Sports gambling is illegal in Texas. Here’s a pre-Super Bowl guide to the loopholes

Sports gambling is illegal under the Texas Penal Code, punishable as a Class C misdemeanor with a maximum fine of up to $500.

But there are loopholes, also known as “affirmative defenses to prosecution” under Texas law. In other words, if you get busted by law enforcement, whether it’s for bets between friends or for Super Bowl squares at an office or family party, there are valid defenses — but only if you follow the rules.

Efforts to legalize mobile digital sports gambling are stronger than ever this year in the Texas Legislature, but still face an uphill climb because of entrenched opposition in the state. Texas so far is left behind a national wave of legalization since the U.S. Supreme Court lifted the federal ban on sports betting in 2018.

Sports betting is now legal in 33 states plus Washington, D.C., this year, up from 30 states last year. Oklahoma and several other states are considering making it legal this year.

More than 50 million adults in the U.S. plan to place bets on the Super Bowl this year, with a whopping $16 billion being wagered, a 61% increase over the record set in 2022, according to an American Gaming Association survey.

Most of the betting will happen off the books, with people placing bets with an illegal bookie, or filling out squares at a party. About 28 million people plan to bet casually with friends or as part of a pool or squares contest, up 50% from 2022, the association found.

Another impact on the world of pro sports is the group’s finding that legalized sports betting also is boosting fan interest in the NFL, with 34% of NFL fans saying that the expanded legal sports betting has made watching NFL games more exciting.

Here’s what Texans need to know about what constitutes illegal gambling under the penal code’s Section 47.02. It’s a criminal offense in Texas if someone:

• “Makes a bet on the partial or final result of a game or contest or on the performance of a participant in a game or contest.”
• “Makes a bet on the result of any political nomination, appointment, or election or on the degree of success of any nominee, appointee, or candidate; or
• Plays and bets for money or other thing of value at any game played with cards, dice, balls, or any other gambling device.”

Here’s the rundown of “affirmative defenses to prosecution” in the state:

• “The actor engaged in gambling in a private place.”
• “No person received any economic benefit other than personal winnings; and
• “Except for the advantage of skill or luck, the risks of losing and the chances of winning were the same for all participants.”

Additional loopholes are allowed for charitable bingo, state lotteries and charitable raffles.

But there are some twists to keep in mind.

As the office of criminal defense lawyer Matthew Sharp in Houston explains, if two Texans are “watching the Super Bowl at (someone’s) house and they each place a bet on the outcome of the game, they are not liable to criminal prosecution. However, if (one) rents a public building and invites all of his friends to come over and place bets, he may be charged with an offense.”

The big caveat is online sports gambling.

“Online gambling takes place on the Internet, which is not a private place,” Sharp’s office explains online. “It also involves exchanges of money other than paying out winnings and it can involve an element of chance, rather than pure skill.”

Dallas Cowboys owner Jerry Jones years ago bought a stake in online sports gaming giant DraftKings. Jones and other Dallas pro sports team owners are part of the Texas Sports Betting Alliance that is pushing for legalizing mobile sports betting. Jones has said as recently as January that it’s time for the Texas Legislature to act because the state “should be getting the benefit” of sports gambling.