Court to consider UIGEA challenge in July

Justice scales
iMEGA's challenge of the UIEGA is moving forward.

iMEGA announced today its challenge of the Unlawful Internet Gambling Enforcement Act is moving forward another step.

The U.S. 3rd Circuit Court of Appeals has notified lawyers for iMEGA and the U.S. Department of Justice that the case has tentatively been listed for July 6 in Philadelphia, Penn.

Oral arguments for the case were originally scheduled for April, but had been delayed while the Court of Appeals sent iMEGA's motion to supplement the record with news about the blocking of state lottery payments to its Merit Panel for a decision.

iMEGA had asked the Department of Justice to allow the courts to consider evidence that the UIGEA is infringing on legal online gambling.

In response to the implementation of the UIGEA, credit card companies have been classifying online transactions for state lotteries, in states such as North Dakota and New Hampshire, as illegal online gambling transactions.

The UIGEA clearly exempts state lotteries from the new regulations, but credit card companies are "over-blocking" rather than risk not complying with the new laws.

The Justice Department opposed the addition of this information in iMEGA's case against the UIGEA saying the new information was not submitted to the district court and that the challenge to the law was not an "exceptional case."

"We're very happy the Court is moving forward on this, and we're confident the Court will consider the real-world effect of the law, regardless of the DOJ's opposition," said iMEGA chairman Joe Brennan Jr.

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