Slot machines are illegal in North Carolina except at the two tribal casinos operated under federal gaming compacts. Outside those two properties, possessing, operating, or playing a slot machine is a criminal offense, and the state offers no license, permit, or exception for private businesses that want to run one.
Where You Can Legally Play
Two federally recognized tribes run the only legal slot machines in the state, authorized under the federal Indian Gaming Regulatory Act and Class III gaming compacts with North Carolina.1eCFR. 25 CFR Part 293 – Class III Tribal-State Gaming Compacts
The Eastern Band of Cherokee Indians operates Harrah’s Cherokee Casino Resort and Harrah’s Cherokee Valley River in western North Carolina, with thousands of slot machines and electronic gaming terminals alongside table games and sports betting.
The Catawba Indian Nation runs Catawba Two Kings Casino near Kings Mountain, currently a temporary facility with around 1,000 slot machines and electronic table games. A permanent replacement is expected to open in early 2026 with roughly 1,350 gaming positions, and the full buildout will eventually feature 4,300 slots and 100 table games.2Federal Register. Indian Gaming; Approval by Operation of Law of the Tribal-State Compact Amendment Between the Catawba Nation and the State of North Carolina
That is the entire list. There is no state licensing framework, no exemption for bars or restaurants, and no path for a private business to obtain a permit.
What Counts as an Illegal Slot Machine
N.C. Gen. Stat. 14-306.1A bans operating, allowing the operation of, or possessing “video gaming machines.” The definition is broad: it covers any electronic device where the player pays to play and the outcome depends on chance rather than skill.3North Carolina General Assembly. North Carolina Code 14-306.1A – Types of Machines and Devices Prohibited by Law; Penalties That sweeps in video poker, video keno, video bingo, digital lotto games, and any machine based on randomly matching pictures, numbers, or symbols.4Justia. North Carolina Code 14-306.1 – Types of Machines and Devices Prohibited by Law; Penalties
A separate statute, N.C. Gen. Stat. 14-306.4, targets electronic sweepstakes machines specifically. It prohibits any electronic machine that conducts or promotes a sweepstakes through an entertaining display, and it applies regardless of “any subterfuge or pretense whatsoever” used to avoid it.5North Carolina General Assembly. North Carolina Code 14-306.4 – Prohibited Electronic Sweepstakes Machines Operators have repeatedly argued their machines involve skill rather than chance, and the North Carolina Supreme Court has rejected those arguments, upholding the sweepstakes ban in Hest Technologies, Inc. v. State ex rel. Perdue (2012).6North Carolina Courts. Hest Technologies, Inc. v. State of N.C. ex rel. Perdue
Criminal Penalties for Operating or Possessing
Penalties escalate with prior convictions. Under N.C. Gen. Stat. 14-309, a first offense is a Class 1 misdemeanor, which carries up to 120 days in jail depending on your prior record. A second offense becomes a Class H felony punishable by 4 to 25 months in prison. A third or subsequent offense is a Class G felony, with 8 to 25 months or more depending on prior record level.7North Carolina Department of Public Safety. NC General Statutes – Chapter 14 Article 37
Convictions also trigger possession bans on top of the criminal sentence: one year after a first conviction, two years after a second, and a permanent ban after three or more.4Justia. North Carolina Code 14-306.1 – Types of Machines and Devices Prohibited by Law; Penalties
Playing at an illegal machine is itself a crime. N.C. Gen. Stat. 14-295 makes both keeping an illegal slot machine and playing one a Class 2 misdemeanor, punishable by up to 60 days in jail and a fine of up to $1,000.8North Carolina General Assembly. North Carolina Code 15A-1340.23 – Punishment Limits for Each Class of Offense and Prior Conviction Level9North Carolina General Assembly. Chapter 14 – Article 37 – Lotteries, Gaming, Bingo and Raffles
Property Owners, Landlords, and Bars
You do not have to own the machine to be charged. Under N.C. Gen. Stat. 14-297, a property owner or occupant who knowingly allows illegal slot machines on the premises commits a Class 2 misdemeanor and owes a $200 statutory penalty that anyone can sue to collect.10North Carolina General Assembly. North Carolina Code 14-297 – Allowing Gaming Tables, Illegal Punchboards or Slot Machines on Premises Prosecutors do not need to prove the landlord ran the machines, only that the landlord knew they were there.
For businesses with an alcohol permit, the stakes are much higher. Under N.C. Gen. Stat. 14-293, an owner convicted of knowingly allowing gambling on licensed premises permanently forfeits the alcohol license and is barred from ever obtaining one again in North Carolina, whether directly or through an agent.9North Carolina General Assembly. Chapter 14 – Article 37 – Lotteries, Gaming, Bingo and Raffles For a bar or restaurant, the license loss usually hurts more than the misdemeanor.
Employees are exposed too. Anyone who “keeps” or is “concerned in” illegal gambling activity can be charged, and North Carolina courts have not required ownership of the equipment to sustain a prosecution.
Machines and Cash Can Be Seized
Criminal charges are only part of the picture. Under N.C. Gen. Stat. 14-298, law enforcement can seize any slot machine, video gaming machine, electronic sweepstakes device, or other gambling equipment on a finding of probable cause. A district or superior court judge then orders disposition, and if the machine is unlawful to possess, it is released to law enforcement for destruction or training use. The owner receives no compensation.11North Carolina Department of Public Safety. NC General Statutes – Chapter 14 Article 37 – Section: 14-298 Seizure of Illegal Gaming Items A single raid regularly ends with dozens of machines destroyed.
Cash and other property used to run or promote illegal gambling can also be forfeited under N.C. Gen. Stat. 14-299. Seized money goes to the county’s general fund; other property is sold at auction with proceeds going to the county after costs and legitimate liens.12North Carolina General Assembly. North Carolina Code 14-299 – Property Exhibited by Gamblers to Be Seized; Disposition of Same For larger operations, prosecutors can pursue forfeiture of criminal proceeds under N.C. Gen. Stat. 14-2.3, reaching bank accounts, business profits, and other assets traceable to the gambling operation on a preponderance-of-the-evidence standard once a conviction is in hand.
Narrow Exceptions
The prohibition is broad, but a few limited exceptions exist.
Amusement Machines
Arcade-style games that do not pay out cash or anything of significant value are generally legal. A claw machine or a ticket-dispensing arcade game rewarding players with small merchandise does not cross into illegal gambling. The margin is thin. If the machine introduces a meaningful chance-based payout or allows tokens to be redeemed for cash, it falls under the prohibition. Revenue-sharing arrangements with machine suppliers can also look like gambling profit-sharing to a prosecutor.
Manufacturing or Transporting for Out-of-State or Tribal Use
Companies that assemble, manufacture, or transport gaming machines may legally possess them in North Carolina if the machines are bound for sale in another state or for use by a federally recognized tribe on tribal land. The machines must be disabled and non-operational while located in North Carolina unless they are already on tribal land under a compact.3North Carolina General Assembly. North Carolina Code 14-306.1A – Types of Machines and Devices Prohibited by Law; Penalties Warehousing gaming machines outside this narrow exemption is separately prohibited.
Antique and Collectible Machines
North Carolina law does not clearly exempt antique slot machines based on age. The statutes prohibit possession broadly, and law enforcement has seized machines from private collections. Keeping a vintage machine completely non-operational and out of public reach reduces the risk but does not eliminate it. Getting legal advice before acquiring a collectible machine is worth the cost.
Pending Legislation
The law may change. During the 2025 legislative session, House Bill 999 proposed a regulated framework for “video gaming terminals” that would be explicitly exempted from 14-306.1A. The bill would define the games as games of chance, regulate them through a commission, and permit licensed operation — a departure from the current blanket ban. As of mid-2025, it had not been enacted, but the proposal shows legislative interest in moving from prohibition toward regulation. Until such a bill becomes law, the answer for anyone outside the two tribal casinos remains the same: slot machines are illegal in North Carolina.