Federal lawsuit challenges ‘tribal monopoly’ on sports betting

Maverick Gaming wants to invalidate compacts allowing tribes, including the Tulalip and Stillaguamish, to offer sports wagering.

TULALIP — The owner of several card rooms in Snohomish County filed a federal lawsuit Tuesday alleging state officials provided tribal casinos an unlawful monopoly on sports betting.

The lawsuit, filed by Maverick Gaming, a national gaming and entertainment company headquartered in Kirkland, seeks to invalidate gaming compact amendments approved last year, which allow the Stillaguamish, Tulalip, Sauk-Suiattle and 14 other Washington tribes to offer sports betting.

The company’s lawyers contend those amendments — signed by Inslee and endorsed by U.S. Secretary of the Interior Deb Haaland — violate a federal law intended to bar gaming activity at tribal casinos on Indian lands unless the state permits the same activity by non-tribal entities.

“We support and respect tribal equality and sovereignty,” said Eric Persson, CEO and co-founder of Maverick Gaming. He said the purpose of the lawsuit was to ensure his company’s card rooms enjoy the same opportunities enjoyed by the tribes.

Chairwoman of the Tulalip Tribes Teri Gobin said the lawsuit is just “another frivolous attempt” by Maverick to expand gaming throughout Washington. She said though the tribes aren’t a party to the case, they are reviewing it closely.

A 2020 law legalized sports wagering and restricted it to tribal casinos. Maverick pushed unsuccessfully for a different version that would have permitted sports betting in card rooms. The company operates 19 card rooms in the state, including in Everett, Mill Creek and Mountlake Terrace.

Rebecca George, executive director of the Washington Indian Gaming Association, said in a statement that the lawsuit has the potential to cause irreparable harm to historically marginalized tribal communities and the broader public.

If successful, she said, the litigation “would severely undermine the well regulated and safe system of limited gaming that has been established in Washington state over three decades of carefully negotiated compacts between the State of Washington and Native American tribes.”

The Stillaguamish Tribe’s Angel of the Winds casino began taking wagers on professional and collegiate sporting events in December — the first tribal casino in the county to offer that mode of legal gaming.

The Tulalip Tribes are gearing up to offer sports betting at both of their casinos through a contract with DraftKings.

For both tribes, gaming revenue supports the sustenance of tribal government operations, as well as social services like health care and education.

“There’s a big difference between the gaming done by the tribes” and non-tribal gaming, Gobin said.

All of the tribes’ net gaming revenue “actually stays in Washington,” she said. And it makes up the “millions and millions of dollars” the Tulalip Tribes give back to local law enforcement, emergency services, hospitals, nonprofits and small businesses.

Sports betting could generate $94 million for tribal casinos across the state, according to a Washington State University study.

The lawsuit centers on the 1988 Indian Gaming Regulatory Act, a landmark measure clearing a path for the operation of casinos on lands of federally recognized tribes across the country.

The act created the framework for governing gaming. It requires states and tribes negotiate compacts that are signed by the governor and sent to the U.S. Secretary of the Interior for review and action.

Maverick lawyers argue the act was intended to guarantee parity between tribal and non-tribal gaming. The state’s application creates “tribal monopolies” that insulate tribes from competition that exists in many other states with legal gaming marketplaces, attorney Theodore B. Olson, a partner at Gibson Dunn, said in a company release.

Jerry Cornfield: 360-352-8623; jcornfield@heraldnet.com; Twitter: @dospueblos.

Isabella Breda: 425-339-3192; isabella.breda@heraldnet.com. Twitter: @BredaIsabella.

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Local News

Olivia Vanni / The Herald 
The Mukilteo Lighthouse. Built in 1906, it’s one of the most iconic landmarks in Snohomish County.
The Mukilteo Lighthouse. Built in 1906, it’s one of the most iconic landmarks in Snohomish County. (Olivia Vanni / The Herald)
Mukilteo mayor vetoes council-approved sales tax

The tax would have helped pay for transportation infrastructure, but was also set to give Mukilteo the highest sales tax rate in the state.

Marysville Mayor Jon Nehring gives the state of the city address at the Marysville Civic Center on Wednesday, Jan. 31, 2024, in Marysville, Washington. (Ryan Berry / The Herald)
Marysville council approves interim middle housing law

The council passed the regulations to prevent a state model code from taking effect by default. It expects to approve final rules by October.

x
State audit takes issue with Edmonds COVID grant monitoring

The audit report covered 2023 and is the third since 2020 that found similar issues with COVID-19 recovery grant documentation.

Bothell
Bothell man pleads guilty to sexual abuse of Marysville middle schoolers

The man allegedly sexually assaulted three students in exchange for vapes and edibles in 2022. His sentencing is set for Aug. 29.

Larsen talks proposed Medicaid cuts during Compass Health stop in Everett

Compass Health plans to open its new behavioral health center in August. Nearly all of the nonprofit’s patients rely on Medicaid.

State’s draft of climate action plan open for public comment

Residents can submit public comments or climate-related stories online through Aug. 22.

The Edmonds School Board discusses budget cuts during a school board meeting on Tuesday, April 15, 2025 in Edmonds, Washington. (Olivia Vanni / The Herald)
Edmonds school board approves 2025-26 budget

After facing an estimated $8.5 million shortfall earlier in the year, the board passed a balanced budget Tuesday.

Community members gather for the dedication of the Oso Landslide Memorial following the ten-year remembrance of the slide on Friday, March 22, 2024, at the Oso Landslide Memorial in Oso, Washington. (Ryan Berry / The Herald)
The Daily Herald garners 6 awards from regional journalism competition

The awards recognize the best in journalism from media outlets across Alaska, Idaho, Montana, Oregon and Washington.

A wall diagram shows the “journey of the ballot” at the new Elections Center on Tuesday, July 9, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
County Auditor: No need for feds to meddle with state or local elections

Garth Fell’s comments were in response to a report of Justice Department mulling criminal charges against election officials.

Edmonds Police Chief Loi Dawkins speaks after the city council approved her appointment on Tuesday, July 8, 2025 in Edmonds, Washington. (Olivia Vanni / The Herald)
Edmonds City Council confirms new police chief

Assistant Chief Loi Dawkins will begin in the role Aug. 1. She has more than 23 years of law enforcement experience, including three years in Edmonds.

The Edmonds City Council discuss the levy during a city council meeting on Tuesday, July 8, 2025 in Edmonds, Washington. (Olivia Vanni / The Herald)
Edmonds votes to place levy lid lift on the ballot

By a vote of 5-2, the council decided to put the $14.5 million property tax levy lid lift to voters in November.

A trash hauler from Republic Services. (Provided photo)
Growing Teamsters strike disrupts garbage pickup in Snohomish County

Republic Services said a temporary work stoppage is causing some customers in the county to experience “temporary service delays.”

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.