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Home Casino

Tribal Casinos Could Soon Sue Cardrooms

Casia VegabyCasia Vega
19 August, 2024
in Casino
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Tribal Casinos Could Soon Sue Cardrooms
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A pivotal new bill has rolled the dice onto the assembly floor, following the green light from the Assembly Appropriation Committee, where SB 549 had an unequivocal 14-0 approval.

The Tribal Nations Access to Justice Act is poised to tip the scales in favor of Californian tribes, allowing them to legally challenge cardrooms over their offerings of blackjack and poker—games that are supposed to be the exclusive ace in the hole for tribal gaming establishments.

Tribes Closer to Shutting Down Cardrooms Thanks to Groundbreaking Legislation

The Viejas Band of Kumeyaay Indians’ Attorney General, Tuari Bigknife, has hailed the passing of the bill, expressing his expectation that it will advance swiftly and land on Governor Gavin Newsom’s desk by August 31. Bigknife vividly illustrated his confidence, signaling that this could be the final piece to the puzzle in the longstanding battle over player-banked games—a loophole that tribes have criticized for years.

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Tribal gaming operators have found an ally in Newsom, a Democrat who views tribal gaming matters sympathetically, much like the Biden Administration. As for SB 549’s prospects this week, it seems the odds are in its favor. Assembly majority leader Cecilia Aguiar-Curry has shown support, as have other assembly members, suggesting a smooth sail through the remaining legislative hurdles.

Bigknife’s optimism is tangible as he projects that the bill will receive a vote within the remaining legislative session and clear the final bars. Tribes have been fervently advocating against the loophole that lets cardrooms team up with third-party proposition player services, wherein players take on the role of the banker, sidestepping Californian legislation that hands the exclusive right of running such games to tribes.

For years, tribes have rolled the litigation dice, trying to force cardrooms to fold, but legal courts have dealt them the losing hand, citing insufficient legislative merit in the complaints. However, tribal representatives have now shifted their strategy to a legislative front, aiming to eliminate ambiguity and clearly demonstrate the illegality of such establishments.

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Success seems to be on the horizon as the California Bureau of Gambling Control implemented rules in early 2023 prohibiting player-banked games in cardrooms. Yet, SB 549 might just be the ace of spades that tribal operators need to finally triumph.

Commercial Operations Plead for a Stay of Play

However, cardrooms aren’t folding without a fight. In their corner, Kyle Kirkland, president of the California Gaming Association, claims that SB 549 is a needless wrench in the works against the state’s interests. Cardrooms are a significant economic player, employing 30,000 workers statewide. Closing their doors could deal a heavy blow to the Californian economy, casting a shadow over the state’s already sizable deficit.

Despite Kirkland’s assertions, it’s hard to overlook the tribal perspective. Californian tribes hold a constitutional exclusivity right to operate Las Vegas-style resorts, a privilege etched into the state constitution and generating consistent revenue through compacts with the state.

In this high-stakes game of legislative poker, tribes and cardrooms clash over an age-old grievance. While one side looks to secure its sovereign rights, the other aims to preserve its economic lifeline. Whether SB 549 acts as the closing chapter or merely the next round in this intricate saga remains to be seen. For now, all eyes are on the assembly floor, where the fate of Californian gambling hangs in the balance.

Tags: californiacasinonorth americatribal gamingusa
Casia Vega

Casia Vega

Casia Vega is a dedicated journalist with a specialized focus on the casino industry. With years of experience covering the latest developments and trends in the world of gaming, Casia brings in-depth analysis and informed perspectives to her articles. At Gambling Hub News, she excels in the casino news category, providing readers with accurate and up-to-date information. Outside of her journalistic work, Casia shares her life and passions through her Instagram @casiavega where she connects with a diverse and enthusiastic audience.

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