Ninth Circuit gives bad beat to online sports-betting exchanges

Filed 1mo ago · Via Courthouse News · The Buffoon Desk

THIS STORY IS SCORED

The Entertainer

Kevin MacLeod · incompetech.com · CC BY 4.0

Photo: Phillip Pessar · CC BY 2.0 · via Wikimedia Commons

The Ninth Circuit affirmed a lower court's decision to dissolve an injunction that had blocked Nevada from regulating KalshiEX's sports-event contracts, ruling there's little difference between a sportsbook and a designated contract market.

Judge Ryan Nelson, joined by fellow Trump appointees Bridget Bade and Kenneth Lee, wrote that KalshiEX's own marketing — calling itself “the first app for legal sports betting in all 50 states” — undercut its argument that its contracts weren't gambling. The panel remanded Nevada's separate challenge to KalshiEX's election contracts for further proceedings.

Robinhood, a co-plaintiff, said it plans to appeal, insisting its contracts are federally regulated. Nevada's Attorney General's Office and the other exchanges did not respond to requests for comment.

The full dispatch is available from the source below.

✒ FROM THE EDITORIAL DESK

When a company's ad copy says “legal sports betting” and its legal brief says “definitely not gambling,” a court noticing the contradiction isn't activism, it's reading comprehension. The exchanges built a business on regulatory arbitrage and are now discovering that judges can read advertisements too.

Source: Read the original at Courthouse News → Scored: The Entertainer · Kevin MacLeod · CC BY 4.0