Massachusetts Legalizes Sports Betting Under G.L. c. 23N

Massachusetts legalized sports wagering on August 10, 2022, when Governor Charlie Baker signed the Massachusetts Sports Wagering Act into law, codified at G.L. c. 23N. The Massachusetts Gaming Commission is the sole regulator and licensing authority. Retail sportsbooks opened January 31, 2023, and mobile platforms followed on March 10, 2023.

The law creates three operator license tiers. A Category 1 license goes to holders of an existing casino gaming license under c. 23K and covers in-person betting at the gaming establishment plus up to two branded mobile apps. A Category 2 license goes to horse or greyhound racing licensees and covers on-premises betting plus one branded mobile app. A Category 3 license is mobile-and-digital-only, and the commission caps issuance at no more than seven that aren't connected to a Category 1 or 2 holder -- the slot standalone national sportsbook apps compete for. Each operator license runs five years and costs $5 million to obtain and $5 million to renew; a one-year temporary license runs $1 million while the full application is under review.

Bettors must be at least 21. Operators pay a 20% excise on adjusted gross receipts from mobile and digital wagering and 15% on in-person receipts, remitted monthly to the Gaming Commission by the 15th of the following month. The statute also bars wagers on games involving Massachusetts-based college teams unless that team is playing in a tournament of four or more schools, which is why March Madness bets clear but a regular-season Harvard-Yale line does not.

MGC enforcement has teeth: in 2023 the commission fined MGM Springfield and Plainridge Park $20,000 each and Encore Boston Harbor $10,000 after their books took bets on in-state college games -- a Harvard-Yale line, a Merrimack-LIU matchup, a BC women's basketball game -- that the tournament exception didn't cover. Under c. 23N, § 21, the commission can also levy civil penalties up to $2,000 per violation ($5,000 per event series) and can condition, suspend, or revoke an operator's license outright.