iMEGA faces “tough panel” in UIGEA challenge

The Interactive Media Entertainment and Gaming Association (iMEGA) is well into their second year of a court challenge to the UIGEA. The most recent step: a hearing before the US 3rd Circuit Court of Appeals. The prognosis, according to iMEGA head Joe Brennan Jr: not so great.

Following the hearing Brennan offered the following recap: ”That was a tough panel. They bore down on us, and they went in a direction that, given the vagueness challenge we were making, seemed odd. Since the statute targets banks and credit card companies, it was unusual that there were no questions about them.”

Brennan’s current tone is markedly different than back in April when the date for the appeal was set: “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,”

The court’s questioning apparently focused primarily on two issues: an issue of space and jurisdiction (when a bet is placed on the internet, where is it actually physically placed?) and standing (does iMEGA have the right to bring this suit on the behalf of gaming customers?).

A decision by the panel isn’t expected in the immediate future - expect a ruling in the early fall or thereabouts. We’ll update as warranted.

Link to a history of past stories on the iMEGA challenge.