SF 1572

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to gambling; providing for agent wagering; amending Minnesota
Statutes 2006, section 240.13, by adding a subdivision.

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

Section 1.

Minnesota Statutes 2006, section 240.13, is amended by adding a
subdivision to read:

new text begin Subd. 10. new text end

new text begin Agent wagering. new text end

new text begin (a) A class B licensee may establish an agency in its
own name or through an independent party for the purpose of entering into wagering
contracts with individuals legally qualified to wager in Minnesota. If the class B licensee
contracts with an independent party for the purpose of establishing an agency under this
subdivision, the independent party and any employees must obtain a class C license.
new text end

new text begin (b) An agent may enter into an agreement with clients who are legally qualified to
wager in Minnesota. The agreements may allow the client to fund the wagering activities
of the agent, and the agreement shall specify the terms of any distribution between the
client and the agent of any revenues received by the agent from wagering activities and
the basis for them.
new text end

new text begin (c) The wagering activities of the agent are limited to pari-mutuel horse race wagers
presently being accepted at the licensee's facility, and the agent or employee of the agent
must be physically present at the facility when the wager is placed. All wagers must be
placed into the class B licensee's pari-mutuel wagering system.
new text end

new text begin (d) For purposes of payout obligations, pari-mutuel ticket ownership and any
other laws or rules related to the placement of a wager, the wagering relationship, for
agent-placed wagers, is between the agent and the class B licensee.
new text end

new text begin (e) The agent and client may exchange property, communications, directives, and
enter into agreements in person, by letter, or by any other communication technology.
A record of all activity in a client's account must be maintained by the agent. Prior to
establishing an account, an agent shall verify that the client is legally qualified to wager
in Minnesota and shall establish a methodology for protecting the security of the client's
account. For purposes of age verification, record maintenance, and account security, the
agent must file a plan with the commission for its approval.
new text end

new text begin (f) The client may fund the account by any means acceptable to the agent, but the
agent shall not extend credit to the client.
new text end

new text begin (g) Activities conducted in compliance with this section shall not be deemed to be
violations of section 240.25, 609.755, or 609.76.
new text end

Sec. 2. new text begin EFFECTIVE DATE.
new text end

new text begin Section 1 is effective the day following final enactment.
new text end