The Social & Promotional Games Association (SPGA), a body promoting regulated sweepstakes, announced that several organizations have joined its fight against California’s Assembly Bill 831. If passed, the measure would ban sweepstakes gaming in the state, putting an end to the local sweeps industry.
SPGA Says the Current Form of AB 831 Is Unclear
According to the SPGA’s announcement, its efforts to oppose AB 831 were joined by the American Civil Liberties Union (ACLU) and the Association of National Advertisers, whose members include Fortune 500 companies such as Google and NBCUniversal, among others.
The groups opposing AB 831 in its current form now include the following:
- ACLU California Action
- American Transaction Processors Coalition
- Association of National Advertisers
- Californians United for a Responsible Budget
- Social and Promotional Games Association (SPGA)
- Social Gaming Leadership Alliance (SGLA)
- Virtual Gaming World
The SPGA postulated that AB 831 was introduced through a “gut-and-amend” process. The association stated that the bill’s broad language, in its current form, would create significant legal uncertainties. It explained that the ban would not only prevent casino-like sweeps games but also common sweepstakes and promotional programs.
Because of that, consumer advocates and business leaders have joined forces in opposing the bill in its current form. According to them, the proposal should be significant revised to avoid any uncertainty, make its intent clear and prevent unintended consequences.
The SPGA Thanked Its Supporters
A SPGA spokesperson commented on the matter, thanking everyone who has joined its efforts in voicing concerns about AB 831.
This diverse coalition, including civil liberties advocates, leading businesses, and industry groups, reflects a shared belief that the bill, as written, could have unintended consequences for lawful promotional practices without offering clear consumer protections.
SPGA spokesperson
The Legal Clashes Continue
In the meantime, California’s daily fantasy sports sector is likewise facing pressure amid several lawsuits targeting DFS operators in the state. Plaintiffs have argued that the fantasy products of companies, such as FanDuel, DraftKings, Underdog Fantasy, and PrizePicks, constitute gambling and should therefore be prohibited.
This opinion was echoed by California Attorney General Rob Bonta who suggested that DFS should be banned in the state.
At the same time, tribal operators have fired shots against Kalshi as the fights over the legality of prediction markets continue. While the vertical has exploded in popularity, tribal authorities and commercial sports betting industry stakeholders have continued to insist that this model is unfair to traditional wagering operators.