The city of Springfield has initiated legal action against MGM Resorts International, citing alleged breaches of commitments related to its casino in Massachusetts. This lawsuit marks a significant escalation in a two-year conflict that also involves MGM's plans to sell the casino's gaming operations.
Filed on Thursday, the lawsuit claims that MGM Springfield is operating with far fewer gaming positions and staff than stipulated in its agreement with the city. Currently, the casino features 1,600 slot and video gaming machines along with 50 table games, while the original commitments included over 2,800 machines and at least 75 table games.
Additionally, MGM's workforce in Springfield is approximately 1,500, which includes around 1,000 full-time employees. This figure falls short of the earlier promise of 3,000 total employees, including 2,200 full-time roles. Concerns have also been raised by the city regarding the redevelopment of a nearby building.
MGM Springfield, which opened in 2018 as Massachusetts’ first full-scale resort-style casino, saw Mayor Domenic Sarno join the company’s local executive in a celebratory procession during its launch. However, the relationship between the city and MGM has soured over the past two years, as officials have been negotiating various issues related to the host community agreement. MGM contends that the current dispute is primarily about its intention to sell the casino operations.
The company has already sold the underlying real estate, yet the host agreement grants Springfield the authority to approve any transfer of the casino business. MGM has indicated that it informed Mayor Sarno in early 2024 about a potential buyer and expressed hopes of obtaining city approval for the transaction. The identity of this prospective buyer has not been disclosed.
Moreover, MGM stated that it agreed to convert a building at 101 State St., adjacent to the casino, into a hotel at the city's request. The company has accused Sarno and other Springfield officials of acting in bad faith, claiming that the city is attempting to stall the proposed sale instead of addressing the unresolved issues. MGM Resorts has asserted that the city initiated