This month, New Jersey adopted its first rules for fantasy sports activities, which supplement statutory requirements the state has already begun to enforce.
On Tuesday, New Jersey Attorney General Gurbir Grewal and the Division of Consumer Affairs announced the rules, implementing a law passed in 2017, which includes the stipulation that fantasy sports operators be permitted by the DCA.
According to the AG’s office, the rules also include consumer protections. Such as requiring operators to maintain ample reserves in order to satisfy financial obligations to players, and a requirement that procedures for processing participant complaints is in place. There are also restrictions on employees, officers, directors and owners of fantasy sports operations from participating.
Operators are also prohibited from extending credit participants, in a move DCA said would limit the risk of players going into debt as a result of playing. Players must also be offered the ability to self-restrict their participation, if they so desire.
The news from the DCA also put focus on issues affecting minors.
Fantasy sports operators are required to institute procedures to ensure that participants are at least 18 years of age, the DCA said. Other age restrictive protocols prohibit operators from advertising in media that targets minors, or at K-12 schools and sports venues that are used exclusively for K-12 sports activities. Any money that is held in an account that is found to have been created by a minor must be refunded.
DCA announced its first action in fantasy sports law enforcement in August.