Ludlow Exchange LLC (Novig) v. Brown

Motion to dismiss pending9th Cir.Platform v. State

Docket last checked November 8, 2026. Snapshot — not legal advice.

As of November 8, 2026, Washington has a restriction on prediction-market platforms currently in effect. Washington status and cases →

Overview

Novig’s Washington suit, filed August 2026 against the Attorney General and the five members of the State Gambling Commission, pleaded as a federal-question challenge to the constitutionality of the state statutes. It is the most crowded venue on this tracker: Novig filed a notice of related cases pointing at Crypto.com’s suit against the same defendants (No. 2:26-cv-02579) and Robinhood Derivatives’ earlier suit against the same Commission (No. 3:26-cv-05311), and Washington’s own enforcement action against Kalshi is running alongside. In October 2026 the Attorney General and the Commission moved to dismiss under Rule 12(b)(6), without leave to amend, arguing that the Ninth Circuit’s Assad decision held, on substantively identical facts, that the Commodity Exchange Act neither expressly nor impliedly preempts state gambling law, and citing the Sixth Circuit’s later ruling as agreeing. The case was reassigned to Judge David G. Estudillo the same month. No ruling yet.

Changes

October 2026

  • Filing

    Washington moved to dismiss Novig’s preemption suit, arguing the Ninth Circuit’s Assad ruling already decides it. The case moved to Judge David G. Estudillo, who set a scheduling conference for January 28, 2027.

    Motion to dismiss, W.D. Wash. No. 3:26-cv-05888 (Dkt. 18)

Timeline

August 2026

Novig sues Washington’s Attorney General and Gambling Commission, noticing Crypto.com’s and Robinhood’s parallel suits as related.

October 2026

Washington moves to dismiss under Rule 12(b)(6) without leave to amend, arguing the Ninth Circuit’s Assad decision forecloses Novig’s preemption claim; the case is reassigned to Judge David G. Estudillo.

What's next: The motion to dismiss is noted for November 16, 2026. Judge Estudillo has set a Rule 26(f) conference deadline of January 11, 2027 and a scheduling conference for January 28, 2027. Novig’s claim faces Assad as binding circuit law; the Ninth Circuit denied Kalshi’s petition for rehearing en banc in Assad on November 4, 2026. Washington chose to litigate this case rather than stipulate to a stay, as it did with Crypto.com’s. November 16, 2026: Washington’s motion to dismiss noted for consideration

Parties

Plaintiffs

  • Ludlow Exchange, LLC d/b/a Novig

Defendants

  • Nicholas W. Brown (Washington Attorney General)
  • Tina Griffin, Sarah Lawson, Alicia Levy, Michael Charles and Noah Skartvedt (Washington State Gambling Commission)
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.