Justia Election Law Opinion Summaries
Articles Posted in Gaming Law
KalshiEX LLC v. CFTC
KalshiEx LLC, a regulated commodities exchange, sought to offer "Congressional Control Contracts" allowing individuals to bet on the outcome of the November 2024 congressional elections. The Commodity Futures Trading Commission (CFTC) prohibited these contracts, arguing they constituted gaming or election gambling, which is illegal in many states. Kalshi challenged this decision under the Administrative Procedure Act, claiming the CFTC's determination was arbitrary and capricious.The U.S. District Court for the District of Columbia ruled in favor of Kalshi, finding that the CFTC erred in categorizing the contracts as gaming or gambling. The court vacated the CFTC's decision, reasoning that the term "gaming" did not apply to election contracts and that the contracts did not involve illegal activity under state law. The CFTC then sought a stay of the district court's judgment while it pursued an appeal.The United States Court of Appeals for the District of Columbia Circuit reviewed the CFTC's emergency motion for a stay pending appeal. The court denied the motion, concluding that the CFTC failed to demonstrate that it or the public would suffer irreparable harm without a stay. The court noted that the CFTC's concerns about potential harms, such as market manipulation and threats to election integrity, were speculative and not substantiated by concrete evidence. The court left open the possibility for the CFTC to renew its stay request if more concrete evidence of irreparable harm emerged during the appeal. The administrative stay was dissolved. View "KalshiEX LLC v. CFTC" on Justia Law
Citizens for a Better Pope County v. Cross
The Supreme Court dismissed as moot Appellees' motion to dismiss the appeal by Citizens for a Better Pope County, a local option ballot question committee, holding that the claims set forth in Citizens' appeal were moot.After the Pope County Quorum Court adopted a resolution in support of a casino license application, Citizens sought declaratory and injunctive relief in the circuit court requesting an order prohibiting and county judge and quorum court from taking any official action to expressly approve a casino applicant without first presenting the issue to voters in an election, as required by Ordinance 2018-O-42. Appellees filed a motion to dismiss. The day before the hearing on the motion Ordinance 2018-O-42 was repealed. The circuit court denied declaratory relief, concluding that Ordinance 2018-O-42 unconstitutionally conflicted with amendment 100 of the Arkansas Constitution, and further held that the mandamus request was moot. The Supreme Court dismissed this appeal as moot, holding that, due to the repeal of Ordinance 2018-O-42, this Court's judgment on Citizens' claims would have no practical effect on an existing legal controversy. View "Citizens for a Better Pope County v. Cross" on Justia Law
Deon v. Barasch
Section 1513 of the Pennsylvania Race Horse Development and Gaming Act prevents the plaintiffs from making political contributions because they hold interests in businesses that have gaming licenses. They sued, claiming First Amendment and Equal Protection violations. The district court concluded that Section 1513 furthers a substantially important state interest in preventing quid pro quo corruption but ruled that the restriction is unconstitutional because the Commonwealth did not draw it closely enough. The court permanently enjoined the enforcement of Section 1513.The Third Circuit affirmed. Limitations on campaign expenditures are subject to strict scrutiny. The government must prove that the regulations promote a “compelling interest” and are the “least restrictive means to further the articulated interest.” Even applying an intermediate threshold, examining whether the statute is “closely drawn,” the Commonwealth does not meet its burden. The overwhelming majority of states with commercial, non-tribal casino gambling like Pennsylvania do not have any political contribution restrictions that apply specifically to gaming industry-related parties. The Commonwealth’s implicit appeal to “common sense” as a surrogate for evidence in support of its far-reaching regulatory scheme is noteworthy in light of the approach taken by most other similarly situated states. View "Deon v. Barasch" on Justia Law
Bogertman v. Attorney General
Eugene McCain filed an initiative petition that sought to amend Mass. Gen. Laws ch. 23K to authorize the Gaming Commission to award one additional license for a slot machine parlor. The Attorney General certified the petition. Plaintiffs, ten registered voters and residents of Suffolk County, brought an action against the Attorney General and the Secretary of the Commonwealth, contending that the petition violated tw restrictions set forth in Article 48 of the Amendments to the Massachusetts Constitution, which sets forth certain standards for initiative petitions. The Supreme Judicial Court denied relief, holding that the petition did not violate Article 48’s restrictions and was therefore properly certified by the Attorney General. View "Bogertman v. Attorney General" on Justia Law
Abdow v. Attorney Gen.
Plaintiffs, ten Massachusetts voters, submitted for certification an initiative petition that sought to prohibit casino and slots gambling that had been made legal under the Expanded Gaming Act of 2011 and to abolish parimutuel wagering on simulcast greyhound races. The Attorney General declined to certify the petition for inclusion on the November Statewide election ballot, concluding that it did not meet the requirements set forth in article 48 of the Amendments to the Massachusetts Constitution. Plaintiffs filed a complaint “for relief in the nature of mandamus” seeking an order compelling the Attorney General to certify the petition. The Supreme Judicial Court granted the requested relief, holding that the Attorney General erred in declining the certify the initiative petition, as it satisfied the requirements of article 48. View "Abdow v. Attorney Gen." on Justia Law
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Election Law, Gaming Law