Schedule Of Range Of Civil Penalties For Violations Of The Fantasy

SPORTS ACT. (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: RULES RELATED TO THE FANTASY SPORTS ACT CHAPTER 1350-05 (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. RULES RELATED TO THE FANTASY SPORTS ACT CHAPTER 1350-05 (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.