Risky Business: Understanding the potential consequences of gambling as an athlete - Gross McGinley, LLP - PA Law Firm - Allentown, Stroudsburg, Easton (2024)

The National Football League’s (“NFL”) suspension of Calvin Ridley, a wide receiver for the Atlanta Falcons, brought the discussion on the NFL regulations surrounding gambling to the forefront. Ridley was suspended for placing bets on NFL games this past fall, while on a leave of absence for personal matters.

The NFL’s gambling policy strictly prohibits NFL Personnel from betting on “any NFL game, practice or another event,” in any capacity, which includes bets on “game outcome, statistics, score, the performance of any individual participant, or any other kind of ‘proposition bet’ on which wagering is offered.” “NFL Personnel” is defined to encompass essentially any individual involved with the NFL, including staff members for both the league (NFL), and the individual clubs (teams), meaning players, coaches, owners, officials, security personnel, trainers, stadium personnel, and other full-time and part-time staff are subject to the NFL’s gambling policy.

Ridley, being an NFL player, falls within the definition of “NFL Personnel” and his actions of betting on NFL games were in violation of the NFL’s gambling policy discussed above. In light of a violation of the policy, the NFL, and more specifically, the Commissioner, Roger Goodell, has the authority to determine what disciplinary action to take, whether it be a fine, suspension, or a more severe penalty of termination or banishing the individual from the NFL altogether. In Ridley’s case, he was suspended indefinitely, with the ability to request reinstatement in early 2023.

In addition to gambling restrictions with the NFL, the policy extends the gambling prohibition beyond NFL events, to include competitions and events at the professional, collegiate, international, and Olympic levels. Interestingly, this policy applies to “all NFL Personnel other than Players,” indicating that NFL players are able to place bets in those situations, provided they are in compliance with other limitations, restrictions, and obligations set forth in the policy.

The NFL’s gambling policy also addresses other gambling-related prohibitions and restrictions, such as “game fixing” where an individual does something to try to manipulate or change the outcome or an aspect of a game for gambling purposes.

Other professional sports leagues such as the National Hockey League (NHL), Major League Baseball (MLB), and the National Basketball Association (NBA) impose similar regulations when it comes to athletes and personnel engaging in gambling. Gambling regulations also extend beyond the professional level, as collegiate athletes are subject to strict gambling restrictions under NCAA regulations.

While the focus on regulatory compliance in sports is often on the players, some organizations’ regulations extend beyond the players to other individuals involved in the organization, as we saw with the NFL’s policy applying to NFL Personnel. In these situations, these regulations apply to nearly all individuals associated with the sports organization, regardless of how minor the individual’s involvement with the organization is.

It is important to ensure that if you are involved with a sports organization (or any type of organization), you are aware of, and in compliance with, the organization’s regulations if you fall within the scope of the regulations. An added layer to compliance is that regulations often change. Specifically, as sports gambling continues to evolve, new regulations and compliance factors will come into play that may require the NFL to change its gambling policies. Fortunately, the team of Sports Law attorneys at Gross McGinley, LLP is well equipped to review and advise on an organization’s regulations and help guide your actions accordingly.

The content found in this resource is for informational reference use only and is not considered legal advice. Laws at all levels of government change frequently and the information found here may be or become outdated. It is recommended to consult your attorney for the most up-to-date information regarding current laws and legal matters.

Risky Business: Understanding the potential consequences of gambling as an athlete - Gross McGinley, LLP - PA Law Firm - Allentown, Stroudsburg, Easton (2024)

FAQs

Why is it illegal for athletes to gamble? ›

As of March 2024, 38 states have legalized some form of betting -- whether that be online or retail. While fans are encouraged to give it a try, athletes and those associated with leagues are strictly prohibited from gambling due to the obvious concerns of insider trading and match fixing.

Are professional athletes allowed to gamble? ›

Is sports gambling allowed? Players are allowed to bet on non-NFL events with legal sportsbooks, but all other league personnel, including coaches, officials and trainers are prohibited from all sports betting. Where is sports gambling allowed?

Are NBA players allowed to gamble? ›

For example, in the NBA, players can't bet on any basketball properties including the WNBA, G-League, Summer League or the NBA draft, but they can bet on other sports.

What are the psychological risks of sports gambling? ›

There are multiple studies showing the correlation between gambling/sports betting and the negative impact on an individual's overall mental health, including problems with depression, anxiety, suicide, and other addictive disorders.

How do pro athletes get caught gambling? ›

Essentially, they don't just know who you are but where you are. It means if an athlete logs in while at a team facility — which the NFL prohibits even if they are betting on another sport — they will be almost instantly caught.

Can D1 athletes gamble? ›

NCAA sports wagering rules do not allow student- athletes or athletics employees (1) to bet on any sport sponsored by the NCAA at any level, including college and/or professional or (2) to share information for sports wagering purposes.

What is illegal sports gambling? ›

Any sports betting activity whose type or operator is not allowed. under the applicable law of the jurisdiction where the consumer. is located” – Macolin Convention, Council of Europe.

Why can't athletes gamble? ›

The NFL unilaterally crafted the gambling policy, as part of the Commissioner's authority to protect the integrity of the game. The NFL Players Association has conceded that point. There is no bargaining to be had; the Commissioner makes the rules.

Can you make a living gambling on sports? ›

Yes, sports betting is profitable but it's not easy or guaranteed. It requires a lot of research, time, money and patience. There will always be stories about someone turning $5 into $100K off a parlay, which might increase your appetite to bet with the hopes of striking big.

Why is gambling in sports a problem? ›

Wagering can create a compulsive dynamic, affecting your mental, emotional and physical health. If your gambling tips over to addiction, it changes the way the brain operates, leading to a real need for help.

How does sports gambling work? ›

Sports betting is simply the act of risking money on the outcome of a sporting event or any aspect of a sporting event. The goal is to turn a profit. Sports betting includes wagers on the moneyline, spread, Over/Under, parlays, props and futures.

Can you own a casino and a sports team? ›

Some leagues likewise forbid owners from holding stakes in casinos. In one instance, Dan Rooney, the principal owner of the National Football League's Pittsburgh Steelers, had to buy out his brothers' stake in the team because the brothers owned racetracks in New York and Florida.

Is gambling a sin according to the Bible? ›

Although there are some who experience gambling as something rewarding and fun, it tends toward being highly addictive and potentially ruinous. The Bible doesn't call gambling a sin as such, although the Bible warns against the love of money and get-rich-quick schemes.

What are the long term effects of sports gambling? ›

Social and Mental Health Issues

The stress and anxiety associated with gambling-related financial problems can contribute to several mental health issues, including depression and suicidal thoughts. Problem gamblers may also withdraw from social activities, leading to isolation and loneliness.

Why shouldn't you gamble on sports? ›

Whether you bet on sports, scratch cards, roulette, poker, or slots—in a casino, at the track, or online—a gambling problem can strain your relationships, interfere with work, and lead to financial disaster. You may even do things you never thought you would, like running up huge debts or even stealing money to gamble.

Why did sports gambling become illegal? ›

Experts said it is the lack of support from California's powerful Native American tribes, which have the exclusive right to operate gaming in the Golden State.

Why are players not allowed to gamble? ›

It is because it might compromise the integrity of the game. For example, if a player from a certain club wagers on the club losing, said player could do everything in their power to make sure that his side loses the match.

Why can't NFL players gamble? ›

The NFL unilaterally crafted the gambling policy, as part of the Commissioner's authority to protect the integrity of the game. The NFL Players Association has conceded that point. There is no bargaining to be had; the Commissioner makes the rules.

Why you shouldn't gamble on sports? ›

The act of gambling has a powerful effect on the human mind. Wagering can create a compulsive dynamic, affecting your mental, emotional and physical health.

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