Overview
New York’s Attorney General brought a verified petition under Executive Law § 63(12) against QCX LLC, which does business as Polymarket US, in New York County Supreme Court on September 24, 2026. It follows the same template as her petition against Kalshi: eight causes of action for repeated illegality, resting on the state constitution’s gambling clause, the Penal Law’s gambling offenses, the Racing Law’s sports-wagering licensing provisions and the federal Wire Act. The petition leans on the office’s own test: an investigator with a New York account placed more than $5,000 in bets on the platform in August.
It asks the court to permanently bar Polymarket US from offering contracts on sports, culture, elections and other events in New York without a Gaming Commission license, and to order an accounting, restitution, damages, disgorgement, a penalty of three times its gains, and up to $100,000 for each unauthorized offer of sports wagering. It names no total; the valuation and revenue figures in press coverage are background the petition labels “reportedly,” not relief sought. With the petition the Attorney General applied, by order to show cause, for a temporary restraining order and preliminary injunction. QCX LLC is the only respondent; the Governor joined the announcement but is not a petitioner.
No state judge ruled on that application. Polymarket US removed the case the same day — before it had been served and before the county clerk had assigned an index number — to the Southern District of New York (No. 1:26-cv-08338), where it went to Judge Ronnie Abrams. The removal rests first on the federal-officer removal statute, 28 U.S.C. § 1442(a)(1): as a CFTC-designated contract market, Polymarket US argues, it is a self-regulatory organization “acting under” the CFTC. Its fallback is federal-question jurisdiction over the Wire Act count. The Attorney General’s earlier petitions against Coinbase, Gemini and Kalshi are docketed as federal-question removals, so this appears to be a new route to federal court in the New York cluster. Hours later Polymarket US filed its own suit against the Attorney General and the Gaming Commission. (Petition, order-to-show-cause application, notice of removal and assignment read from the filings and the federal docket.)