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The U.S. Ninth Circuit Court of Appeals denied Kalshi’s request for rehearing in its case against Nevada, according to InGame’s Nov. 4 report. The denial puts the court’s earlier decision back in force, allowing states within the circuit, including California, to enforce their gambling laws against the prediction market platform.
Kalshi had sought review by a larger panel of judges through an en banc rehearing. In its denial, the panel stated:
“The full court has been advised of the petition for rehearing en banc and no judge has requested a vote on whether to rehear the matter en banc.”
California tribal-lands case moves to geofencing
The Nevada litigation is one of two Kalshi cases in which the Ninth Circuit has ruled in favor of a state or tribal group.
In September, the appeals court overturned a district court ruling that allowed Kalshi to operate on tribal lands. It returned that case to the district court, saying it believed the tribes could prevail on the merits.
The U.S. District Court for the Northern District of California is working with Kalshi and the tribes to resolve geofencing in that case.
Kalshi faces conflicting circuit rulings
The Ninth Circuit denial followed a Second Circuit decision one day earlier denying Kalshi an injunction. According to InGame, that decision allows Connecticut and New York to enforce their gambling laws against the platform.
Kalshi is litigating against more than a dozen states. The Ninth and Sixth Circuits have ruled in favor of states, while the Third Circuit ruled in Kalshi’s favor earlier this year, creating a circuit split.
New Jersey has petitioned the U.S. Supreme Court to hear its case.
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Source: As reported by InGame.
