Opinion ID: 1165659
Heading Depth: 1
Heading Rank: 12

Heading: Utah

Text: Utah Constitution, Art. 6, § 28, reads: The Legislature shall not authorize any game of chance, lottery or gift enterprise under any pretense or for any purpose. Utah State Fair Ass'n v. Green, 68 Utah 251, 249 P. 1016, was a declaratory action brought for the purpose of testing the validity of Utah Law '25, c. 77, permitting the pari-mutuel system of betting at horse races. In that case, the Utah Supreme Court answered the question Is horse racing, as contemplated in section 6 of the act, a game of chance? The Court made an exhaustive analysis of the various definitions of games of chance and the then available decisions bearing upon the subject matter under consideration. After pointing out that the pari-mutuel device, while a recording device, is not used to play the game of horse racing, and performs no function in determining the result of the game, the Utah Court said: In the opinion of the court, if games such as horse racing, baseball, billiards, chess, and other games in which there is a basis for the exercise of judgment, learning, experience and skill, must be classed as games of chance, even though there may be an element of chance, then we are unable to determine what constitutes a game of skill as contradistinguished from a game of chance. Unless we apply the rule   [citations], and determine the question by ascertaining which is the dominating element of the game, then there is no reasonable rule by which the question can be determined. In the instant case    the result of the race is determined by the race itself, and not by any machine or other device. Everything else being equal, the fastest horse will be the first to reach the goal.    But the amount of each better's winnings cannot be foretold at the time he registers his bet. The number of persons who may bet afterwards at the same machine is unknown. This, it would seem, is an element of chance, at least to a limited extent. It is not an element of chance as to the amount he may lose, but only as to the amount he may win. If his horse wins, he knows in advance that he cannot lose more than 10 per cent. of the amount he has bet, and that could only occur in case every better bet on the same horse.    So that the chance feature of the game has nothing to do with whether the better wins or loses the race, for, as before stated, that depends on the race itself, independent of the pari-mutuel machine. Neither does the chance feature in any manner affect the amount he will lose, for this he can foresee at the time he registers his bet. (Emphasis supplied.) It seems to the court that the dominating element of the game is the race itself.    The Utah Supreme Court then turned to the proceedings of the Utah Constitutional Convention, vol. 1, pp. 937-938, wherein it is shown that the convention rejected a motion to strike from the Utah constitution the prohibition against lotteries. In the colloquy on the subject matter, Mr. Evans, the President of the convention, was opposed to deleting the lottery prohibition. He was asked by Mr. Hammond, a member of the convention, Will this prohibit horse racing? to which Mr. Evans replied, No; it will not according to the construction of the courts. The Utah Court then pointed out that Mr. Evans was a lawyer of recognized ability; that four other lawyers participated in the discussion, and that none of them challenged the correctness of Mr. Evans' statement; whereupon the motion to strike was rejected. Continuing, the Utah Supreme Court said: It goes without saying that the constitutional convention was not considering inhibiting games of chance played just for amusement. Betting and gambling was what it had in mind; otherwise, the proceeding would have been downright piddling. So that, whatever force or effect this colloquy may be entitled to in determining the intention of the convention, it must, in all fairness, be conceded that it had in mind the question of gambling on a game of chance, and also the question as to whether or not horse racing was included.    In view of the limitations imposed upon this court in passing upon the constitutionality of an act of the Legislature, as well as in view of the investigation we have made of the subject, we are not warranted in holding that the trial court erred in finding that section 6 of the act (chap. 77, Laws 1925) is not in contravention of the state Constitution.