Blue Lake Rancheria v. Kalshi, Inc.

Reversed in part for the tribes (9th Cir., published); remanded9th Cir.Tribe v. Platform

Docket last checked September 26, 2026. Snapshot — not legal advice.

As of September 27, 2026, the legality of prediction markets in California is unresolved — litigation is ongoing with no final ruling yet. California status and cases →

Overview

Tribal gaming’s first appellate win. Two California tribes, the Blue Lake Rancheria and the Chicken Ranch Rancheria of Me-Wuk Indians, sued Kalshi and Robinhood under the Indian Gaming Regulatory Act, arguing that sports event contracts entered from tribal land are gaming the tribes have not authorized. Judge Jacqueline Scott Corley (N.D. Cal.) denied a preliminary injunction in November 2025. (A third tribe, the Picayune Rancheria, left the appeal in August 2026.)

On September 16, 2026 the Ninth Circuit affirmed in part, reversed in part and remanded in a published opinion by Judge McKeown (Murguia, C.J., McKeown, Paez), argued July 10. It held the tribes likely to succeed on their IGRA claim: Kalshi’s sports event contracts are class III gaming; they are conducted “on Indian lands” when a user enters them from tribal territory; and they are offered in violation of the tribes’ gaming ordinances and the 2024 secretarial procedures that incorporate them, which the court treated as the functional equivalent of a tribal-state compact. It held that the Unlawful Internet Gambling Enforcement Act does not displace IGRA, and that the Commodity Exchange Act’s grant of “exclusive” jurisdiction to the CFTC does not extend to these contracts — the two statutes, it said, answer different questions. It affirmed the denial on the Lanham Act false-advertising claim, holding that a lay opinion about the contracts’ legality cannot support one.

Read the posture precisely. No injunction has been entered. The panel remanded for Judge Corley to weigh the remaining preliminary-injunction factors, and this is a ruling about gaming on tribal land under a federal statute written for tribes — not a holding that state gambling law governs. It is the second Ninth Circuit loss for the platforms in three weeks, after Assad, and the Ho-Chunk Nation filed it in its own Wisconsin case within a week.

Changes

Logged September 22, 2026

  • Ruling

    The Ninth Circuit reversed in part for the California tribes in a published opinion: Kalshi’s sports contracts are class III gaming when entered from tribal land, and the Commodity Exchange Act does not displace the Indian Gaming Regulatory Act. It remanded for the remaining injunction factors; no injunction is in place yet.

    Ninth Circuit opinion, No. 25-7504

Timeline

Mid-2025

Three California tribes sue Kalshi under IGRA in the Northern District of California (3:25-cv-06162).

November 2025

Judge Corley denies the tribes a preliminary injunction; the tribes appeal to the Ninth Circuit (No. 25-7504).

July 10, 2026

Argued and submitted to Judges Murguia, McKeown and Paez.

August 2026

The Picayune Rancheria is dismissed from the appeal without prejudice, leaving two tribal appellants.

September 16, 2026

The Ninth Circuit affirms in part, reverses in part and remands in a published opinion: the tribes are likely to succeed on their IGRA claim.

September 24, 2026

Judge Corley declines to lift the district-court stay until the Ninth Circuit’s mandate issues.

What's next: The district case stays paused until the Ninth Circuit issues its mandate: at a September 24, 2026 hearing Judge Corley declined to lift the stay and will set a status conference once it does. The tribes also have a motion pending to amend their complaint to add another tribe. Any rehearing petition is due September 30, 2026. No injunction is in place yet.

Parties

Plaintiffs

  • Blue Lake Rancheria
  • Chicken Ranch Rancheria of Me-Wuk Indians
  • Picayune Rancheria of the Chukchansi Indians

Defendants

  • Kalshi, Inc.
  • KalshiEX, LLC
  • Robinhood Markets, Inc.
  • Robinhood Derivatives, LLC
This page is informational, not legal advice. Nearly every entry in this tracker is a preliminary ruling under appeal. Always verify a platform's current, location-specific eligibility directly with the venue before relying on this page.