NC S589

Establishes a new Chapter 78E requiring fantasy sports contest operators to register with the Department of the Secretary of State before offering contests in North Carolina.

Sets registration fees at 10% of previous year's gross revenues (minimum $2,500, maximum $10,000 for initial registration) and 5% of net revenue or $5,000 for renewal (whichever is less), with registrations valid for 5 years.

Requires operators to implement procedures preventing employees and their families from competing, protecting non-public information, verifying players are 18+ years old, segregating player funds, and preventing contests based on high school, college, or youth athletic performances.

Authorizes the Department to deny, suspend, or revoke registrations and assess civil penalties up to $1,000 per violation (maximum $10,000 for continuing violations) for violations including false statements, fraud, criminal convictions, or non-compliance with the chapter.

Declares that fantasy sports contests conducted under this chapter do not constitute gambling or gaming under North Carolina law and are exempt from gambling statutes.