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Why Targeting the Domains?

The online casino gambling industry contends that the Kentucky government has no actual jurisdiction over the domain names of more than 140 internet gambling and betting sites that are on the state’s list of seized domain names. The Kentucky government on the other had asserts that the government does in fact have the right to force domain registration companies to forfeit the domain names.

Who’s right? Well it comes down to whether or not an old piece of legislation (enacted decades before the internet even came into existence) in Kentucky can stand the scrutiny of today’s standards. Hanging in the balance right now as the courts resolve the debate is the fact of more than 140 online casino gambling and betting companies that are currently operating in the Kentucky e-gambling market.

So what is this controversial piece of legislation one might ask? Well, in 1974 the state of Kentucky passed legislation that gave the state the right to seize illegal gambling “devices” that were used in relation to Kentucky gamblers. That law was never constructed to include the online casino gambling industry, but lawyers from the state assert that the domain names are the illegal devices allowing state residents to illegally gamble through the internet and therefore fair game for the state’s confiscation.

Many in the online casino gambling industry heartily object to the newly proposed legislation that would give the state power over online casinos operating internationally and the only upside to the situation is the fact that even if the legislation passes through at a state level few in the industry believe it will hold up to federal scrutiny.

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