Gambling Legislation

California Lawmakers Approve Rules to Significantly Alter Cardroom Landscape

David Parker
David Parker
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The changes follow years of disputes between tribes and cardrooms over game structures and regulatory authority

California regulators have approved two major rule changes that will reshape how cardrooms operate across the Golden State. The Office of Administrative Law signed off on the updates, which take effect April 1. Card rooms must submit compliance plans by May 31.

One set of rules targets player-dealer practices and third-party providers of proposition players, known as TPPPs. Going forward, the player-dealer role must be offered to every player before each hand and clearly visible to surveillance. The position must rotate to at least two non-TPPP players every 40 minutes, or the game must stop.

Only one TPPP will be allowed per table, and those providers may handle wagers only when acting as the player-dealer. If a TPPP is in the role, the next rotation must go to another player. Notices must also inform players that anyone can take the dealer spot, with limits on how much they can win or lose.

Blackjack-style games will also change. Traditional “bust” rules tied to 21 are being eliminated, and the target number can no longer be 21. Wins will be based on whose hand is closer to the set target, and in tie situations, players will win instead of pushing.

Games will no longer be permitted to use the terms “blackjack” or “21.” Card room representatives argue the adjustments threaten revenue and local jobs. Industry groups say the rules lack a clear legal necessity and are considering legal action.

Tribal gaming organizations praised the decision, calling it a step toward protecting their exclusive rights to house-banked casino games under state law.

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