Indian High Court classifies poker and rummy as games of skill.
Unleashing Skill in Indian Gaming: High Court Score on Poker and Rummy
In a landmark decision, the Allahabad High Court in Uttar Pradesh has declared that poker and rummy are not games of chance, but rather contingent on skill. This ruling signifies a renewal for gaming operators in India, prompting a reevaluation of past licensing denials based on outdated interpretations.
Judicial Showdown
Judges Shekhar B. Saraf and Manjive Shukla of the Allahabad High Court have recently determined that poker and rummy are predominantly skill-based. As a result, future license opinions for these games should be grounded in detailed legal precedents, rather than subjective evaluations.
The court rebuked previous licensing refusals, arguing that such decisions should be rooted in substantial evidence and judicial review, not mere assumptions. This move is in line with decisions from other Indian High Courts recognizing poker and rummy as skill-oriented activities, such as those in Calcutta, Karnataka, and Madras.
Upon listening to the respective arguments, the court underlined, "Considering that gambling is proscribed, permission was denied without considering poker and rummy as games of skill, not chance."
Impacts and Implications
The decision will substantially affect gaming operators' licensing processes in India. Recognizing poker and rummy as skillful activities paves the path for more transparent and substantiated licensing practices, spurring potential growth opportunities within the sector.
The Indian real-money online gaming industry, reportedly worth approximately $3.1 billion, is poised for significant expansion, with projections suggesting a jump to $8.92 billion over the next five years. Real-money games constitute around 85% of this revenue, emphasizing their pivotal role in the sector.
Industry's Take
The gaming industry has embraced the court's decision as a positive stride in acknowledging the legitimacy of skill-based games. Stakeholders and operators anticipate that the decision will lead to clearer regulation and additional growth prospects within the sector.
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The Allahabad High Court's decision on poker and rummy as predominantly skill-based could instigate a shift in the gambling landscape, potentially including casino-games such as poker in future legal precedents. This ruling could stimulate the Indian real-money online gaming industry, with an estimated $8.92 billion growth over the next five years, as sports and other related casino-and-gambling activities may also be reconsidered.
