Posted on Mon, Apr. 26, 2004


Supreme Court reverses fee award in gambling case


Associated Press

A video gambling company that won its case against the state Revenue Department over advertising does not deserve to have its attorney's fees paid, the state Supreme Court said Monday.

The high court overturned a lower court ruling awarding $25,286 in fees to Video Gaming Consultants Inc.

The Circuit Court judge had said the company was due the money because the Revenue Department "acted without substantial justification when it continued to vigorously prosecute this case" despite a U.S. Supreme Court ruling that would invalidate the state's law against video gambling advertising.

The state Supreme Court said the agency "was in no position to determine" the U.S. court's decision would make the state statute unconstitutional. "An agency has no authority to pass on the constitutionality of a statute," the court said.

Since the Revenue Department was justified in pursuing the case, the justices wrote, there was no reason to award the gambling company the fees.

South Carolina outlawed video gambling machines in July 2000.





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