The Social Gaming Leadership Alliance (SGLA) has fired another warning in the direction of California businesses that could be at risk of criminal liability if Bill 831 passes.
The watchdog has been vocal about the pitfalls a business could bring upon themselves for promotion or the operation of games like sweepstakes in light of the legislative push.
The SGLA urged lawmakers to reject AB831 during today’s California Senate Governmental Organization Committee hearing on the bill. Why?
AB831 would:
Ban online social games that offer legal “freemium plus sweepstakes” options
— Social Gaming Leadership Alliance (SGLA) (@SGLeadership) July 8, 2025
SGLA warns of criminal backlash of sweepstakes bill
As we reported, Bill 831 has been a political hotbed of opinion, with the SGLA at the heart of the comment in supporting the Social and Promotional Games Association (SPGA) in their criticism of the Bill.
Social Gaming Leadership Alliance (SGLA) Executive Director and former Congressman Jeff Duncan has been vocal about his opposition to the bill. He said, “This rushed proposal not only cuts Californians off from the free-to-play games they enjoy and a potential revenue stream for the state, but it also threatens to criminalize the businesses that drive California’s economy,
The bill will be progressing to its second round of legislative hearings (15 July 2025). It could bring a blanket ban on any legalized gambling in the form of sweepstakes, as well as an entity’s ability to host or incentivize promotional offers.
The SGLA has a dedicated website that allows concerned parties in California to add their weight by logging complaints akin to a petition against the legislation’s passing.
In a recent press release seen by ReadWrite, the SGLA also forewarned that the “proposed legislation would criminalize routine business services across tech, finance, and media sectors.”
SGLA highlights key issues with Bill 831
This release included key criticisms of the legislation for impractical monitoring requirements, unfair criminal liability, and a lack of clear standards, according to the SGLA.
In a letter opposing Assembly Bill 831, the Executive Director of the American Transaction Processors Coalition, H. West Richards, said:
“A blanket prohibition on online sweepstakes would have far-reaching and unintended consequences – stifling innovation, undermining lawful business models, and reducing customer access.”
The SGLA and the SPGA aren’t the only complaining parties in the Sunshine State, as notable other entities such as the ACLU California Action, American Transaction Processors Coalition, Association of National Advertisers and Californians United for a Responsible Budget are all in open opposition.
“We urge California lawmakers to take California businesses out of the crosshairs by making AB831 a two-year bill, allowing for a more thoughtful, consultative and collaborative process,” Congressman Duncan concluded.
Featured image: Pixlr AI-generated.
The post SGLA warns of criminal liability for businesses if Bill 831 passes appeared first on ReadWrite.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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