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Minnesota Legislature

Office of the Revisor of Statutes

HF 2540

as introduced - 89th Legislature (2015 - 2016) Posted on 03/10/2016 05:21pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to commerce; authorizing fantasy sports; amending Minnesota Statutes
2014, sections 297E.03, by adding a subdivision; 541.20; 541.21; 609.761, by
adding a subdivision.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2014, section 297E.03, is amended by adding a
subdivision to read:


new text begin Subd. 9. new text end

new text begin Fantasy game. new text end

new text begin A fantasy game as defined under section 609.761,
subdivision 7, is exempt from taxation under this section.
new text end

Sec. 2.

Minnesota Statutes 2014, section 541.20, is amended to read:


541.20 RECOVERY OF MONEY LOST.

Every person who, by playing at cards, dice, or other game, or by betting on the
hands or sides of such as are gambling, shall lose to any person so playing or betting
any sum of money or any goods, and pays or delivers the same, or any part thereof, to
the winner, may sue for and recover such money by a civil action, before any court
of competent jurisdiction. For purposes of this section, gambling shall not include
pari-mutuel wagering conducted under a license issued pursuant to chapter 240, purchase
or sale of tickets in the state lottery, deleted text beginordeleted text end gambling authorized under chapters 349 and 349Anew text begin,
or participation in a fantasy game as defined under section 609.761, subdivision 7
new text end.

Sec. 3.

Minnesota Statutes 2014, section 541.21, is amended to read:


541.21 COMMITMENTS FOR GAMBLING DEBT VOID.

Every note, bill, bond, mortgage, or other security or conveyance in which the whole
or any part of the consideration shall be for any money or goods won by gambling or
playing at cards, dice, or any other game whatever, or by betting on the sides or hands
of any person gambling, or for reimbursing or repaying any money knowingly lent or
advanced at the time and place of such gambling or betting, or lent and advanced for any
gambling or betting to any persons so gambling or betting, shall be void and of no effect
as between the parties to the same, and as to all persons except such as hold or claim under
them in good faith, without notice of the illegality of the consideration of such contract or
conveyance. The provisions of this section shall not apply to:

(1) pari-mutuel wagering conducted under a license issued pursuant to chapter 240;

(2) purchase of tickets in the state lottery under chapter 349A;

(3) gaming activities conducted pursuant to the Indian Gaming Regulatory Act,
United States Code, title 25, section 2701 et seq.; deleted text beginordeleted text end

(4) lawful gambling activities permitted under chapter 349new text begin; or
new text end

new text begin (5) participation in a fantasy game as defined under section 609.761, subdivision 7new text end.

Sec. 4.

Minnesota Statutes 2014, section 609.761, is amended by adding a subdivision
to read:


new text begin Subd. 7. new text end

new text begin Fantasy games. new text end

new text begin (a) For purposes of this subdivision, the following terms
have the meanings given them:
new text end

new text begin (1) "fantasy game" means a fantasy or simulation sports game or educational game
or contest that meets the following conditions:
new text end

new text begin (i) the value of all prizes and awards offered to winning game participants are
established and made known to the game participants in advance of the fantasy game;
new text end

new text begin (ii) all winning outcomes are determined predominantly by the accumulated
statistical results of the performance of individuals, including athletes in the case of
sporting events; and
new text end

new text begin (iii) no winning outcome is based on the score, point spread, or performance
or performances of a single team or combination of such teams or solely on a single
performance of an individual athlete or player in a single event; and
new text end

new text begin (2) "game operator" means a person that offers a fantasy game for a cash prize.
new text end

new text begin (b) A fantasy game is a bona fide contest for the determination of skill under section
609.75, subdivision 3, clause (3), and is not a lottery, bet, or sports bookmaking within the
meaning of sections 609.75, 609.755, and 609.76.
new text end

new text begin (c) Sections 609.755 and 609.76 do not prohibit a game operator from offering a
fantasy game.
new text end