Overview
Arkansas’s first move against a prediction-market platform, built mainly on its consumer-protection law. On November 4, 2026 Attorney General Tim Griffin sued KalshiEX LLC and Kalshi Inc. in Independence County circuit court, writing that for most of its offerings “Kalshi is not a risk management tool; it is a pocket-sized bookie” and that “Arkansas law is concerned with substance, not semantics.” The complaint says Arkansas permits casino gaming and sports wagering only within strict limits, under its constitutional licensing scheme (Amendment 100) and only for people 21 and over, while Kalshi offers contracts on sports, elections and entertainment without a license.
It pleads three counts under the Arkansas Deceptive Trade Practices Act (knowingly false representations that the wagers are lawful in Arkansas, unconscionable practices, and deceptive omissions) and one count of unjust enrichment, and demands a jury. It asks for a declaration that Kalshi violated the Act, an injunction, restitution, damages, civil penalties of up to $10,000 per violation, unpaid taxes and fees. These are the State’s allegations. (Caption, court, case number and filing date read from the clerk’s file stamp on the complaint posted by the Attorney General.)