Louisiana lawmakers are getting ready for a significant combat over sweepstakes web sites within the 2026 Common Session, as a newly filed proposal goals to widen the state’s energy to close down what it considers criminality. House Bill 883, introduced by Rep. Laurie Schlegel, would overhaul current guidelines on playing by laptop and make it simpler to go after not simply sweepstakes operators, however the companies that assist them perform.
The measure reshapes how Louisiana defines “playing by laptop.” The up to date language would cowl anybody who runs or helps run a web based recreation, contest or lottery the place gamers threat one thing of worth for a shot at profitable cash or prizes. The invoice particularly calls out sweepstakes platforms that use so-called “dual-currency programs,” the place digital cash will be redeemed for money or money equivalents if the sport mirrors conventional casino-style play.
The proposal additionally spells out who else may very well be on the hook, together with monetary transaction suppliers similar to cost processors, bank card firms and cash transmitters. It additionally names platform suppliers, which means firms that host, retailer or transmit web site content material tied to sweepstakes operations.
Louisiana sweepstakes invoice requires stronger penalties and harsher enforcement instruments
If handed, the laws would considerably increase the stakes for anybody providing unlawful sweepstakes as a enterprise. The utmost effective would soar from $20,000 to $100,000, whereas the attainable jail sentence would stay capped at 5 years.
Those that knowingly help sweepstakes exercise, together with cost processors and internet hosting companies, might face fines of as much as $20,000 and as much as 5 years behind bars. If an individual below 21 is concerned, the monetary penalties would double.
Every particular person wager would rely as a separate violation below the invoice. Each promotion linked to unlawful sweepstakes would even be handled as its personal offense. Courts could be required to order the forfeiture of any income linked to violations, including one other monetary blow for operators.
The measure would bar monetary transaction suppliers from intentionally processing funds tied to unlawful sweepstakes and would prohibit platform suppliers from transmitting associated info. Each varieties of firms might block suspicious transactions or communications on their very own and could be shielded from civil legal responsibility for doing so. Ignoring a stop and desist discover might set off extra penalties.
The proposal offers the legal professional basic and the chairman of the Louisiana Gaming Management Board authority to situation written stop and desist notices. Targets would have 10 days to conform. The legal professional basic would additionally preserve a public record of sweepstakes operators and related web sites that obtain notices, together with any monetary or platform suppliers concerned. Being listed would function prima facie proof that the recipient knew concerning the unlawful conduct.
ICYMI: Louisiana has sued on-line sweepstakes on line casino giants VGW and WOW Vegas for $44 million in unpaid gross sales taxes. They had been among the many 41 unlawful playing operators which acquired C&D letters from the Gaming Management Board. Seems like @larevenue may be getting began.
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— Daniel Wallach (@WALLACHLEGAL) September 7, 2025
The invoice additional permits the legal professional basic to hunt restraining orders and injunctions to close down sweepstakes websites, freeze accounts and block transactions.
Louisiana’s push comes amid mounting scrutiny nationwide. The state has already sued major sweepstakes operators, including VGW and MW Services, accusing them of operating unlawful playing enterprises. At one level in 2025, Louisiana appeared close to banning sweepstakes casinos entirely, just for a separate invoice to stall after regulatory concerns surfaced.
Tennessee and different states are weighing related crackdowns, signaling a basic shift as lawmakers grapple with the quick development of sweepstakes platforms.
Sure actions would stay authorized in Louisiana, together with licensed on-site gaming, fantasy sports activities contests allowed below state legislation and controlled sports activities wagering.
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