Background

This is the operational layer on top of Rule 21, written for the post-Murphy v. NCAA (138 S. Ct. 1461, 2018) era in which the federal Professional and Amateur Sports Protection Act (PASPA) was struck down and legalized sports betting expanded rapidly across U.S. states. MLB moved from anti-gambling absolutism to a careful licensing/sponsorship posture — Sports Gaming Companies are now official MLB sponsors (DraftKings, FanDuel, MGM among them). The Policy threads the needle: players can promote legal sports betting (I.G), can place legal bets on non-baseball sports (I.D), can own up to 1% of a Sports Gaming Company (I.H), and the MLBPA itself is explicitly excluded from the ownership prohibition. But the Rule 21(d) baseball-betting prohibition remains absolute. The annual March 1 disclosure (I.I) creates a paper trail. The pre-publication issuance — April 7, 2022, less than a month after the CBA ratification — suggests the Policy was negotiated as part of the 2022-26 CBA package. The document to cite when discussing what individual players are allowed to do with legal sportsbooks; the document that constrains how MLB itself can do business with the gambling industry; and the procedural framework for any future Rule 21(d) discipline. The Ippei Mizuhara matter (2024) implicated several of these provisions; the David Fletcher / Tucupita Marcano matters (2024) were Rule 21(d)(1)/(d)(2) cases with this Policy in the background.

Key provisions

• Section I.A — No Betting on Baseball: prohibition on betting on any professional or amateur baseball game or event (MLB, MiLB, international, college, high school, youth) including all-star, home run derby, postseason, player performance, and in-game prop bets. Also prohibits asking others to bet on the player's behalf and knowingly benefiting from or assisting bets placed by others. Cross-references MLR 21(d).
• Section I.B — Fantasy Games: prohibition on knowingly participating in fantasy baseball games with prize money (FanDuel, DraftKings, similar). Does not prohibit sponsorship/business transactions with these entities (which fall under I.G).
• Section I.C — Illegal Betting: prohibition on illegal bets on any sport, including illegal bookmakers and illegal offshore sportsbook websites/apps. Cross-references MLR 21(d)(3).
• Section I.D — Betting on Sports Other Than Baseball: explicitly permitted in jurisdictions where such bets are legal, subject to applicable law. Also permitted to participate in legal fantasy games for non-baseball sports.
• Section I.E — Game Fixing: prohibition on intentionally influencing/manipulating any baseball game or event. Also requires immediate reporting of any solicitation. Cross-references MLR 21(a).
• Section I.F — No Tipping or Disclosure of Confidential Information: prohibition on disclosing non-public information (player health, rosters, lineups, transactions, discipline, umpires) to anyone knowing it will be used in betting markets.
• Section I.G — Activities for and Grants of Rights to Legal Sports Gaming Companies: players may engage in promotional/endorsement activities for legal Sports Gaming Companies (casinos, racetracks, fantasy operators, sportsbooks, lotteries) provided that (i) the activity is otherwise consistent with the CBA, Major League Rules, and UPC; and (ii) the player does not use his attributes to advertise or promote betting on baseball games, events, prop bets, or related outcomes. Other services for Sports Gaming Companies (consulting, advising on sports betting) are prohibited.
• Section I.H — Ownership Interests in, or Indebtedness to, Sports Gaming Companies: prohibition on being a director of or holding ownership interest in, or borrowing from, a Sports Gaming Company. Exception: a player may own up to 1% of any class of securities in a Sports Gaming Company, provided no officer/director/employee/consultant role. (Note: MLBPA, MLB Players Inc., affiliates and licensees are explicitly excluded from this prohibition.)
• Section I.I — Disclosure Requirement: annual written disclosure of Ownership Interest in any Sports Gaming Company due to compliance@mlb.com by March 1 each year.
• Section II.A — Obligation to Report Prohibited Conduct: immediate reporting to MLBDOI@mlb.com or (732) 898-2364 of any violation or suspected violation.
• Section II.B — Discipline for Failure to Report: failure to report may result in disciplinary action (cross-references MLR 21(a)).
• Section II.C — Retaliation: deliberate retaliation against good-faith reporters is prohibited (even if the underlying investigation finds no misconduct).
• Discipline framework: violations subject to discipline up to and including permanent ineligibility, subject to the just cause provisions of the Basic Agreement. The Policy explicitly supersedes and replaces all prior bulletins on these subjects.

Notable provisions

Although many of the principles addressed in this Policy are already covered by Major League Rule 21 (which remains in full force and effect), we believe that additional rules are required to safeguard our sport as legalized sports betting becomes more pervasive.— Sports Betting Policy, preamble

Major League Players may not bet on any professional or amateur baseball games (including, without limitation, Major League Baseball, Minor League Baseball, international, college, high school and youth games) … Major League Players may not ask others to place bets on their behalf, knowingly benefit financially from, or knowingly assist with bets placed by others.— Sports Betting Policy I.A

Major League Players may place legal bets on sporting events other than Baseball Games and Baseball Events in jurisdictions in which such bets are legal, provided that the person placing the bet is eligible under applicable law to place the wager.— Sports Betting Policy I.D

Major League Players are prohibited from intentionally disclosing such confidential information regarding their Clubs, their Club's Minor League affiliates or MLB, or any professional or amateur baseball team or league, to any person with the knowledge that that person intends to use such confidential information in connection with the betting markets.— Sports Betting Policy I.F

a Major League Player may own shares in a Sports Gaming Company, provided that he does not own, directly or indirectly, more than 1% of any class of securities (or class of other ownership interests) in such company and does not serve as an officer, director, employee or consultant of the company.— Sports Betting Policy I.H

Further context

Sports Betting Policy for Major League Players

The collectively bargained operational policy that sits on top of Major League Rule 21 and addresses the post-PASPA era of widespread legalized sports betting. Issued April 7, 2022 — less than a month after the 2022-26 CBA ratification. Four pages.

Structure

• Section I — Prohibited Conduct (subsections A through I, covering: no baseball betting; fantasy baseball; illegal betting; betting on other sports (permitted, with caveats); game fixing; confidential information disclosure; permitted Sports Gaming Company activities; ownership interests; disclosure requirement).
• Section II — Reporting (obligation to report, discipline for failure to report, anti-retaliation).

The structural balancing act

This Policy is the document that threads the needle between MLB's century-old anti-gambling absolutism and the post-2018 legalized-betting reality. The post-Murphy v. NCAA landscape created an immediate problem for the league: legal sports betting was rapidly becoming a major revenue stream (sponsorships, data licensing, ad inventory), but the league's most enforceable rule (Rule 21) made gambling on baseball a permanent-ban offense.

The Policy resolves the tension by drawing precise lines:

• Baseball betting is absolutely prohibited for players (I.A). Rule 21 governs.
• Legal non-baseball betting is permitted (I.D).
• Promotional work with Sports Gaming Companies is permitted (I.G), but players cannot use their attributes to promote betting on baseball.
• Up to 1% passive ownership in a Sports Gaming Company is permitted (I.H).
• The MLBPA itself is excluded from the ownership prohibition entirely.

Why this matters

This Policy is the operative document for every modern gambling-related discipline matter. When analyzing the Ippei Mizuhara / Shohei Ohtani matter, the David Fletcher 1-year suspension, the Tucupita Marcano permanent ban, or any future gambling case, this Policy and Rule 21 are the textual references.

Related documents in the archive

• 2022-04-15_rules_major-league-rule-21.md — the foundational rule this Policy supplements.
• 2022-03-10_cba_mlb-cba-2022-2026.md — the just-cause provisions that govern discipline under this Policy.

Verification status

needs_review — single source. Second-source confirmation pending.

Related documents

Related documents

Major League Rule 21, 2022–2026 MLB Basic Agreement

Source provenance

• Primary source