Pennsylvania Skill Games Ruling Appealed to State Supreme Court
Posted on: January 4, 2024, 09:43h.
Last updated on: January 4, 2024, 10:51h.
Last month’s landmark ruling that provided legal footing for Pennsylvania skill games has been appealed to the state’s Supreme Court.
In December, a Commonwealth Court affirmed a ruling from the Dauphin County Court of Common Pleas. That decision ordered several machines branded Pennsylvania Skill seized by state law enforcement to be returned to the host business. The ruling determined that skill gaming doesn’t constitute illegal gambling, and therefore, the Pennsylvania State Police had no legal right to confiscate the machines.
Commonwealth and county judges concluded that simply because a machine “involves a large element of chance” does not predetermine the device to be a gambling apparatus. Proponents of the terminals that have flooded restaurants and bars throughout the state argue there’s a considerable skill element to the gameplay. That’s because players must identify winning payline combinations in a limited amount of time.
It’s a landmark decision of indisputable statewide application,” declared Matthew Haverstick, attorney for Pace-O-Matic (POM), the industry leader in Pennsylvania. “These games are legal.”
Pennsylvania Skill games, which are also found in retail stores, gas stations, and grocery stores, are run by software produced by Georgia-based POM. The machines are assembled in Pennsylvania by Miele Manufacturing.
Appeal Made
Immediately after the Commonwealth Court’s unanimous 7-0 ruling finding that skill games don’t violate the state’s Gaming Act, Pennsylvania Attorney General Michelle Henry said she would appeal the case to the state’s highest court. Many of the state’s 17 land-based casinos said they’d also ask the Pennsylvania Supreme Court to review the matter.
A regulated slot machine delivers more than half of its net proceeds to the state in the form of taxes. A skill machine generates no state or local tax benefit. Casino slots are also regulated for fair play, something skill games are not.
In her appeal, Henry says the court’s rulings present dangerous consequences for consumers and the state’s gaming industry, which is one of the richest, along with Nevada and New Jersey.
“Under this Court’s precedent, if it acts like a slot machine and operates like a slot machine, it’s a slot machine. The Commonwealth accordingly seeks review,” Henry pleaded.
Casino Submit Commentary
The casinos claim the unregulated and untaxed skill games are poaching business from their gaming floors. They contest that many players who would otherwise visit their casinos to gamble are finding gaming machines closer to home in their corner bar or local convenience store.
The Commonwealth Court’s ruling opens the floodgates for unlicensed, unregulated, unlawful slot machines to dominate Pennsylvania’s gaming landscape in a manner the General Assembly sought to prevent. Under the guise of constituting so-called ‘skill’ games — when they are anything but — the Commonwealth Court allowed the POM machines to skirt the Crimes Code to effectively displace legal, taxed, highly-regulated gaming across Pennsylvania,” attorneys representing 11 of the state’s 17 physical casinos wrote in submitted testimony.
Several casinos in recent years have petitioned the Pennsylvania Gaming Control Board to reduce their number of slot machines. The casinos say demand has waned partly because of the skill games.
Harrah’s Philadelphia, for example, removed 563 slots in 2021.
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Last Comments ( 2 )
Skill machines are no different than casino slot machines. Just because it says skill doesn't change anything. It just increases your chances at losing. You still have to rely on luck to get a winning sequence. You then have limited time to find your winning matches. The bigger the prize the less amount of time you have. Perhaps casino's should adopt the same concept and greatly reduce the amount they are taxed. In my opinion Pennsylvania created another epidemic that's ruining communities. I see people spending every bit of money they have on these machines. Their social security money, EBT money and paychecks form work. Convenience stores now look like crack houses for gambling. Not being regulated sure allows free reign for these establishments to do what they want with regards to the odds at which the machines are set. It's all about the money though. What's next?
The demand for slot machines in land-based casinos has not waned partly because of skill machines. That demand has waned due to online gambling -- specifically on sports such as college and professional football. It's completely acceptable and a popular thing for folks to brag to their peer group on Monday morning about their successful online gambling prowess over the weekend. Of course, details about any losses are rarely mentioned. Telling your friends and colleagues that you spent the weekend in a casino would garner mostly negative assumptions and eye rolls that are not quickly forgotten by anyone. How fun is it to say you won $3,000 on the outcome of that initial coin toss? It's fabulous! Sharing those instant high-fives with your friends will be the absolute highlight of your day. Skill machines are not and will never be a factor in ANY of that.