Internet businesses face increasing risks of being sued in any jurisdiction in which their sites can be accessed following a decision this week by the New York State Supreme Court.

Justice Charles Edward Ramos ruled that an interactive online gaming site operated from computers in Antigua was covered by New York state gaming laws because New Yorkers were able to access the site and place bets. "The act of entering the bet and transmitting the information from New York via the Internet is adequate to constitute gambling activity within New York state," he said.

Gambling, except in certain native Indian reservations, is illegal in New York. The ruling raises increasing concerns for all e-commerce businesses, which now face potential law suits in any area from which their sites can be accessed.