BETS OFF Act

The term specified event means—

(A) an act of terrorism;

(B) an assassination;

(C) a war; or

(D) any event—

(i) the primary underlying characteristic of which is not financial, commercial, or economic; and

(I) that is an action taken by any government, unit of government, intergovernmental organization, or government official;

(II) the outcome of which is under the complete control of any person; or

(III) the outcome of which is known by any person in advance.

The term wager —

(A) means the staking or risking by any person of something of value upon the outcome of an event, including the outcome of any portion or aspect thereof, upon an agreement or understanding that the person or another person will receive something of value in the event of a certain outcome; and

(B) does not include insurance for which the insured holds a lawful insurable interest—

(i) under State law within the meaning of the Act of March 9, 1945 (15 U.S.C. 1011 et seq.), commonly known as the McCarran-Ferguson Act;

(ii) under foreign law, with respect to—

(I) risks located outside the United States; or

(II) the reinsurance of risks covered under clause (i); or

(iii) under Federal law, including under the—

(I) Terrorism Insurance Program established under the Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note; Public Law 107–297);

(II) National Flood Insurance Program established under the National Flood Insurance Act of 1968 (42 U.S.C. 4001 et seq.); or

(III) Federal crop insurance program established under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).

It shall be unlawful for any person to place, accept, or facilitate the placement or acceptance of a wager regarding a specified event.

The Attorney General may bring a civil action for injunctive relief in an appropriate district court of the United States against any person who violates subsection (a).

Section 1952(b) of title 18, United States Code, is amended by inserting (including conduct prohibited by section 3(a) of the Banning Event Trading on Sensitive Operations and Federal Functions Act) after gambling.

Section 1955(b) of title 18, United States Code, is amended—

(1) in paragraph (1)(i), by inserting section 3(a) of the Banning Event Trading on Sensitive Operations and Federal Functions Act or after is a violation of; and

(2) in paragraph (4), by inserting conduct prohibited by section 3(a) of the Banning Event Trading on Sensitive Operations and Federal Functions Act, after gambling includes but is not limited to.

Section 5362(1) of title 31, United States Code, is amended—

(1) in subparagraph (D), by striking and at the end;

(2) by redesignating subparagraph (E) as subparagraph (F); and

(3) by inserting after subparagraph (D) the following:

(E) includes conduct prohibited by section 3(a) of the Banning Event Trading on Sensitive Operations and Federal Functions Act, without regard to subparagraph (F) of this paragraph; and

Section 5c(c)(5) of the Commodity Exchange Act (7 U.S.C. 7a–2(c)(5)) is amended—

(1) in clause (C)(i)—

(A) by striking subclauses (II), (III), and (IV); and

(B) by redesignating subclauses (V) and (VI) as subclauses (II) and (III); and

(2) by adding at the end the following:

Notwithstanding any other provision of this section, no agreement, contract, transaction, or swap involving any specified event, as defined in section 2 of the Banning Event Trading on Sensitive Operations and Federal Functions Act (or any index, measure, value, or data related thereto, or occurrence, extent of an occurrence, or contingency based thereon), may be listed or made available for clearing or trading on or through a registered entity.