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Can I obtain a fantasy sports license in Vermont? What are the requirements?

To obtain a fantasy sports license in Vermont, you must comply with the requirements outlined in Title 9 Vermont Statutes, Chapter 63, Subchapter 11. Fantasy Sports Contests.

License Requirements

A fantasy sports operator must file an annual registration with the Secretary of State on a form adopted for that purpose and pay an annual registration fee of $5,000.00 [1.1].

Exemption

The provisions of 13 V.S.A. chapter 51, relating to gambling and lotteries, shall not apply to a fantasy sports contest [1.3].

License Qualifications and Application Process

An applicant, principal of an applicant, and person who owns or controls an applicant, who is a natural person shall be 21 years of age or older and shall consent to the release of his or her criminal and administrative history records. The Board shall obtain a fingerprint-based Vermont criminal history record, an out-of-state criminal history record, a criminal history record from the Federal Bureau of Investigation, and any regulatory records relating to the operation of a business in this State or any other jurisdiction for each of the following who is a natural person: the applicant, each proposed principal, and each individual who would control the business. An applicant who is denied a license may appeal the Board’s determination [3.1].

Consumer Protection

A fantasy sports operator shall adopt commercially reasonable policies and procedures to prevent participation in a fantasy sports contest it offers to the public with a cash prize of $5.00 or more by: the fantasy sports operator; an employee of the fantasy sports operator or a relative of the employee who lives in the same household; or a professional athlete or official who participates in one or more real-world sporting events in the same sport as the fantasy sports contest. A fantasy sports operator shall require that a fantasy sports player is 18 years of age or older, and verify the age of each player using one or more commercially available databases, which government or business regularly use to verify and authenticate age and identity. A fantasy sports operator shall segregate player funds from operational funds, or maintain a reserve in the form of cash, cash equivalents, payment processor receivables, payment processor reserves, an irrevocable letter of credit, a bond, or a combination thereof in an amount that equals or exceeds the amount of deposits in fantasy sports player accounts, for the benefit and protection of fantasy sports player funds held in their accounts [1.2].

Based on the above information, to obtain a fantasy sports license in Vermont, you must file an annual registration with the Secretary of State, pay an annual registration fee of $5,000.00, and comply with the consumer protection requirements outlined in Title 9 Vermont Statutes, Chapter 63, Subchapter 11. Fantasy Sports Contests.

Source(s):
Jurisdiction

Vermont