Untitled Texas Attorney General Opinion

The Attorney General of Texas August 14. 1985 JIM MATTOX Attorney General Supreme Court BuildinQ EouorableStan Schlueter opinionNo. JR-341 P. 0. BOX 12546 chairman Austin, TX. 76711-2546 Ways and Means Coamittee Re: Legalityof foreignlottery 5121475-2501 Texas House of Representatives under Texas law Telex 9101674.1387 P. 0. Box 2910 Telecopier 512/475-0266 Austin,Texas 78769 714 Jackson, Suite 709 Dear Representative Schlueter: Dallas, TX. 75202.4506 214l742-6944 You have aubaitted two advertisementsfor lotteries held in foreigncountries,me in West Germanyand one in Canada. You inquire 4624 Alberta Ave.. Suite 160 about the legality of such lotteries. You do not inquire whether El Paso. TX. 793052793 persona located in Texas who respond to such advertisementsviolate 915/533-3464 any law. 1001 Texas, Suite 700 Each advertisementdirects the participantto send his money and Houston, TX. 77002-3111 order form ~tothe i'oreiguaddress stated therein. The lottery sends 713/223-5886 tickets,a drawing schedule,or other informatiqnto the participant. The drawingtakes p:.acein the lottery'shome countryand notification is sent to winners. Federal prohibitionsagainst transportingor 806 Broadway, Suite 312 Lubbock, TX. 79401-3479 mailing lottery tlcketa, advertisements of lotteries and other 606/747-5238 materialsrelatedto lotteriesdo not apply to transportingor mailing (2) to ai addresseewithin a foreign country of 4309 N. Tenth. Suite B McAHen, TX. 76501-1665 equipment tickets, or material designed to be 5121662-4547 used within that foreign country in a lottery which is authorizedby the law of that foreign country. 200 Mai” Plaza. suite 400 ;;;g;;;;vTX. 76z05279718 U.S.C. 11307(b)(:!). The German lottery is describedin the advertisementas a state A” Equal OpportUnityI lottery with prizes guaranteedby the German government. We assume Alflrmative Action E~Wovn* for purposes of tt.isopinion that both lotteries are legal where conducted. The Texas Constitutionprovides that "[tlhe Legislature shall pass laws prohibitinglotteriesand gift enterprisesin this State." Tex. Const. art. III:,047a. The statutesprohibitinglotteriesare found in chapter47 of the Penal Code. The relevantprovisionsincludethe following: p. 1553 , DonorableStan Schlueter- Page 2 (JM-341) Section47.01. Definitions In this chapter: (1) 'Bet' means an agreement that, dependent on chance even though accompaniedby some skill, one stands to kin or lose something of value. . . . (2) 'Gamblingplace' means any real estate, building, room, ter.t,vehicle, boat, or other propertywhatsoever,one of the usea of which is the making or setl:Mng of bets, the receiving, holding, recording, or forwarding of bets or offers to bet, -- or zhe conductingof a lottery or the playingof gamblingdevices. . . . . (5) 'Gamblingparaphernalia'means any book, instrument.or app.%ratuaby means of which bets have been or may be recorded or registered;any record, ticket, certificate,bill, slip, token, writing,scratchsheLet,or other means of carrying on bookmaking,wageringpools, lotteries,numbers, policy,or similargames. (6) 'Lottery'ueans any scheme or procedure whereby one or more prieea are distributedby chance among perscns who have paid or promised considerationfor EL chance to win anything of value, whether such scheme or procedureis called a pool, lottery, xffle. gift, gift enterprise, sale, policy game, or some other name. 147.02. Gambling (a) A person ccmmitaan offenseif he: (1) makes i#bet on the partial or final result of a gems or contest or on the performance of s participant in a game or contest.. . . 047.03. GamblingI'romotion (a) A person c-its an offense if he intentionally or 'knowinglydoes any of the followingacts: p. 1554 , HonorableStan Schlueter- Paf;e3 (JM-341) (1) operater; or participates in the earningsof a gar~bling place; (2) receivers,, records, or forwards a bet or offer to bet; (3) for gain, becomes a custodian of anythingof value:bet or offeredto be bet; (4) sells chanceson the partial or final result of or on ,themargin of victory in any game or contest Ioron the performanceof any participantin zanygame or contest or on the result of any apoliticalnomination,appoint- ment, or electicnor on the degree of success of any nominee,.ippointee, or candidate;or (5) for g&u, sets up or promotes any lotteryor sells or offers to sell or knowingly possessesfor transfer,or transfersany card, stub, ticket, check, or other device designed to serve as evidence of participationin any lottery. 147.04. Keeping a :amblingPlace (a) A person G:ommits an offense if he knowingly uses or permits another to use as a gambling place any real estate, building, room, tent, vehicle,boat, or other propertywhatsoever owned by him or alder his control, or rents or lets any such proprxtywith a view or expectation that it be so used. 147.07. Possessionof GamblingParaphernalia (a) A person commits an offense if. with the intent to further gambling, he knowingly owns, manufactures,tranrifers commerciallyor possesses gamblingparaphernalia. (Emphasisadded). The chapter47 provisionson lotteriesmust be read togetherwith section 1.04 of the Penal sode, which establishesthe territorial jurisdictionof Texas over criminaloffenses: (a) This atatc! has jurisdiction over an offense that a perst?ncommitsby his own conduct the conduct of another for which he is Zninelly responsibleif: p. 1555 HonorableStan Schlueter- Page 4 (JM-34.1) (1) either the conductor a result that is an element of the.offense occurs inside this state; (2) the con&uctoutsidethis state consti- tutes an attempt to commit an offense inside this state; (3) the coninctoutsidethis state consti- tutes a conspiracyto commit an offense inside this state, and an act in furtheranceof the conspiracyoccurliinside this state. . . . The Texas SupremeCourt h,ssstated that a lotteryconductedin a foreign country did not viol,ltethe gambling statutesof Texas. In Caatillejav. Camero, 414 S.V.2d 424 (Tex. 1967). the Texas Supreme Court consideredan agreementmade in Texas to share any proceedsthat might be won in the Mexican National Lottery. The jointly owned ticketwas purchasedin Mexico. In consideringwhether the agreement was enforceable,the court stilted: The agreement. . . to jointly purchase a ticket in the National Lottery of Mexico and to divide the proceedf:, if any, was not an illegal contract. it neitlE!rviolated nor aided in the violation of any Isming statute of Texas. The only other jurisdic:tion involvedwas Mexico. In Mexico the purpose XE the contracthad the express approval of the MIzxicangovernment in that the Mexican Eovernmenthas a revenue interest in the lottery.-Thus the agreementwas to do a lawful thing -- participa,;? in the National Lottery of Mexico, in a lawful-manner-- by going to Mexico. (Emphasisadded). 414 S.W.2d at 426. See also ,Crutchfield v. Rambo, 86 S.W. 950 (Tex. Civ. App. 1905,writ- Caatillejav. Camero was decided prior to the 1973 revision of the Penal Code, which made sullstantive changesin the criminallaw of Texas. See Sharpe,Introductionto 1973 RevisionTexas Penal Code, 1 Penal CodeVII; AttorneyGeneral Opinion H-204 (1974). Moreover,it did not involveadvertisingof the foreignlotteryin Texas. Finally, the participantin the lottery traveled to Mexico to purchase the lottery tickets. We will thereforeconsiderwhether the territorial jurisdictionof this state extends to any activitiesof the foreign lotteriesthat would violate Penal Code provisionsagainst gambling. -See Penal Code 01.04. The foreign lotteries11~1 not possess gambling paraphernaliaIn Texas or keep a gambling place in Texas. -See Penal Code 447.04. p. 1556 ‘. ’ RonorableStan Schlueter- Paj;e5 (JM-341) 47.07. Nor do they commit %n Texas any of the acts of gambling promotiondescribedin subsect:lons (1) through (4) of section47.03(a) of the Penal Code. Subsection(5) of section 47.03(a) makes it an offenseto promote any lotteryor offer to sell a lotteryticket. It is possiblethat the advertisements you have submittedto us could be evidenceof lotterypromotionin Texas or offeringlotteryticketsin Texas. However,the mere presenceof the advertisements in Texas does not prove a violationof secf:i.on 47.03(a)(S). We have no information on the foreignlotteries'role, if any, in transmittingthe advertise- ments to Texas. Moreover, this matter raises issues of free speech rights and federalpower over commercewith foreign countries. See, a, Martin v. United States,389 F.2d 895 (5th Cir. 1968) (18 U.S.C. 11084, which prohibits trrn~smissionof wagering information in interstatecommerce, does not.violate First Amendment). We cannot attempt to resolve these importantissues on the meager facts before US. Whether a lotteryheld in a foreigncountrycan violate Texas Penal Code section 47.03(a)(5)by advertisingand ofl'eringlottery tickets in Texas involvesfact questions. J-l& Very truly yo s . JIM MATTOX AttorneyGeneralof Texas TOM GREEN First AssistantAttorneyGeneral DAVID R. RICRARDS ExecutiveAssistantAttorneyGeneral ROBERT GRAY SpecialAssistantAttorneyGeneral RICK GILPIN Chairman,OpinionCosunittee Preparedby Susan L. Garrison AssistantAttorneyGeneral p. 1557 HonorableStan Schlueter- Page 6 (JM-341) APPROVED: OPINIONCOMMITTEE Rick Gilpin,Chairman Colin Carl Susan Garrison Tony Guilloty Jim Hoellinger JenniferRiggs Nancy Sutton Sarah Woelk p. 1558