Sports Betting Is a Victory for States’ RightsBy Noah Feldman, BloombergMay 14, 2018 at 3:10 pmIn an important states’-rights decision announced Monday, the U.S. Supreme Court has allowed New Jersey to permit sports gambling, both by private casinos and through state-run lotteries. The case, Murphy v. NCAA, has important constitutional consequences – and could have a major economic impact as well.The law at issue is the Professional and Amateur Sports Protection Act, which Congress enacted in 1992. It prohibited states from either operating sports gambling or authorizing private actors like casinos to run sports gambling. Importantly, the law didn’t make sports gambling a federal crime. Instead, to save money on federal law enforcement, it relied on states’ existing prohibitions plus the ban on authorization.PASPA made an exception for Nevada, which allowed sports gambling in casinos, and grandfathered in three states that allowed sports lotteries or pools. The law also gave New Jersey a year to legalize sports gambling in Atlantic City. At the time, New Jersey decided against it, and when the year passed, the state fell under the general ban.