This week, the gambling industry is abuzz with significant developments, including impending court deadlines in various prediction market cases and a Texas court hearing concerning Brendan Sorsby’s NCAA eligibility.
As we approach June, prediction markets continue to dominate the legal landscape of the gambling sector, with multiple court deadlines looming. Additionally, a high-profile NCAA gambling case is set for a hearing on Monday, where Texas Tech quarterback Brendan Sorsby is challenging his eligibility.
Several gambling-related legislative bills are also awaiting decisions from governors in Louisiana, Illinois, and Colorado.
Advancements in Prediction Market Litigation
In Connecticut, defendants are required to submit their motion to dismiss the CFTC’s lawsuit regarding the state's prediction market laws by June 3, following a recent telephone hearing. Kalshi, the company involved, must respond by June 24.
Ohio is also in the spotlight as it prepares its response brief for Kalshi’s appeal, due June 4, after the Sixth Circuit denied an injunction that would have paused Ohio’s enforcement actions.
Additionally, Kalshi faces a deadline in its case against the Ho-Chunk Nation in Wisconsin, with a response to the tribe's amended complaint due on June 5.
Other potential developments may arise in various cases, particularly in Minnesota, where both the CFTC and Kalshi have initiated lawsuits against the state for enacting bills that prohibit prediction markets. In New York, Kalshi has requested to consolidate multiple lawsuits, and a response from the court is anticipated soon. Meanwhile, Washington state may seek emergency relief after the Ninth Circuit declined to stay Kalshi’s case.
Brendan Sorsby and the NCAA
On Monday, Brendan Sorsby will appear in court, seeking a temporary injunction against the NCAA, which recently declared him permanently ineligible due to gambling violations. Sorsby has openly discussed his gambling addiction and his completion of treatment.
Documents reveal that he placed bets on Indiana football games in 2022 while still a member of the team. The NCAA argues that Sorsby was aware of the gambling rules at the time of his bets. They contend that allowing him to play this season could lead to significant and destabilizing consequences, as it would permit a player who wagered on his own team to participate.
A favorable court ruling could enable Sorsby to compete in the 2026 season and potentially set a precedent for future NCAA eligibility challenges related to gambling.