N.J. Admin. Code § 13:69Q-1.5

Current through Register Vol. 56, No. 21, November 4, 2024

Section 13:69Q-1.5 - Online fixed odds wagering system standards and operational controls

(a) An online fixed odds wagering system shall utilize sufficient security to ensure patron access is appropriately limited to the account-holder. Unless otherwise authorized by the Division, security measures shall include, at a minimum:

1. A username, which shall not be in the format or syntax of an email address;

2. Password of sufficient length and complexity to ensure its effectiveness;

3. Upon account creation, the option for users to choose "strong authentication" login protection; and

4. Electronic notification to the patron's registered email address, cellular phone, or other device each time an Internet or mobile gaming account is accessed; provided, however, that a patron may opt out of such notification.

(b) An online fixed odds wagering system shall be designed with a methodology approved by the Division to ensure secure communications between a client terminal and the online fixed odds wagering system.

(c) An online fixed odds wagering system shall be designed to detect and report:

1. Suspicious behavior, such as cheating, theft, embezzlement, collusion, money laundering, or any other illegal activities; and

2. Attempts by prohibited persons to create or utilize an online fixed odds wagering account.

(d) Unless otherwise approved by the Division, an online fixed odds wagering system shall associate a patron's account with a single client terminal during each patron session.

(e) Each patron session shall have a unique identifier assigned by the online fixed odds wagering system.

(f) The online fixed odds wagering system shall immediately terminate a patron session whenever:

1. Required by the Division or operator; or

2. The patron ends a session.

(g) Fixed odds wagering systems shall prevent any patron from wagering or withdrawal activity when sufficient funds are not present in their account.

(h) Online fixed odds wagering systems shall disable a patron's account after three failed login attempts and require strong authentication to recover or reset a password or username.

(i) Online fixed odds wagering systems shall employ a mechanism that places an Internet or mobile gaming account in a suspended mode:

1. When requested by the patron for a specified period of time;

2. When required by the Division;

3. Upon a determination that a patron is a prohibited person; or

4. When initiated by an operator who has evidence that indicates:

i. Illegal activity;

ii. A negative patron account balance;

iii. After five failed ACH deposit attempts in a 10-minute period; or

iv. A violation of the terms of service.

(j) When an online fixed odds wagering account is in a suspended mode, the system shall:

1. Prevent the patron from wagering;

2. Prevent the patron from depositing funds, unless the deposit is for the purpose of remedying a negative balance;

3. Prevent the patron from withdrawing funds from his or her account, unless the suspended mode was initiated by the patron;

4. Prevent the patron from making changes to his or her account;

5. Prevent the removal of the account from the online fixed odds wagering system; and

6. Prominently display to the authorized patron that the account is in a suspended mode, the restrictions placed on the account, and any further course of action needed to remove the suspended mode.

(k) Unless the suspension was a result of a patron's self-exclusion, a licensee shall notify the accountholder through electronic mail, regular mail, or other method approved by the Division, whenever his or her account has been closed or placed in a suspended mode. Such notification shall include the restrictions placed on the account and any further course of action needed to remove the restriction.

(l) A suspended account may be restored:

1. Upon expiration of the time period established by the patron;

2. When permission is granted by the Division;

3. When the patron is no longer a prohibited person; or

4. When the operator has lifted the suspended status that it had imposed.

(m) An online fixed odds wagering system shall be capable of allowing a patron to establish the following responsible gaming limits. Any decrease to these limits shall be effective no later than the patron's next login. Any increase to these limits shall become effective only after the time period of the previous limit has expired.

1. A deposit limit shall be offered on a daily, weekly, and monthly basis and shall specify the maximum amount of money a patron may deposit into his or her account during a particular period of time.

2. A spend limit shall be offered on a daily, weekly, and monthly basis and shall specify the maximum amount of patron deposits that may be put at risk during a particular period of time.

3. A time-based limit shall be offered on a daily basis and shall specify the maximum amount of time, measured hourly from the patron's login to log-off, a patron may spend wagering on a fixed odds wagering system.

(n) A monthly report listing the total sum removed from patron accounts pursuant to this section shall be filed with the Division by each licensed wagering operator. A licensed gaming operator shall not confiscate any funds from a patron's online fixed odds wagering account, unless:

1. The patron has a confirmed chargeback, limited to the amount of the chargeback;

2. By court order;

3. The patron has engaged in cheating, collusion, chip dumping, or other illegitimate wagering activity; or

4. Otherwise approved by the Division.

(o) Unless otherwise approved by the Division, a record of all bonus and promotional wagering offers related to online fixed odds wagering, such as risk-free wagers, shall be maintained in an electronic file that is readily available to the Division. All bonus and promotional wagering offers shall be stated in clear and unambiguous terms and shall be readily accessible by the patron after the offer is accepted and prior to completion. Offer terms and the record of all offers shall include, at a minimum:

1. The date and time presented;

2. The date and time the offer is active and expires;

3. Patron eligibility, including any limitations on patron participation;

4. Any restriction on withdrawals of funds;

5. Wagering limitations or requirements for an offer to become cashable;

6. The order in which funds are used for wagers;

7. Eligible events; and

8. Rules regarding cancellation.

(p) A fixed odds wagering system shall provide a clear and conspicuous method for a patron to cancel his or her participation in a bonus or promotional wagering offer that utilizes restricted credits. If the patron elects to proceed with cancellation, unrestricted funds remaining in a patron's account shall be returned according to the terms and conditions.

(q) Once a patron has met the terms of a bonus or promotional wagering offer, the operator shall not cap or limit winnings earned while participating in the offer.

(r) Manual adjustments by a licensed wagering operator data shall only be made by a software application approved by the Division.

(s) When a patron's lifetime deposits to a fixed odds wagering account exceed $ 2,500, the online fixed odds wagering system shall immediately prevent any wagering until the patron acknowledges the following:

1. The patron has met the Division's deposit threshold of $ 2,500;

2. The patron has the capability to establish responsible gaming limits or close his or her account; and

3. The availability of 1-800-GAMBLER.

(t) The acknowledgement prescribed at (s)2 and 3 above shall be required on an annual basis thereafter.

N.J. Admin. Code § 13:69Q-1.5

Adopted by 53 N.J.R. 2081(a), effective 11/3/2021

Amended by 55 N.J.R. 1839(a), effective 8/21/2023