|Rule No.||Rule Title|
|Rule Text||As used in this article:
(a) “Back” means to wager on a selected outcome occurring in a given market.
(b) “Confidential information” means the following:
(1) the amount of money credited to, debited from, or present in any particular account holder's exchange wagering account;
(2) the amount of money wagered by a particular account holder on any races or series of races;
(3) the exchange wagering account number and personal identification number of an account holder;
(4) the identities of particular entries on which the account holder is wagering or has wagered; and
(5) unless otherwise authorized by the account holder, the name, address, and all other information in possession of the exchange provider that would identify the account holder to anyone other than the Board or the exchange provider.
(c) “Credits” means all positive inflow of money to an exchange wagering account.
(d) “Debits” means all negative outflow of money from an exchange wagering account related to a wager placed from such account.
(e) “Declared Entry” means a horse withdrawn from a race in which its entry has been accepted.
(f) “Deposit” means a credit of money to an exchange wagering account from an account holder.
(g) “Exchange” means a system operated by an exchange provider in which the provider maintains one or more markets in which account holders may back or lay a selected outcome.
(h) “Exchange wagering” means a form of pari-mutuel wagering in which two or more natural persons place identically opposing wagers in a given market, as provided under Business and Professions Code section 19604.5.
(i) “Exchange wagering account,” “account” means the account established with an exchange provider by a natural person participating in exchange wagering. An account may only be established or maintained with an exchange provider by a natural person.
(j) “Exchange wagering license applicant,” “applicant” means any entity including, but not limited to, corporations, partnerships, limited liability companies, limited partnerships, or individuals that file an application with the Board to conduct exchange wagering.
(k) “Exchange wagering license application” means the application form CHRB 229 (New 5/13), Application for License to Operate Exchange Wagering, hereby incorporated by reference, which shall be available at the Board's headquarters office.
(l) “Exchange wagering licensee,” “exchange provider” means a person located within or outside of California that is authorized to offer exchange wagering to residents of California pursuant to Business and Professions Code section 19604.5 and this article.
(m) “Identically opposing wagers” means wagers in which one or more natural persons offer to lay a selected outcome at the same price at which one or more natural persons offer to back that same outcome, with the amount subject to the lay being proportionately commensurate to the amount subject to the back.
(n) “Lay” means to wager on a selected outcome not occurring in a given market.
(o) “Market” means, in relation to a given horse race or a given set of horse races, a particular outcome that is subject to exchange wagering as determined by an exchange provider.
(p) “Matched wager” means the wager that is formed when two or more natural persons, none of whom are the exchange provider or agents, are confirmed by the exchange provider as having placed identically opposing wagers in a given market on the exchange.
(q) “Means of personal identification” means the unique number, code, or other secure technology designated by an exchange wagering account holder to assure that only that account holder has access to his account.
(r) “Natural person” means a living, breathing human being, as opposed to a legal entity.
(s) “Net winnings” means the aggregate amounts payable to a natural person as a result of that person's winning matched wagers in a pool less the aggregate amount paid by that natural person as a result of that natural person's losing matched wagers in that pool.
(t) “Operating plan” means the plan submitted to the Board by an exchange provider detailing the proposed method of operation of the exchange.
(u) “Other electronic media” means any electronic communication device or combination of devices including, but not limited to, personal computers, the Internet, private networks, interactive television and wireless communication technologies, or other technologies approved by the Board.
(v) “Person” means any individual, partnership, corporation, limited liability company, or other association or organization.
(w) “Pool” means the total of all matched wagers in a given market.
(x) “Price” means the odds for a given exchange wager.
(y) “Unmatched wager” means a wager or portion of a wager placed in a given market within an exchange that does not become part of a matched wager because there are not one or more available exchange wagers in that market with which to form one or more identically opposing wagers.
(z) “Withdrawal” means a payment from an exchange wagering account by the exchange provider to the account holder.
NOTE: Authority cited: Sections 19420, 19440, 19590 and 19604.5, Business and Professions Code. Reference: Sections 19593 and 19604.5, Business and Professions Code.
1. New rule filed 8-6-13; effective 8-6-13.|