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West Virginia is among the states backing New Jersey’s request for U.S. Supreme Court review in a case that could determine whether sports prediction markets such as Kalshi must comply with state gambling laws.
According to the source report, attorneys general from 39 states and the District of Columbia filed a brief supporting New Jersey’s petition, and the NFL separately asked the Court to intervene. The dispute centers on whether sports event contracts offered under the federal Commodity Exchange Act can be listed without following state gambling rules.
What the Supreme Court petition is about
New Jersey asked the Supreme Court to resolve a split among federal appeals courts after the Third Circuit sided with Kalshi. The source report says the Sixth and Ninth Circuits reached outcomes more favorable to state regulators, including a Ninth Circuit ruling siding with Nevada regulators and a Sixth Circuit ruling against Kalshi in litigation involving Ohio and Tennessee.
The states argued the courts are "hopelessly confused and divided" on whether federal commodities law overrides state sports-betting laws. Ohio led the states’ brief.
Kalshi has argued that its event contracts are financial products traded on a federally regulated exchange overseen by the Commodity Futures Trading Commission, not sports bets. Prediction-market supporters have also argued that a single federal framework is more consistent than separate state gambling regimes.
Why the case matters for state gambling rules
The states’ brief said state gambling laws include protections such as licensing requirements, exclusion lists, minimum-age rules and spending limits. Those are the types of protections at issue if the Supreme Court takes the case and decides how far federal law reaches.
The NFL, in its own filing, said sports-related contracts need stronger game-integrity and consumer-safety protections. It also raised concerns about contracts involving outcomes that could be influenced by, or known in advance to, insiders. The league has pushed for a minimum trading age of 21, while the source report says Kalshi currently permits customers age 18 and older.
The NFL told CNBC: "In the end, we believe that given the current resource constraints of the CFTC, this is a job better left to the states."
Kalshi’s response to New Jersey’s petition is due November 9. The Supreme Court has not yet agreed to hear the case.
More from playwv.com – Games Global enters West Virginia after Lottery Commission licence – West Virginia Lottery Breeders’ Classic S. entries set for Oct. 10 at Charles Town – WVU experts warn college students face sharper risks from sports betting
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Source: As reported by newsweek.com.
