Pennsylvania Judge Rules Poker is a Game of Skill



In a ruling handed down by Pennsylvania Judge Thomas A. James Jr. in Columbia County on Friday, it was ruled that Texas Hold’em is a game of skill and therefore not gambling under state law. The ruling sets an “excellent bar” for future poker litigation, according to Poker Players Alliance (PPA) Executive Director John Pappas.

The basic question, according to Judge James’ ruling, is whether poker is dominated by chance or skill. He commented “Simply, if chance predominates, Texas Hold’em is gambling. If skill predominates, it is not gambling.” In Pennsylvania, video poker machines are not allowed because their outcomes are primarily due to chance, not skill. In the case of Texas Hold’em, however, Judge James explained that extensive literature exists that describes winning strategies to play the game. He even cited Mike Caro’s “Secrets of Winning Poker” by saying, “the money flows from the bad players to the strong players.”

In his ruling, Judge James explains that the “dominant factor test” has traditionally applied to games of skill and cites multiple mathematical studies that prove it, including one linking “poker and economics.” An included study even explained that players receive equal amounts of premier and lackluster starting hands. However, “Beginning poker players rely on big hands and lucky draws. Expert poker players use their skills to minimize their losses on their bad hands and maximize their profits on their big hands.” In the end, Judge James asserts, “It is apparent that skill predominates over chance in Texas Hold’em poker.”

The defendant in the case, Walter Watkins, ran a $1-$2 No Limit Hold’em game out of his garage. No rake was taken, according to the PPA. Instead, players were encouraged to tip the dealer at the end of every hand based on the pot’s size, just as they would in conventional casinos. Only Texas Hold’em was played. Also identified in the case is Diane Dent, a dealer. Both have since been cleared of charges as a result of the ruling. Pappas told Poker News Daily, “Clearly, the judge had an understanding of how poker is played. Coming to this decision, to him, was not a far leap. The decision sets an excellent bar for us in the future.”

Watkins told the Associated Press, “It’s unfortunate we had to go through all this. We were arrested, taken out of our home. Shackled and spent a night in prison. All for playing poker.” Watkins and Dent were faced with 20 charges each. Leading up to the arrest of the pair, who the Associated Press identifies as boyfriend and girlfriend, an undercover Pennsylvania State Trooper took part in the game. Dent served as the dealer when the trooper attended and the case ultimately centered on whether Texas Hold’em is “unlawful gambling” according to Pennsylvania state law. It appears as if, for the time being, that question has been answered. No word of an appeal was given as of press time.

Cited in the case are a bevy of poker-related books, studies, and websites, including HoldemSecrets.com, “Explaining Winning Poker: A Data Mining Approach,” and “Poker and the Unlawful Internet Gambling Enforcement Act.” The UIGEA, which was passed in 2006, defers to existing state and federal laws when defining what is “unlawful internet gambling.” Pappas claimed that the PPA was looking into ways to incorporate Friday’s ruling in Pennsylvania into other legal battles throughout the country. The PPA operates an extensive Litigation Network that matches embattled poker players with local lawyers. It utilizes the power of numbers to be able to pool knowledge of case law as well as the implications of precedents like the one set on Friday.

Peter Campana represented the defendants, while Thomas Leipold served as counsel for the State of Pennsylvania.

Want the latest poker news in your twitter feed? Follow PokerNewsDaily on Twitter.

11 Comments

PokerGob

This is excellent news for online poker. If this can set a precedent for other cases we are all a step closer to the goal to regulate online poker. I always suggest that people should contact their local politicians to see where they stand on the issue of “Luck v. Skill” in poker. Poker players have a better chance to make changes locally then to go to a national level.


Adriaan Smollensky

Maybe we can now start to get rid of this ridiculous act – the UIGEA – which stands more for the position of a well connected extremist that the views of the majority of Americans.


Ed

This is great news. The millions in the poker community know full well the knowledge and skill it takes to be a successful poker player. It’s such a complex game. I hope this is the start of bringing some common sense to the laws regulating poker in the US.


Martin Caplan

I will not be surprised to see this decision appealed and overturned in the State of Pennsylvania based on the theory that while skill can improve your odds of winning, the underlying scheme (game of poker), is based purely on the random (chance), distribution of cards that are dealt.


JohnWilkes

One smart judge.


Complete Idiot

poker is all luck anyway


WinAllPoker

Excellent news and a great victory for the good guys !

Hopefully this ruling transcends through to many other court cases in the US and poker is ruled as a game of skill instead of gambling as it should be.


Anonymous

The government should not be involved in online poker. It is the personal decision of whoever decides to play poker, the people of this nation does not need to be lead by the government on this decision. It is indeed unfortunate when a parent allows their child to participate in online gambling, however that is the responsibility of the parent. This is unconstitutional and revokes some of our natural liberties of this country!


bcscover

Hold-em poker is a game of luck. 90% luck 10% skill. Proove me wrong…. bcswe@yahoo.com


Irishmike

Want to change the way poker players are viewed here in Texas. Our politicians insist on allowing Texas dollars cross state borders. Most poker players drive miles an order to find games. Players are fearful that local games will be robbed or raided by local police. If you want to get involved and be a part of the growing Texas poker reform movement.We need your participation. We need your support. But right now we just need for you to visit site. We have a petition you can sign. Products such as T-shirts, coffee mugs, poker hats and bumper stickers for sale. Check it out. If you have an interest in poker our site will surely interest you, if not please pass it on to your friends, family and acquaintances, they may be future”Texas Poker Patriots”.

Our web address is http://www.texaspokerrevolution.com/

PS we also need submissions of articles pertaining to poker from all areas of the state, please send submissions to:
tpr.man_ed@yahoo.com


Ian

Europe has the freedom to play poker on the internet. Why don’t we? Have we lost our freedoms?


Leave a Comment