California Business and Professions Code 19984 – Notwithstanding any other law, a licensed gambling enterprise may …
Notwithstanding any other law, a licensed gambling enterprise may contract with a third party for the purpose of providing proposition player services at a gambling establishment, subject to the following conditions:
(a) Any agreement, contract, or arrangement between a gambling enterprise and a third-party provider of proposition player services shall be approved in advance by the department, and in no event shall a gambling enterprise or the house have any interest, whether direct or indirect, in funds wagered, lost, or won.
Terms Used In California Business and Professions Code 19984
- Commission: means the California Gambling Control Commission. See California Business and Professions Code 19805
- Contract: A legal written agreement that becomes binding when signed.
- Controlled gambling: means to deal, operate, carry on, conduct, maintain, or expose for play any controlled game. See California Business and Professions Code 19805
- Department: means the Department of Justice. See California Business and Professions Code 19805
- Gambling: means to deal, operate, carry on, conduct, maintain, or expose for play a controlled game. See California Business and Professions Code 19805
- Gambling enterprise: means a natural person or an entity, whether individual, corporate, or otherwise, that conducts a gambling operation and that by virtue is required to hold a state gambling license under this chapter. See California Business and Professions Code 19805
- House: means the gambling enterprise, and any owner, shareholder, partner, key employee, or landlord thereof. See California Business and Professions Code 19805
- Oversight: Committee review of the activities of a Federal agency or program.
- Player: means a patron of a gambling establishment who participates in a controlled game. See California Business and Professions Code 19805
- State: means the State of California, unless applied to the different parts of the United States. See California Business and Professions Code 21
- Subdivision: means a subdivision of the section in which that term occurs, unless some other section is expressly mentioned. See California Business and Professions Code 15
(b) (1) The commission shall establish reasonable criteria for, and require the licensure and registration of, any person or entity that provides proposition player services at gambling establishments pursuant to this section, including owners, supervisors, and players. The commission may impose licensing requirements, disclosures, approvals, conditions, or limitations as it deems necessary to protect the integrity of controlled gambling in this state, and may assess, and the department may collect, reasonable fees and deposits as necessary to defray the costs of providing this regulation and oversight.
(2) A person who owns or is employed by a third-party provider of proposition player services, including, but not limited to, an owner, supervisor, observer, or player, shall wear a badge that clearly identifies them as providing proposition player services, in a location that allows for public view, at all times while in a gambling establishment for which their third-party proposition player services company has a current contract.
(c) The department, pursuant to regulations of the commission, is empowered to perform background checks, financial audits, and other investigatory services as needed to assist the commission in regulating third-party providers of proposition player services, and may assess and collect reasonable fees and deposits as necessary to defray the costs of providing this regulation and oversight. The department may adopt emergency regulations in order to implement this subdivision.
(d) No agreement or contract between a licensed gambling enterprise and a third party concerning the provision of proposition player services shall be invalidated or prohibited by the department pursuant to this section until the commission establishes criteria for, and makes determinations regarding the licensure or registration of, the provision of these services pursuant to subdivision (b).
(Amended by Stats. 2021, Ch. 553, Sec. 5. (SB 819) Effective January 1, 2022.)