Washington State Court Upholds Tribal Sports Betting Monopoly, Defeats Maverick Challenge

Washington State Court Upholds Tribal Sports Betting Monopoly, Defeats Maverick Challenge

By Michael Harrison

December 17, 2024 at 01:12 PM

A Washington state appeals court has upheld the dismissal of Maverick Gaming's challenge to tribal exclusivity in sports betting, dealing a significant blow to the card room operator's expansion plans.

The 9th Circuit court panel affirmed a lower court's February 2023 decision, maintaining that the case cannot proceed without the Shoalwater Bay Tribe's participation, which is protected by sovereign immunity.

Smiling businessman outdoors

Smiling businessman outdoors

Maverick Gaming, which acquired 19 card rooms in Washington in 2019, had argued that the state's tribal-only sports betting law created an unconstitutional monopoly and violated the Indian Gaming Regulatory Act (IGRA). The company claimed the federal government acted unlawfully in approving the state's compact amendments for sports betting.

Key points from the court's decision:

  • The Shoalwater Bay Tribe's voluntary intervention for limited purposes did not waive its sovereign immunity
  • The case directly affects tribal sovereign and economic interests in gaming exclusivity
  • The litigation cannot proceed without the tribe's participation
  • Maverick's attempt to invalidate tribal gaming compacts conflicts with IGRA's core purpose

The ruling presents a significant obstacle for Maverick Gaming CEO Eric Persson, himself a Shoalwater Bay tribal member, who has indicated willingness to take the fight to the Supreme Court.

This decision effectively preserves Washington's current tribal gaming structure, where federally recognized tribes maintain exclusive rights to offer sports betting through state-approved compacts.

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