Washington State cardroom group sues over tribal sports-betting exclusivity

Haley Hintze
Haley Hintze
Posted on: January 21, 2022 17:10 PST

The largest independent operator of cardrooms in the State of Washington has filed suit against state and federal officials over its awarding of exclusive sports-betting rights in the state to tribal entities. Maverick Gaming LLC, which operates 19 of Washington's 44 licensed cardrooms, seeks to have the state's altered compacts with 16 of the state's tribal nations declared invalid.

Washington's state legislators approved tribal exclusivity in March 2020 on a case-by-case basis, and the first sports betting in the state went live in 2021 at Snoqualmie Casino. Two other tribal casinos have since joined the market.

Maverick Gaming's lawsuit names several defendants, including U.S. Secretary of the Interior Deb Haaland, Washington Governor Jay Inslee, Washington State Attorney General Bob Ferguson, current and former members of the Washington State Gambling Commission, and other individuals and agencies. The lawsuit alleges that the named officials are “irrationally and impermissibly discriminating on the basis of race and ancestry,” and that the awarding of the rights exclusively to the tribes is a violation of the United States' Indian Gaming Regulatory Act (IGRA), because sports betting was never included among the forms of "Class III" gaming granted to the tribes when IGRA was enacted.

According to the lawsuit, "Washington’s tribal monopoly is inconsistent with IGRA and federal criminal statutes, which prohibit class III gaming activity by tribal casinos on Indian lands unless a State permits the same activity by non-tribal entities." Maverick Gaming asserts that the 2020 decision by the state to grant the sports-betting rights violates the equal-protection clause of the U.S. constitution, and thus unfairly impacts Maverick's own business interests.