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2018 Georgia Code 50-27-102 | Car Wreck Lawyer

TITLE 50 STATE GOVERNMENT

Section 27. Lottery for Education, 50-27-1 through 50-27-104.

ARTICLE 3 BONA FIDE COIN OPERATED AMUSEMENT MACHINES

50-27-102. Role of corporation; implementation and certification; separation of funds and accounting; disputes.

  1. Upon successful implementation and certification of the Class B accounting terminal under the provisions of Code Section 50-27-101, and for the first fiscal year thereafter, the corporation shall:
    1. Retain 5 percent of the net receipts;
    2. Provide, within five business days of receipt, 47.5 percent of the net receipts to the location owner and location operator for the cost associated with allowing the Class B machines to be placed; and
    3. Provide, within five business days of receipt, 47.5 percent of the net receipts to the operator holding the Class B master license for the cost of securing, operating, and monitoring the machines.
  2. In each fiscal year after the implementation and certification required by subsection (a) of this Code section, the corporation's share shall increase 1 percent, taken evenly from the location owner or location operator and the operator, to a maximum of 10 percent.
  3. The corporation shall require location owners and location operators to place all bona fide coin operated amusement machine proceeds due the corporation in a segregated account in institutions insured by the Federal Deposit Insurance Corporation not later than the close of the next banking day after the date of their collection by the retailer until the date they are paid over to the corporation. At the time of such deposit, bona fide coin operated amusement machine proceeds shall be deemed to be the property of the corporation. The corporation may require a location owner or location operator to establish a single separate electronic funds transfer account where available for the purpose of receiving proceeds from Class B machines, making payments to the corporation, and receiving payments for the corporation. Unless otherwise authorized in writing by the corporation, each bona fide coin operated amusement machine location owner or location operator shall establish a separate bank account for bona fide coin operated amusement machine proceeds which shall be kept separate and apart from all other funds and assets and shall not be commingled with any other funds or assets. Whenever any person who receives proceeds from bona fide coin operated amusement machines becomes insolvent or dies insolvent, the proceeds due the corporation from such person or his or her estate shall have preference over all debts or demands. If any financial obligation to the corporation has not been timely received, the officers, directors, members, partners, or shareholders of the location owner or location operator shall be personally liable for the moneys owed to the corporation.
    1. As a condition of the license issued pursuant to this article, no master licensee or location owner or location operator shall replace or remove a Class A or Class B bona fide coin operated amusement machine from a location until the master licensee and location owner or location operator certify to the corporation that there are no disputes regarding any agreement, distribution of funds, or other claim between the master licensee and location owner or location operator; provided, however, that this certification shall not be required if a master licensee is replacing its own Class A or Class B bona fide coin operated amusement machine at a location. If either the master licensee or location owner or location operator is unable to make the certification required by this Code section, the corporation shall refer the dispute to a hearing officer as set forth in this subsection.
    2. The corporation shall have jurisdiction of all disputes between and among any licensees or former licensees whose licenses were issued pursuant to this article relating in any way to any agreement involving coin operated amusement machines, distribution of funds, tortious interference with contract, other claims against a subsequent master license holder or location owner, or any other claim involving coin operated amusement machines; provided, however, that this paragraph shall not apply to any agreement which expired on or before April 10, 2013. Except as provided in paragraph (1) of this subsection, the corporation shall refer any dispute certified by any master licensee against any other master licensee or any location owner or location operator or by any location owner or location operator against any master licensee to a hearing officer. For the purpose of service on licensees with respect to disputes, each licensee or former licensee shall register and keep current with the corporation the name of an agent and his or her address and an e-mail address which shall be made available to any licensee on request. Service by registered mail, courier delivery, or overnight mail delivered to the agent's registered address and to the e-mail address shall be adequate service on the licensee for a hearing on the dispute. All disputes subject to the provisions of this Code section certified by a master licensee, location owner, or location operator shall be decided by a hearing officer approved or appointed by the corporation. The corporation shall adopt rules and regulations governing the selection of hearing officers after consultation with the Bona Fide Coin Operated Amusement Machine Operator Advisory Board. Costs of the hearing officer's review, including any hearing set pursuant to this Code section, shall be shared equally between the parties in the dispute unless provided otherwise in the agreement or by the hearing officer; provided, however, that the corporation shall not be responsible for any of the costs associated with the dispute resolution mechanism set forth in this Code section. If any party fails to timely pay the costs of the hearing officer's review within ten days of service of notice of costs by the hearing officer, the hearing officer shall grant a default judgment on liability against the nonpaying party. The hearing officer shall then consider evidence related to damages or any other relief and shall render judgment based upon a preponderance of the evidence.
    3. The corporation shall also adopt rules governing the procedure, evidentiary matters, and any prehearing discovery applicable to disputes resolved pursuant to this Code section. Such rules shall be consistent with the Georgia Arbitration Code, and the corporation shall consult the Bona Fide Coin Operated Amusement Machine Operator Advisory Board regarding the procedures or rules adopted pursuant to this subsection. Notwithstanding Code Section 9-9-9, such procedures and rules shall include at least the right of notice to produce books, writings, and other documents or tangible things; depositions; and interrogatories.
    4. If requested by the master licensee or the location owner or location operator, the hearing officer shall conduct a hearing as to the dispute, but in no case unless extended by the hearing officer for good cause shall the hearing officer conduct a hearing more than 90 days after he or she has been appointed or selected to decide the dispute. No Class B bona fide coin operated amusement machine that is subject to the dispute resolution mechanism required by this Code section shall be removed from the terminal by a master licensee, location owner, or location operator or otherwise prevented by a master licensee, location owner, or location operator from play by the public until a final decision is entered and all appellate rights have been exhausted, or until the master licensee and location owner or location operator agree to a resolution, whichever occurs first.
    5. The decision of the hearing officer may be appealed to the chief executive officer or his or her designee. The chief executive officer shall not reverse a finding of fact of the hearing officer if any evidence supports the hearing officer's conclusion. The chief executive officer shall not reverse a conclusion of law of the hearing officer unless it was clearly erroneous, arbitrary, and capricious or exceeded the hearing officer's jurisdiction. The decision of the chief executive officer may be appealed to the Superior Court of Fulton County, which court shall not reverse the chief executive officer's findings of fact unless it is against the weight of the evidence as set forth in Code Section 5-5-21, and the chief executive officer's legal conclusions shall not be set aside unless there is an error of law.

(Code 1981, §50-27-102, enacted by Ga. L. 2013, p. 37, § 1-1/HB 487; Ga. L. 2015, p. 39, § 9/SB 190; Ga. L. 2016, p. 762, § 5/SB 388; Ga. L. 2016, p. 864, § 50/HB 737; Ga. L. 2018, p. 1112, § 50/SB 365.)

The 2015 amendment, effective July 1, 2015, added subsection (d).

The 2016 amendments. The first 2016 amendment, effective May 3, 2016, in paragraph (d)(2), added the present first four sentences, in the present fifth sentence, inserted "certified by a master licensee, location owner, or location operator", in the present seventh sentence, substituted "Code section" for "Code Section" and inserted "unless provided otherwise in the agreement or by the hearing officer", and added the last two sentences; and, in the first sentence of paragraph (d)(4), inserted "unless extended by the hearing officer for good cause". The second 2016 amendment, effective May 3, 2016, part of an Act to revise, modernize, and correct the Code, revised capitalization in subsection (b) and paragraph (d)(2).

The 2018 amendment, effective May 8, 2018, part of an Act to revise, modernize, and correct the Code, revised punctuation in the third and fourth sentences of paragraph (d)(2).

Editor's notes.

- See the Editor's notes at the beginning of this part for information on the repeal of this Code section if found to be unconstitutional and application of provisions to gambling devices on maritime vessels.

JUDICIAL DECISIONS

Statute did not void pre-existing contracts.

- In a suit for tortious interference with contractual relations, the trial court erred by granting partial summary judgment against the owners of coin-operated amusement machines because O.C.G.A. § 50-27-70, et seq. did not void preexisting contracts and it was error to interpret the statute otherwise. All Star, Inc. v. Ga. Atlanta Amusements, LLC, 332 Ga. App. 1, 770 S.E.2d 22 (2015).

Cases Citing O.C.G.A. § 50-27-102

Total Results: 2  |  Sort by: Relevance  |  Newest First

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Gebrekidan v. City of Clarkston, 298 Ga. 651 (Ga. 2016).

Cited 10 times | Published | Supreme Court of Georgia | Mar 21, 2016 | 784 S.E.2d 373

...COAM lessees; and require owners and operators to report revenues and awards, with COAMs being electronically connected to the GLC, thereby allowing the State to easily monitor and collect a tax that starts at 5% of revenues and increases to 10% over time. See OCGA §§ 50-27-84, 50-27-102....

Ultra Grp. of Companies, Inc. v. Prince & Prince, LLC (Ga. 2025).

Published | Supreme Court of Georgia | Sep 30, 2025 | 784 S.E.2d 373

...We granted Ultra’s petition for a writ of certiorari to address whether the Court of Appeals erred in affirming the Superior Court of Fulton County’s order dismissing with prejudice Ultra’s appeal to the superior court from a decision of the Georgia Lottery Corporation (“GLC”) pursuant to OCGA § 50-27-102....
...Pertinent Facts and Procedural History. The parties do not dispute the following pertinent facts. On July 30, 2021, a GLC hearing officer entered an order designated as an “Interim Award” in the parties’ GLC arbitration proceedings held pursuant to OCGA § 50-27-102 (c).1 The hearing officer largely ruled in Prince’s favor, granting summary judgment on the substantive issues regarding the application of the contract but leaving the remaining claims for fees and costs pursuant to the contract unresolved. On September 17, 2021, the hearing officer entered a second order, titled “Final Award,” which expressly adopted and incorporated the Interim Award, split the arbitration costs, and 1 At the time of the hearing, § 50-27-102(c) was then OCGA § 50-27- 102(d). In 2024, subsection (d) was redesignated as subsection (c) with minor, immaterial changes. See Ga. L. 2024, p. 739, 748-750, § 11. We note that the applicable rules of the GLC still refer to OCGA § 50-27-102(d) and not § 50-27- 102(c). 2 awarded Ultra attorney fees.2 The parties received the Final Award on October 4, 2021. Ultra sought review of the hearing officer’s Final Award by filing a...
...4 In the order granting the writ of certiorari, this Court informed the parties that it was particularly concerned with the following: When a Georgia Lottery Corporation hearing officer appointed pursuant to OCGA § 50-27-102 (c) issues a nonfinal order, must the aggrieved party file a motion for review with the Georgia Lottery Corporation’s chief executive within 10 days of receipt of that order? Would failure to timely move for review...
...issued by the GLC hearing officer and that Ultra timely appealed 6 from that order. First, it is important to view the GLC rules in context. Under Georgia law, the GLC has “jurisdiction of all disputes” involving its COAM licensees. OCGA § 50-27-102(c)(2). 4 While this Code section sets forth the general framework for appealing GLC decisions, OCGA § 50-27-102(c)(5), 5 it also directs the GLC to adopt rules governing its dispute resolution procedure. OCGA § 50-27-102(c)(3).6 4 OCGA § 50-27-102(c)(2) provides, in pertinent part: The corporation shall have jurisdiction of all disputes between and among any licensees or former licensees whose licenses were issued pursuant to this article relating in any way...
...any agreement involving coin operated amusement machines, distribution of funds, tortious interference with contract, other claims against a subsequent master licensee or location owner, or any other claim involving coin operated amusement machines[.] 5 OCGA § 50-27-102(c)(5) provides: The decision of the hearing officer may be appealed to the chief executive officer or his or her designee....
...r’s findings of fact unless it is against the weight of the evidence as set forth in Code Section 5-5-21, and the chief executive officer’s legal conclusions shall not be set aside unless there is an error of law. 6 OCGA § 50-27-102(c)(3) provides, in pertinent part: 7 As is pertinent to this case, although the GLC would not be authorized under this Code section to adopt a rule that foreclosed appeals to the superior cour...
...Such rules shall be consistent with the Georgia Arbitration Code[.] 7 Prince does not argue that construing the GLC rules to require that appeals be taken from the hearing officer’s Executive Order is inconsistent with either the Georgia Arbitration Code or OCGA § 50-27-102(c)(5). 8 We note that, although the legislature expressly provided for interlocutory review in other administrative proceedings, see OCGA § 50-13- 19(a) (stating that “[an] intermediate agency action or ruling is immediately reviewable if review of the final agency decision would not provide an adequate remedy”), it did not do so for GLC proceedings under OCGA § 50-27-102(c)....
...The Lottery is “an instrumentality of the state, and not a state agency, and a public corporation.” OCGA § 50-27-4. Further, Georgia’s Administrative Procedure Act does not apply to GLC COAM arbitrations. See OCGA § 50-27-9(a)(19) (“Hearings under Code Section 50-27-102 shall be held in accordance with the provisions of Part 1 of Article 1 of Chapter 9 of Title 9, the ‘Georgia Arbitration Code.”). 8 that “[a] party must follow the intra-agency appeal procedure as outlined in this Rule....