Goat format ruling
Penalty Game!

Card effect (current official text)When your opponent has 4 cards in their hand: Activate 1 of these effects.
● Your opponent cannot draw during their next Draw Phase.
● Your opponent cannot activate Spell/Trap Cards this turn.
Rulings
- Penalty Game! only requires your opponent to have 4 cards in hand when it is activated, not when it resolves. So your opponent can activate Jar of Greed to have 5 cards, or chain a Quick-Play Spell Card from his hand and have 3 cards, and Penalty Game! will still resolve.
- If you choose the first effect, neither player can activate a card that would require the opponent to draw during their next DP, such as Jar of Greed or Disturbance Strategy.
- If the second effect of Penalty Game! is chosen, the opponent can still activate the effects of cards that are already face-up on the field, such as Skull Lair or The Dragon’s Bead.
Rulings data courtesy of Format Library — formatlibrary.com. Spotted an inaccuracy? Flag it in the Goat forum — sourced change requests get reviewed.