Gambling involves any activity in which a person places a bet or wager. Generally, a bet or wager occurs when a person risks something of value on the outcome of an uncertain event; (1) in which the bettor does not exercise any control; or (2) which is determined predominately by chance.
Courts often oversimplify this definition by concluding that gambling is any activity that involves a prize, consideration, and chance. Without all three elements, the activity is not gambling. For example, an Internet site may allow visitors to play virtual casino games for small prizes, without requiring them to pay anything. In this example, the activity is not gambling because the element of consideration is missing. A discussion of each element is helpful in deciding whether a particular activity is gambling.