Washington Court Upholds Tribal Monopoly on Sports Betting, Maverick Gaming Challenge Fails
Maverick Gaming's legal challenge against Washington State's tribal sports betting monopoly has failed at the federal appeals level, with the 9th Circuit Court upholding a lower court's dismissal.
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The company, which operates card rooms in Washington, had argued that the state's sports betting laws created an unconstitutional monopoly and violated both the Fifth Amendment's equal protection clause and the Indian Gaming Regulatory Act (IGRA).
Maverick invested significantly in Washington's gaming market after the 2018 Supreme Court decision on sports betting, acquiring 19 card rooms in 2019. However, their expansion plans were thwarted when Washington passed legislation in 2020 granting exclusive sports betting rights to tribal operators.
The case became more complex when the Shoalwater Bay Tribe intervened, leading to its dismissal in February 2023 by Judge David Estudillo. The judge ruled that Maverick's lawsuit effectively sought to invalidate tribal gaming compacts, which are protected legal entitlements.
The appellate panel's decision hinged on two key points:
- The Shoalwater Bay Tribe's sovereign immunity remained intact despite their voluntary intervention
- The case couldn't proceed without the tribe's participation due to their fundamental sovereign and economic interests
The court emphasized that IGRA's primary purpose is to establish tribal-state gaming compacts, precisely what Maverick sought to invalidate. Eric Persson, Maverick's CEO and ironically a Shoalwater Bay tribe member, has indicated willingness to take the case to the Supreme Court.