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Is fantasy sports is legal in India


23-Sep-2023 (In Documentation Law)
I want to know that- Q.1. Is paid fantasy game on movies legal in India or not? Q.2. Does paid business model of fantasy movie league comes under Game of skill or not? Actually Fanatsy movie league is a type of fantasy sports in which people bet on upcoming movies and earn money by betting just like Fanatsy cricket or football which are legal in India. Just like choosing players in cricket and football, in choosing movies some skills are needed like Analysis of movie plot, songs, actors and directors of a movie to predict whether it will be a hit movie or a flop. I want to start a startup on this so I want to first know whether it's legal in India or not? Waiting for your response on this. Thank you.
Answers (1)

Answer #1
801 votes
Dear Reader

The gambling laws in India are State specific.In most State enactments games of skill are excluded from the application of gambling laws.
To understand it definition of the gambling is reproduced hereinafter:
‘Gambling’ as per most Gambling Legislation is understood to mean “the act of wagering or betting” for money or money’s worth. Gambling under the Gambling Legislations however does typically not include (i) wagering
or betting upon a horse-race/dog-race, when such wagering or betting takes place in certain
circumstances, (ii) games of “mere skill” and (iii) lotteries (which is covered under Lottery Laws).

Online gaming is Legal up to the extent, when there is use of skill which can be said as when the chances to win are not wholly based on probability, The key points from an Indian High Court’s judgment specifically regarding (challenge to this judgment was also dismissed by the Supreme Court of India therefore it attained finality)

The Court, in its ruling, stated that playing the online game involves considerable skill, judgment and discretion and that success on online games arises out of users’ exercise, superior knowledge, judgment and attention
The Court also held that ‘the element of skill’ had a predominant influence on the outcome of the game, which follows the following format:
Participants have to choose a team consisting of at least the same no. of players as playing in a real-life sports team (e.g.11 in cricket/football, 7 in handball, 7 in kabaddi )
All contests are run for at least the duration of one full sports match
No team changes are allowed by participants after the start of the sports match
On this basis, the Court adjudged that playing on constitutes a ‘game of mere skill’, which makes the game exempt from the provisions of the Public Gambling Act, 1867 (PGA).
Finally, the Court held that the online gaming is a legitimate business activity protected under Article 19(1)(g) of the Constitution of India.
You can find more information on the legality of Fantasy Sports in India on the website of the Indian Federation of Sports Gaming (IFSG): www.ifsg.in. IFSG is India’s first and only self-regulatory Sports Gaming industry body formed to protect consumer interest and create standardized best practices in the Sports Gaming industry.

NOTE: No reader should act on the basis of any statement contained herein without seeking professional advice.

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