Vigorish, or "vig," is the fee charged by a bookmaker for accepting a bet.

Bookmaking: A Comprehensive Guide to Its Legal Definition and Practices

Q: What is vigorish?

Vigorish, or &quot;vig,&quot; is the fee charged by a bookmaker for accepting a bet.

Q: Can I operate a bookmaking business without a license?

Operating a bookmaking business without a license is illegal in most states and can lead to serious legal consequences.

Definition & Meaning

Bookmaking refers to the activity of accepting bets on the outcomes of various events, primarily in sports. This practice involves determining odds and managing the financial transactions related to those bets. The term "bookmaking" comes from the historical method of recording wagers in a ledger, often referred to as a "book." In legal contexts, bookmaking is recognized as a business operation where individuals can place bets, typically for a fee known as "vigorish."

Table of content

Legal Use & context

Bookmaking is primarily associated with gambling laws and regulations. It falls under criminal law in many jurisdictions, as unauthorized bookmaking can lead to serious legal consequences. Legal bookmaking operations are often regulated at the state level, allowing licensed entities to accept bets legally. Individuals interested in engaging in bookmaking should be aware of the specific laws governing this practice in their state. Users can also find legal templates on US Legal Forms to assist in compliance with local regulations.

Key legal elements

Real-world examples

Here are a couple of examples of abatement:

1. A licensed sportsbook accepts bets on the outcome of a professional football game, offering odds based on statistical analysis and public interest.

2. An individual operates an unlicensed bookmaking operation from their home, accepting bets from friends and charging a vigorish. This scenario could lead to legal repercussions if discovered. (hypothetical example)

Relevant laws & statutes

Pursuant to the Revised Code of Washington (ARCW) § 9.46.0213, bookmaking is defined as accepting bets on the outcomes of future events as a business. Each state has its own set of laws regulating bookmaking, and understanding these is critical for compliance.

State-by-state differences

State	Legal Status
Washington	Legal with licensing; regulated by state laws.
New Jersey	Legalized sports betting with licensed operators.
California	Illegal for unlicensed operators; limited legal options.

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term	Definition
Bookmaking	Accepting bets on future events as a business.
Betting	Placing a wager on an outcome, not necessarily as a business.
Gambling	Wagering money on games of chance or skill, which may or may not involve a bookmaker.

Common misunderstandings

What to do if this term applies to you

If you are considering participating in bookmaking, first check the laws in your state to ensure compliance. If you wish to start a legal bookmaking operation, consider using the legal templates available on US Legal Forms to help navigate the requirements. If your situation is complex, seeking advice from a legal professional is recommended.

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Quick facts

Bookmaking is regulated at the state level.
Fees for placing bets are commonly known as vigorish.
Legal consequences can arise from unauthorized bookmaking activities.
States like New Jersey have legalized sports betting, while others may not.

Key takeaways

Frequently asked questions

Is bookmaking legal in all states?

No, bookmaking is regulated at the state level, and its legality varies by state.