tech-company, international, legal, gaming, indiaI have a Gaming Site idea and the idea seems to be very good on paper. Trouble is that its in the grey area where it can be called lottery or gambling - although it is not.
The Law in India says that I can host public games if they do not involve money as prize. Otherwise, I can host it in closed group format. As in some particular set of people only and not public.
Can I host the site and start my startup in India, but serve other countries where there are no such laws?
Or do I need to host and register my company in another country?
From my experience in working with India, some laws are not regulated as well as others.
That being said, if you’re from India and it’s illegal, you are definitely under their jurisdiction and you should seek legal counsel to make sure what you are building is not illegal in your country.
Even if you built from countries where it was legal, it’s still a problem with your government (this is how it is in the USA, I’m sure it’s fairly similar in India).
I would completely advise against testing your authorities on this one.
If you host and register your company in a country that doesn’t not regulate or deems legal your activities then you are free to do so.
If you then choose to provide it for others in another country, the other country doesn’t have jurisdiction over your company. They may choose to block money transfers to your accounts or close access to your domain from within their country but they legally can’t do anything to you.
However if they have close ties with the country you are in, then they will most likely persuade that government to do something if you become enough of a issue to them.
(Im not a lawyer, this is just my understanding, always check with a lawyer in your country first).
In summary, your business is bound by the laws of the country it is operating in and to a lesser degree the laws of the country your hosting your site in. But other countries still have ways (blocking payments or your domain) in their country.
Overall my advice: don’t do it, your business is unlikely to succeed if you live in a country that forbids it, even if you are registered elsewhere. They always find a way and you have to be prepared to fight (legally) or not bother at all.
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