was then sent back to the 10th District to consider the void-for-vagueness argument, which is no longer moot due to this Court’s ruling of no violation of the equal protection clause.

Justice O’Connor, writing for the court, stated that “the operation of skill-based amusement machines is a valid statewide industry in Ohio, and the state has a legitimate interest in establishing economic regulations for the industry, including regulating the prizes that may be awarded.” She went on to say that the $10 limit “is part of the state’s scheme to protect its local economies. The statute is calculated to further the state’s interest by eliminating the lure of big prizes and thus minimizing irresponsible play while providing a legal safe harbor for harmless games (e.g., Skee-ball) that award token prizes.”

Meanwhile, Cleveland City Council has proposed tough new regulations for the increasingly popular Internet sweepstakes cafes that are sweeping across northern Ohio.

The proposed legislation calls for a $10,000 license fee every 6 months and $50 every month for each machine. As with the state casino regulations, anyone convicted of a felony, a misdemeanor involving minors, a misdemeanor involving moral turpitude or a crime of violence, or a misdemeanor involving any gambling activity, controlled substances or alcoholic beverages will be denied a license.

As for the cafes themselves, each must designate a minimum of 30 gross square feet of floor space for each device; there must be a minimum of 35 off-street parking spaces or one space for every two devices, whichever is greater; hours of operation will be Monday through Thursday 9am to 11pm, Friday and Saturday 9am to midnight and Sunday 2pm to 6pm. No café will be permitted within 1,000 feet of a school, playground, daycare, public park, or other sweepstakes café, or within 500 feet of a church.

And finally, Governor Strickland has announced his appointees for the Ohio Casino Control Commission. His choice for chair is Charles ‘Rocky’ Saxbe of the law firm Chester, Willcox and Saxbe LLP. Other appointees: Joseph Rugola, president of the Ohio AFL-CIO; Jerry Chabler, member of the Racing Commission; Vanessa Whiting, partner at the law firm Roetzel & Andress; William Kirkham, attorney with the law firm Frost Brown Todd; Greta Russell, controller at OSU and Michael Bolte, retired Cincinnati police officer.

All appointees now go to the Senate for consideration.

/ Other Gaming