Planning To Bet With Buddies On Skee Ball? Not So Fast, Illinois Lawmaker Says

Illinois lawmakers aren’t amused by the idea of a friendly wager on skee ball, and have taken aim once again at arcade giant Dave & Buster’s.

The company announced last April that through a partnership with technology company Lucra, it would begin allowing Illinois Rewards customers the chance to bet on arcade games with their buddies.

But one Illinois legislator said the state has worked too long and too hard to properly and effectively regulate gambling and protect consumers to allow this kind of social betting.

“We have been extremely careful with how we regulate gambling in Illinois, whether that is on sports, table games, or video poker,” Sen. Bill Cunningham said via press release last Wednesday. “Arcades marketed as family fun shouldn’t be in the business of exposing minors to gambling.”

Cunningham is carrying HB 2734 in the state Senate, where Tuesday the bill is set for a second reading. It passed out of the House April 8 and most recently passed through the Senate Executive Committee last Thursday. Bills must survive three readings on a chamber floor before being sent to Gov. JB Pritzker for signature.

A similar bill proposed last year did not gain traction.

The Illinois legislature is set to adjourn May 31.

Here’s what the bill says

According to the text of the bill, betting and advertising around wagering on amusement games would be banned:

Section 14. Wagering facilitation prohibited. No owner or operator of a family amusement establishment shall facilitate wagering on amusement devices. Facilitating wagering on amusement devices includes, but is not limited to, taking any action that knowingly allows any entity to facilitate wagering on amusement devices on the family amusement establishment’s premises.

Section 15. Wagering advertising prohibited. No owner or operator of a family amusement establishment shall engage in advertising that promotes wagering on amusement devices.

Illinois lawmakers legalized retail and digital sports betting on June 28, 2019. The first retail bets were taking in March 2020 and the first digital bets in June 2020.

The Illinois Gaming Board developed regulations around legal betting, which is taxed at between 20%-40%, depending on operator handle. The legislature and the regulator implemented a comprehensive responsible gambling framework.

Different rules for social gaming

Dave & Buster’s tech partner, Lucra, offers “social gaming” in more than 40 U.S. states, and has previously said its skill-based games aren’t subject to wagering regulation. The games are also not subject to the same tax structure or responsible gambling controls as regulated sports betting or casino gaming.

Bets are placed between players — or “peer-to-peer” — as opposed to against the house, and the company doesn’t use words like “bet” or “wager,” instead calling its games “contests” or “challenges.”

“I’d like to see the state deal with this issue before it becomes a problem,” Cunningham said. “Arcade places are not built to oversee unregulated gambling activities.”