2023 Colorado Revised Statutes › Title 18 - CRIMINAL CODE (§§ 18-1-101 — 18-26-102) › Article 10.5 - SIMULATED GAMBLING DEVICES (§§ 18-10.5-101 — 18-10.5-103) › Section 18-10.5-103 - Prohibition - penalties - exemptions

(1)
A person commits unlawful offering of a simulated gambling device if the person offers, facilitates, contracts for, or otherwise makes available to or for members of the public or members of an organization or club any simulated gambling device where:
(a)
The person receives, directly or indirectly, a payment or transfer of consideration in connection with an entrant's use of the simulated gambling device, admission to premises on which the simulated gambling device is located, or the purchase of any product or service associated with access to or use of the simulated gambling device, regardless of whether consideration in connection with such use, admission, or purchase is monetary or nonmonetary and regardless of whether it is paid or transferred before the simulated gambling device is used by an entrant; and
(b)
As a consequence of, in connection with, or after the play of the simulated gambling device, an award of a prize is expressly or implicitly made to a person using the device.
(2)
Unlawful offering of a simulated gambling device is a class 2 misdemeanor.
(3)
Without regard to any penalty imposed under subsection (2) of this section, the attorney general and each district attorney may apply to the district court of a district in which a person who violates subsection (1) of this section is located, advertises for entrants, or does business for appropriate additional relief, including:
(a)
Injunctive relief, including a temporary restraining order or preliminary or permanent injunction, to restrain and enjoin violations of this section;
(b)
Damages, up to and including three times the total dollar amount of business transacted or facilitated by any person who violates subsection (1) of this section, payable to the local jurisdiction in which the person is located, advertises for entrants, or does business; and
(c)
Other relief the district court deems appropriate.
(4)
A person who suffers any ascertainable loss of money or of any tangible or intangible personal property as a result of a violation of this section and who also holds a license to offer gambling services under Colorado law may apply to the district court of any district where the person who violates subsection (1) of this section is or was located, advertises for entrants, or does business for appropriate additional relief, including:
(a)
Injunctive relief, including a temporary restraining order or preliminary or permanent injunction, to restrain and enjoin violations of this section;
(b)
Damages up to and including three times the actual damages sustained as a result of violations of this section;
(c)
Reasonable attorney fees and costs; and
(d)
Other relief the district court deems appropriate.
(5)
The court may award reasonable attorney fees and costs to a defendant for any action filed pursuant to subsection (4) of this section that was substantially groundless, frivolous, or vexatious.
(6)
A criminal conviction against a named defendant under subsection (2) of this section is prima facie evidence of the liability of that named defendant in an action brought under subsection (3) or (4) of this section.
(7)
A civil action under this section must be filed within one year after the act or transaction giving rise to the cause of action.
(8)
Conducting or assisting in the conduct of gaming wagering activities and live or simulcast racing and pari-mutuel wagering activities otherwise authorized by Colorado law is not a violation of this section.
(9)
Nothing in this section:
(a)
Prohibits, limits, or otherwise affects any purchase, sale, exchange, or other transaction related to stocks, bonds, futures, options, commodities, or other similar instruments or transactions occurring on a stock or commodities exchange, brokerage house, or similar entity; or
(b)
Limits or alters the application of the requirements for sweepstakes, contests, and similar activities that are otherwise established under the laws of this state.
(10)
The provision of internet or other online access, transmission, routing, storage, or other communication-related services or website design, development, storage, maintenance, billing, advertising, hypertext linking, transaction processing, or other site-related services by a telephone company, internet service provider, software developer or licensor, or other party providing similar services to customers in the normal course of its business does not violate this section even if those customers use the services to conduct a prohibited game, contest, lottery, or other activity in violation of this article; except that this subsection (10) does not exempt from criminal prosecution or civil liability a software developer, licensor, or other party whose primary purpose in providing such service is to support the offering of simulated gambling devices.
(11)
This section does not apply to an owner, operator, employee, or customer of a simulated gambling device, or of a business offering simulated gambling devices, who:
(a)
Ceased participating in such activity on or before July 1, 2018; and
(b)
Provides clear documentation to the district attorney that:
(I)
A lawful contract has been entered into for the sale or transfer of all simulated gambling devices connected with the activity to a person by whom, or into a jurisdiction where, the activity is lawful; and
(II)
Consummates the contract by actually selling or transferring the simulated gambling devices within one hundred eighty days after the contract was entered into or after any simulated gambling devices that were seized, confiscated, or forfeited by law enforcement authorities have been returned, whichever occurs later.
Amended by 2021 Ch. 462, § 341, eff. 3/1/2022.
Amended by 2018 Ch. 381, § 4, eff. 6/6/2018.
Added by 2015 Ch. 24, § 1, eff. 3/13/2015.
L. 2015: Entire article added, (HB 15 -1047), ch. 60, p. 60, § 1, effective March 13. L. 2018: (1)(a) amended and (11) added, (HB 18-1234), ch. 2300, p. 2300, § 4, effective June 6. L. 2021: (2) amended, (SB 21-271), ch. 3208, p. 3208, § 341, effective 3/1/2022.
Section 803(2) of chapter 462 (SB 21-271), Session Laws of Colorado 2021, provides that the act changing this section applies to offenses committed on or after March 1, 2022.
2021 Ch. 462, was passed without a safety clause. See Colo. Const. art. V, § 1(3).