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75 Fla. L. Rev. Forum 1 (2023-2024)

handle is hein.journals/flrf75 and id is 1 raw text is: 






ANTICOMPETITIVE SPORTS BETTING LICENSES AND STATE
             POWER: RESPONSE TO PROFESSOR DAY

                          Ryan  M. Rodenberg*

   In State Power  and Anticompetitive  Conduct,  Professor Gregory  Day
expertly explains  why  states face incentives to monopolize   markets1
and  comprehensively  argues  that state action immunity is misguided.2
While  the Supreme  Court  has repeatedly exempted   states from antitrust
review  as a matter of federalism3  since its seminal Parker  v. Brown4
ruling  in 1943,  Professor  Day   persuasively  posits that [t]he  ideal
proposal is to overrule Parker in its entirety.5 Professor Day unpacks his
argument  by  explaining how  anticompetitive  conduct arises when  states
use licensing requirements-a   modern   way  of insulating an incumbent's
power   and  excluding  competition-in a variety of fields, including
cosmetology,   taxidermy,   interior design,  beekeeping,   and  fortune
telling.6 In  this  Response,   I  extend  Professor   Day's   analytical
framework to another timely example of anticompetitive licensing
stemming   from state regulation: sports betting.7
    Since the  Supreme   Court's  2018  decision in Murphy v. National
Collegiate Athletic Ass'n,'  sports gambling  has been  legalized in two-
thirds of the  states and the  District of Columbia.9   The  fervent pace
resulted from the Supreme   Court's  deference to states in the absence of
any  concrete federal regulation.10 Writing  for the majority in Murphy,
Justice Samuel  Alito concluded, Congress  can regulate sports gambling



      * Professor, Florida State University
      1. Gregory Day, State Power and Anticompetitive Conduct, 75 FLA. L. REV. 637, 643
(2023).
     2. Id. at 642.
     3. Id. at 640.
     4. 317 U.S. 341 (1943).
     5. Day, supra note 1, at 682.
     6. Id. at 651 (citing Alexander Volokh, Antitrust Immunity, State Administrative Law, and
the Nature ofthe State, 52 ARIZ. ST. L.J. 191, 194 (2020)).
     7. Indeed, I cited licensing concerns as a potential legal friction when asked to forecast the
future of the U.S. sports betting industry in 2023: The next five years will see various teams and
leagues consolidate power as 'gatekeepers' in the U.S. sports betting market. Whether through
licensing schemes, integrity-risky data mandates or equity stakes in sports betting companies,
such teams and leagues will build on the legal arguments made during the Supreme Court case
and strive to monetize sports wagering as much as possible. David Purdum, Five Years into
Sports Betting Legalization: Breaking Down the Numbers, ESPN (May 12, 2023, 7:00 AM),
https://www.espn.con/chalk/story/ /id/37605381/five-years-sports-betting-legalization-
breaking-numbers-supreme-court-us-stats# [https://perma.cc/2DAL-4G8A].
     8. 138 S. Ct. 1461 (2018).
     9. Purdum, supra note 7.
     10. See Murphy, 138 S. Ct. at 1484-85.

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