The racetrack operator who has contracted with an association licensed pursuant to s. 562.05(1) (b), Stats., may be penalized as if they were the association, for any failure by the association to fulfill an obligation imposed by, or an action in violation of, ch. 562, Stats., or division regulations. In making this determination the division shall consider whether the operator knew, or by exercise of due diligence should have known of the violation; the ability of the operator to independently take action to avoid the violation, or, by virtue of the contractual relationship with the association, enforce any performance by the association necessary to avoid the violation.
Wis. Admin. Code Department of Administration [Gaming] Game 4.11