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Can I offer contests that involve mobile apps in Ohio? What are the requirements?
To offer contests that involve mobile apps in Ohio, you need to obtain a valid license as a fantasy contest operator [2.3]. Fantasy contests offered in accordance with Chapter 3774 of the Ohio Revised Code and the rules adopted by the commission under this chapter are exempt from Chapter 2915 of the Ohio Revised Code, which governs gambling laws [3.1]. However, you must comply with all applicable state and federal requirements, as well as industry-standard procedures, to protect the privacy and online security of fantasy contest players and their accounts [2.6](A)(1)].
To obtain a license as a fantasy contest operator, you must comply with the general fantasy contest licensing requirements [2.1]. You must submit a completed application in the manner prescribed by the executive director, provide all information, documents, materials, and certifications at your sole expense and cost, and comply with all instructions [2.1](B)(C)]. You must also pay a non-refundable fee in the applicable amount, which ranges from $3,000 to $30,000, depending on the number of fantasy contest players in the state of Ohio who paid at least one entry fee in the twelve months prior to the current application for licensure [2.3](A)].
You must draft written internal procedures that include procedures for verifying the identity of fantasy contest players [2.6](A)(5)], prohibiting individuals under eighteen years of age from accessing the contests [2.6](A)(8)(a)], and ensuring that fantasy contest player funds are protected from operational funds in a manner consistent with division (A)(3) of section 3774.03 of the Revised Code and that fantasy contest player funds are shielded from creditors other than the fantasy contest players for whose benefit and protection the segregation or reserve has been established [2.6](A)(9)].
You must also comply with the duties of fantasy contest operators, which include publishing all rules or terms of each fantasy contest in a manner that enables a fantasy contest player to read the rules and terms before paying an entry fee to that contest, complying with all rules or terms described in paragraph (B) of this rule for each applicable contest, and ensuring the retention, maintenance, and prompt production of all records required to be kept pursuant to section 3774.04 of the Revised Code [2.5](B)(E)].
In summary, to offer contests that involve mobile apps in Ohio, you must obtain a valid license as a fantasy contest operator, comply with all applicable state and federal requirements, and draft written internal procedures that include procedures for verifying the identity of fantasy contest players, prohibiting individuals under eighteen years of age from accessing the contests, and ensuring that fantasy contest player funds are protected.
Source(s):
- [2.1] General fantasy contest licensing requirements.
- [2.3] Fantasy contest operator licensure.
- [2.5] Duties of fantasy contest operators.
- [3.1] Exemption from gambling laws.
- [2.6] Fantasy contest operator internal procedures.
Jurisdiction
Ohio