ENROLLED Page 1 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. ACT No. 233 Regular Session, 2014 HOUSE BILL NO. 293 BY REPRESENTATIVES ADAMS AND LOPINTO AN ACT1 To enact R.S. 14:90.7, relative to gambling; to create the crime of gambling by electronic2 sweepstakes device; to provide for definitions; to provide for criminal penalties; to3 provide for applicability; to provide for exceptions; and to provide for related4 matters.5 Be it enacted by the Legislature of Louisiana:6 Section 1. R.S. 14:90.7 is hereby enacted to read as follows: 7 ยง90.7. Gambling by electronic sweepstakes device8 A. The Louisiana Legislature finds that in recent years various companies9 have developed electronic machines and devices to enable gambling through10 pretextual sweepstakes relationships with Internet services, telephone cards, and11 other products, and that such electronic sweepstakes systems using electronic12 gambling machines, computer terminals, and other means of presented simulated13 gambling, are contrary to the public policy of this state.14 B. Gambling by electronic sweepstakes device is the intentional conducting15 of, or directly assisting in the conducting of, as a business any game, contest, lottery,16 or contrivance whereby a person risks the loss of anything of value in order to realize17 a profit, through the operation of an electronic gaming machine or device that does18 or purports to do either of the following:19 (1) Conduct a sweepstakes through the use of a simulated gambling device,20 including the entry process or the revealing of a prize.21 (2) Promote a sweepstakes that is conducted through the use of a simulated22 gambling device, including the entry process or the revealing of a prize.23 C. For the purposes of this Section, the following definitions shall apply:24 ENROLLEDHB NO. 293 Page 2 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. (1) "Electronic gaming machine or device" means a mechanically,1 electrically, or electronically-operated machine or device that is intended to be used2 by a sweepstakes entrant and that displays the results of a game entry or game3 outcome to a participant on a screen or other mechanism at a business location,4 including a private club, that is owned, leased, or otherwise possessed, in whole or5 in part, by any person conducting the sweepstakes or by that person's partners,6 affiliates, subsidiaries, agents, or contractors. The term includes an electronic7 gaming machine or device which includes any of the following characteristics:8 (a) Uses a simulated game terminal as a representation of the prizes9 associated with the results of the sweepstakes entries.10 (b) Uses software that simulates a game that influences or determines the11 winning or value of the prize.12 (c) Selects prizes from a predetermined finite pool of entries.13 (d) Uses a mechanism that reveals the content of a predetermined14 sweepstakes entry.15 (e) Predetermines the prize results and restores those results for delivery at16 the time the sweepstakes entry is revealed.17 (f) Uses software to create a game result.18 (g) Requires a deposit of any money, coin or token, or the use of any credit19 card, debit card, prepaid card, or other method of payment to activate the electronic20 gaming machine or device.21 (h) Requires direct payment into the electronic gaming machine or device22 or remote activation of the electronic gaming machine or device.23 (i) Requires purchase of a related product and the related product has24 legitimate value.25 (j) Reveals the prize incrementally even though it may not influence whether26 a prize is awarded or the value of any prize awarded.27 (k) Determines and associates the prize with an entry or entries at the time28 the sweepstakes is entered.29 ENROLLEDHB NO. 293 Page 3 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. (2) "Enter" or "entry" means the act or process by which a person becomes1 eligible to receive any prize offered in a sweepstakes.2 (3) "Prize" means any gift, award, gratuity, good, service, credit, or anything3 else of value which may be transferred to a person whether or not possession of the4 prize is actually transferred or placed on an account or other record as evidence of5 the intent to transfer the prize. "Prize" shall not include free or additional play or6 intangible or virtual prizes that cannot be converted into money or merchandise.7 (4) "Simulated gambling device" means a mechanically or electronically8 operated machine, network, system, or device that is intended to be used by an9 entrant to a game promotion or sweepstakes and that displays a simulated gambling10 display on a screen or other mechanism at a business location, including a private11 club, that is owned, leased, or otherwise possessed, in whole or in part, by any person12 conducting the game or by that person's partners, affiliates, subsidiaries, agents, or13 contractors. The term shall include, but is not limited to:14 (a) A video poker game or any other kind of video card game.15 (b) A video bingo game.16 (c) A video craps game.17 (d) A video keno game.18 (e) A video lotto game.19 (f) Eight liner.20 (g) Pot-of-gold.21 (h) A video game based on or involving the random or chance matching of22 different pictures, words, numbers, or symbols.23 (i) A personal computer of any size or configuration that performs any of the24 functions of an electronic gaming machine or device as defined in this Section.25 (j) A slot machine.26 (5) "Sweepstakes" means any game, advertising scheme, plan, or other27 promotion that, with or without payment of any consideration, a person may enter28 to win or become eligible to receive any prize.29 ENROLLEDHB NO. 293 Page 4 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. D. Whoever commits the crime of gambling by electronic sweepstakes1 device shall be fined not more than twenty thousand dollars, imprisoned with or2 without hard labor for not more than five years, or both.3 E. The conducting or assisting in the conducting of gaming activities or4 operations upon a riverboat, at the official gaming establishment, by operating an5 electronic video draw poker device, by a charitable gaming licensee, or at a6 pari-mutuel wagering facility, conducting slot machine gaming at an eligible horse7 racing facility, or the operation of a state lottery which is licensed for operation and8 regulated under the provisions of Chapters 4 and 11 of Title 4, Chapters 4, 5, 7, and9 8 of Title 27, or Subtitle XI of Title 47 of the Louisiana Revised Statutes of 1950,10 shall not be considered gambling by electronic sweepstakes device for the purposes11 of this Section, provided that the wagering is done on the premises of the licensed12 establishment.13 F. The conducting or assisting in the conducting of pari-mutuel wagering at14 licensed racing facilities under the provisions of Chapter 4 of Title 4 of the Louisiana15 Revised Statutes of 1950 shall not be considered gambling by electronic sweepstakes16 device for the purposes of this Section provided that the wagering is done on the17 premises of the licensed establishment.18 G. Nothing in this Section shall prohibit, limit, or otherwise restrict the19 purchase, sale, exchange, or other transaction related to stocks, bonds, futures,20 options, commodities, or other similar instruments or transactions occurring on a21 stock or commodities exchange, brokerage house, or similar entity.22 H. Nothing in this Section shall limit or alter in any way the application of23 the requirements for sweepstakes, contests, prizes, and similar activities under the24 provisions of Chapter 19-A of Title 51 of the Louisiana Revised Statutes of 1950.25 I. The providing of Internet or other on-line access, transmission, routing,26 storage, or other communication-related services, or website design, development,27 storage, maintenance, billing, advertising, hypertext linking, transaction processing,28 or other site-related services, by telephone companies, Internet service providers,29 software developers, licensors, or other such parties providing such services to30 ENROLLEDHB NO. 293 Page 5 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. customers in the normal course of business, shall not be considered gambling by1 electronic sweepstakes device even though the activities of such customers using2 such services to conduct a prohibited game, contest, lottery, or contrivance may3 constitute gambling by computer for the purposes of this Section. The provisions of4 this Subsection shall not exempt from criminal prosecution any software developer,5 licensor, or other such party if its primary purpose in providing such service is to6 support the conduct of gambling as a business.7 SPEAKER OF THE HOUSE OF REPRESENTATI VES PRESIDENT OF THE SENATE GOVERNOR OF THE STATE OF LOUISIANA APPROVED: