Current through April 3, 2024
(1) The following
violations may result in civil penalties from a minimum of five thousand
dollars ($5,000) to the maximum allowed by law:
(a) Failure to use technologically reasonable
means to prevent the use of proxy servers.
(b) Failure to use commercially reasonable
means to verify a player's true identity and/or location.
(c) Failure to retain any record required to
be retained in accordance with T.C.A. §
4-49-203(c) or
these rules.
(d) Failure to report
any information required to be reported to the Sports Wagering Council pursuant
to the Fantasy Sports Act or these rules.
(e) Failure to clearly and conspicuously
disclose rules regarding fantasy sports contests.
(f) Failure to provide information concerning
assistance available to problem gamblers, in accordance with T.C.A. §
4-49-205(a)(10).
(g) Failure to implement and/or enforce
policies related to a player's self-imposed limitations as required by T.C.A.
§
4-49-205(a)(11) and
(12).
(h) Failure to timely submit the annual audit
required by T.C.A. §
4-49-204(a)(2).
(i) Any other violation not specifically
listed herein.
(2) The
following violations may result in civil penalties from a minimum of ten
thousand dollars ($10,000) to the maximum allowed by law:
(a) Failure to restrict the number of
allowable entries for fantasy sports contests in accordance with T.C.A. §
4-49-205(a)(25).
(b) Knowingly allowing the use of
unauthorized scripts, failing to monitor fantasy sports contests to detect the
use of unauthorized scripts, and/or failing to follow the provisions of T.C.A.
§
4-40-205(a)(21)-(23).
(c) Violations of any of the requirements set
forth in T.C.A. §
4-49-205(a)(18)-(20)
relating to required disclosures, player activity, and fantasy sports contests
involving beginning and experienced players.
(d) Misrepresenting the chances of winning
and/or the number of persons winning fantasy sports contests, or failing to
comply with the advertising requirements set forth in T.C.A. §
4-49-205(a)(8) and
(9).
(3) The following violations may result in
civil penalties from a minimum of fifteen thousand dollars ($15,000) to the
maximum allowed by law:
(a) Knowingly allowing
the use of auto-draft by players or offering pre-selected teams to
players;
(b) Failure to limit each
player to one (1) account and/or limit player deposits in accordance with
T.C.A. §
4-49-203(b)(7) and
these rules.
(c) Failure to
segregate player funds and/or maintain a player reserve in accordance with
T.C.A. §
4-49-205(a)(8) and
(26) and these rules.
(d) Failure to implement and enforce the
player fund protections set forth in T.C.A. §
4-49-205(a)(13).
(e) Failure to implement and enforce the
minor prevention protections set forth in T.C.A. §
4-49-205(a)(4)-(6).
(4) The following violations may
result in civil penalties from a minimum of twenty thousand dollars ($20,000)
to the maximum allowed by law:
(a) Knowingly
disclosing proprietary and nonpublic information or failing to monitor access
to proprietary and nonpublic information in violation of T.C.A. §
4-49-205(a)(15)
and/or (17)(B).
(b) Knowingly
allowing a prohibited player to participate in a fantasy sports contest in
violation of T.C.A. §
4-49-205(a)(14),
(16), and/or (17).
(5) The following violations may result in
civil penalties from a minimum of twenty-five thousand dollars ($25,000):
(a) Knowingly submitting false or misleading
information, whether oral or written, to the Sports Wagering Council.
(b) Directly or indirectly operating or
promoting to Tennessee consumers a fantasy sports contest, or promoting a
fantasy sports contest from this state to consumers outside of the state,
without a license.
(c) Knowingly
allowing any minor to participate in any fantasy sports contest.
(6) These civil penalties may be
assessed in addition to suspension, refusal to renew, or revocation of a
license issued by the Sports Wagering Council. These civil penalties are
cumulative and supplementary to any remedies or actions available to the Office
of the Attorney General and Reporter under the Fantasy Sports Act or otherwise
provided by law. These civil penalties are cumulative and supplementary to any
criminal prosecution pursuant to T.C.A. §
39-17-503.
(7) These civil penalties may be assessed by
the Sports Wagering Council for each and every violation of the Fantasy Sports
Act. Repeat occurrences of the same violation may result in separate civil
penalties for each violation.
Authority: T.C.A. §
4-49-201.
