By BBBB
The U.S. Supreme Court has refused to take up a challenge to Florida’s online sports betting compact, effectively allowing the Seminole Tribe to continue its operations within the state.
The high court’s refusal to intervene leaves in place a lower court ruling that supports the compact, which has been a contentious issue since its inception in 2021.
The legal battle began when the Seminole Tribe of Florida and Governor Ron DeSantis entered into a compact in 2021 that allowed the tribe to offer online sports betting statewide. This compact was projected to generate significant revenue for both the tribe and the state, with estimates suggesting it could bring in billions over the agreement’s 30-year term. However, the deal faced immediate legal challenges from pari-mutuel operators who argued it violated federal law by permitting betting off tribal lands.
In November 2021, U.S. District Judge Dabney Friedrich initially ruled against the compact, arguing it breached the Indian Gaming Regulatory Act (IGRA) by allowing wagers to be placed from non-tribal lands.
However, this decision was overturned by a three-judge panel of the D.C. Circuit Court in June 2023, which reinstated the compact. The panel found that IGRA does not prohibit such agreements and that the legality of bets placed off tribal lands should be determined by state law.
Supreme Court’s Decision
The latest development saw West Flagler Associates and Bonita-Fort Myers Corporation, the plaintiffs in the case, petition the Supreme Court to reconsider the D.C. Circuit’s ruling. They contended that without intervention, the ruling would lead to widespread unauthorized sports betting in violation of both state and federal laws. Despite these arguments, the Supreme Court denied the request to put the D.C. Circuit’s ruling on hold, effectively allowing the compact to remain in effect.
U.S. Solicitor General Elizabeth Prelogar, representing the Department of the Interior, defended the compact, stating that it only authorized gambling on tribal lands and did not extend to non-tribal areas, as acknowledged by the plaintiffs themselves in state filings.
The refusal of the Supreme Court to hear the challenge now means that Florida sports betting can continue with bets processed through servers located on tribal lands, a system described as a “hub and spoke” model.
A spokesperson for the Seminole Tribe said following the decision:
“The Seminole Tribe of Florida applauds today’s decision by the U.S. Supreme Court to decline consideration of the case involving the Tribe’s Gaming Compact with the State of Florida.
It means members of the Seminole Tribe and all Floridians can count on a bright future made possible by the Compact.”
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