Churchill Downs sues Michigan over TwinSpires suspension

Churchill Downs sues Michigan over TwinSpires suspension

Churchill Downs challenges Michigan’s suspension of its online betting platform arguing the state’s restrictions violate federal law.

US.- Churchill Downs filed a lawsuit in the U.S. District Court for Western Michigan arguing that the state’s online betting regulations violate federal law and the U.S. Constitution’s Commerce Clause. The lawsuit seeks to block Michigan from enforcing its suspension of TwinSpires, Churchill Downs’ online betting platform, which has been accused of operating against state mandates.

In late December, the Michigan Gaming Control Board (MGCB) ordered all licensed advance deposit wagering (ADW) providers to cease operations with Michigan residents by January 1. Michigan’s Horse Racing Law of 1995 mandates that ADW and simulcast wagering be linked to a licensed Michigan racetrack, though no track in Michigan holds the required licence at present. While Northville Downs has approval to host harness racing in 2024, it remains unlicensed as a full track.

While other major platforms, including Xpressbet, NYRAbets, and TVG Network, complied with the MGCB’s instructions, Churchill Downs refused to halt operations. On December 31, TwinSpires notified the MGCB of its intention to continue offering wagering services in Michigan, a move that led to a summary suspension order against the company on January 11.

See also: Michigan online sports betting handle rises in November

Churchill Downs’ lawsuit asserts that Michigan’s actions violate the U.S. Interstate Horseracing Act (IHA) of 1978, which permits off-track betting platforms to accept interstate wagers on horse races if they secure approvals from the host racing association, the host racing commission and the off-track racing commission. The company argues that Michigan’s decision infringes upon federal jurisdiction, raising important questions about state versus federal authority in gambling regulations.

If Churchill Downs fails to overturn the suspension, TwinSpires could face penalties of up to $10,000 per infraction for continuing its operations in Michigan.

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Churchill Downs Michigan Gaming Control Board online gambling