Mich. Admin. Code R. 432.532h - Duty of fantasy contest operators and licensed management companies
Rule 532h.
(1) A
fantasy contest operator or licensed management company must adopt commercially
reasonable procedures and internal controls to prevent a person from
establishing a fantasy contest player account if the person is prohibited from
establishing a fantasy contest player account under
R 432.532a to
R 432.532g, subject to both of the
following:
(a) If an individual has a fantasy
contest player account at the time of exclusion under
R 432.532c, the fantasy contest
player account and funds in the account must be addressed as follows:
(i) The fantasy contest player account must
be suspended, closed, or otherwise restricted so that no further deposits can
be made and no further fantasy contest entries can be submitted until such time
as the exclusion is no longer in effect.
(ii) Any funds remaining in the fantasy
contest player account must be returned to the individual or seized as directed
by the board.
(b) If an
individual has a fantasy contest player account at the time of self-restriction
under R 432.532d, the fantasy contest
player account and funds in the account must be addressed as follows:
(i) The fantasy contest player account must
be suspended, closed, or otherwise restricted so that no further deposits can
be made and no further fantasy contest entries can be submitted until such time
as the self-restriction is no longer in effect.
(ii) The individual must be allowed to
withdraw all funds in the fantasy contest player account, except as otherwise
provided in these rules or any other applicable state or federal law.
(2) A fantasy contest
operator or licensed management company must adopt commercially reasonable
procedures and internal controls to prevent a person from entering or
participating in any fantasy contest the person is prohibited from entering or
participating in under
R 432.532a to
R 432.532g, or from entering or
participating in a fantasy contest in any other manner in violation of
R 432.532a to
R 432.532g, subject to both of the
following:
(a) If an individual previously
submitted fantasy contest entries that are pending at the time of exclusion
under R 432.532c, the fantasy contest
entries must be cancelled. The corresponding entry fees must be refunded to the
individual or seized as directed by the board.
(b) If an individual previously submitted
fantasy contest entries that are pending at the time of self-restriction under
R 432.532d, the fantasy contest
entries must be cancelled and the corresponding entry fees must be refunded to
the individual.
(3) A
fantasy contest operator or licensed management company must take the following
action regarding any person that knowingly establishes a fantasy contest player
account or enters or participates in a fantasy contest in any manner in
violation of R 432.532a to
R 432.532g:
(a) Except as otherwise provided in
subdivision (b) of this subrule, the fantasy contest operator or licensed
management company must do all of the following, as applicable:
(i) Suspend the person's fantasy contest
player account for a period considered appropriate by the fantasy contest
operator or licensed management company.
(ii) Cancel any fantasy contest entries
submitted by the person for any fantasy contest the person is prohibited from
entering or participating in or that were submitted in any other manner in
violation of R 432.532a to
R 432.532g. The corresponding entry
fees must be seized by the fantasy contest operator or licensed management
company.
(iii) Seize from the
person any prizes or awards obtained from entering or participating in fantasy
contests the person is prohibited from entering or participating in or that
were obtained from entering or participating in fantasy contests in any other
manner in violation of
R 432.532a to
R 432.532g.
(b) If a fantasy contest operator or licensed
management company detects or is notified that a prohibited person established
or used a fantasy contest player account or entered or participated in a
fantasy contest in violation of these rules, the fantasy contest operator or
licensed management company must do all of the following:
(i) Suspend and immediately prohibit access
to the fantasy contest player account established by the prohibited person or
used by the prohibited person to submit any fantasy contest entry or entries or
participate in any fantasy contest. Any funds remaining in the fantasy contest
player account must be seized by the fantasy contest operator or licensed
management company.
(ii) Cancel any
fantasy contest entries that were submitted by the prohibited person and are
pending at the time the fantasy contest operator or licensed management company
detects or is notified that the person is a prohibited person. The
corresponding entry fees must be seized by the fantasy contest operator or
licensed management company.
(iii)
Seize from the prohibited person any prizes or awards obtained from entering or
participating in fantasy contests in violation of these rules.
(iv) Maintain records related to the incident
and all action taken under this subdivision. The fantasy contest operator or
licensed management company must provide a written notice to the board, by the
fifteenth day of each month, summarizing all incidents and action taken under
this subdivision during the previous month.
(c) The action may include any other action
considered appropriate by the fantasy contest operator or licensed management
company or directed by the board, which may include, but is not limited to,
temporarily or permanently restricting the person's ability to enter or
participate in fantasy contests offered by the fantasy contest operator or
licensed management company.
(4) The procedures and internal controls of a
fantasy contest operator or licensed management company must contain procedures
for both of the following:
(a) The
maintenance of sufficient information about any fantasy contest player's or
other person's activity, such that if a fantasy contest player or other person
is discovered to be using a fantasy contest player account or entering or
participating in fantasy contests in a fraudulent manner or in any other manner
in violation of these rules, the fantasy contest operator or licensed
management company and the board have all necessary information to take
appropriate action.
(b) The
processing of any prizes, awards, entry fees, and other amounts seized from a
person under this rule.
(5) For purposes of this rule, a fantasy
contest entry is considered pending if the outcome of the fantasy contest in
which the fantasy contest entry was entered has not yet been
determined.
Notes
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