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DOI Calls Out West Flagler Over FL Sports Betting Rehearing Request
By Jeff Osienya Sep 02, 2023 LegalityAs the legal woes over Florida’s sports betting scene continue, USA’s Department of the Interior (DOI) has come guns blazing against West Flagler and Associates for their request to be granted an en banc hearing.The Department of the Interior (DOI) has fired back in response to West Flagler and Associates’ request for an ‘en banc’ hearing in the ongoing legal battle over sports betting in Florida. The DOI has argued that the firm’s request is unwarranted. This comes after the US Court of Appeals for the District of Columbia ruled to reinstate the 2021 gaming compact with the Seminole Nation, declaring the compact legal under the Indian Gaming Regulatory Act (IGRA).
In 2021, US District Judge Dabney Friedrich ruled against the Seminole’s monopoly over retail and digital sports betting in the state. At the time, the judge determined that the Compact was attempting to have tribal gaming declared so even when bets were placed within the State rather than on actual tribal land. The Seminoles have since refuted this, arguing that since the servers were located in Indian territory, it would, therefore, follow that any bets placed via the online sportsbook were placed on tribal lands.
The Department of Justice also appealed the Nov 22 ruling, but since it was not the body mentioned in the suit, a decision was made to have the DOI make the appeal. The case continues to be a source of legal intricacies and conflicting interpretations, leaving the fate of Florida sports betting in the hands of the judicial system. All parties are thus eagerly awaiting the judiciary’s clarity and resolution.
En Banc Hearings – A Rare Occurrence
While the petition is likely to hit the wall given that en banc hearings are rarely granted, the DC Circuit Court ordered the DOI to submit a response to West Flagler’s appeal. Drawing from the fact that Florida appellate courts hardly approve any en banc hearings, it can be concluded that this will be a tough run for West Flagler.
On the other hand, the Court’s call to have the tribe and the DOI draft responses to the rehearing plea throws some sliver of hope in the firm’s direction. However, this may be merely procedural to determine whether the case warrants the convening of all 11 judges. Moreover, to secure an en banc hearing, West Flagler faces the formidable challenge of garnering support from six of the remaining eight judges who have not yet ruled on the matter.
The Court has made it clear that a response from West Flagler will not be accepted, which leaves the fate of Florida sports betting in the pending decision. The last en banc rehearing, Mary Chambers vs. the District of Columbia, was approved back in May 2021.
The Department of Interior’s Response
When West Flagler filed the lawsuit in 2021, it was on the premise that the US Secretary of Interior, Deb Haaland, had let the Compact go through by not acting within the 45-day window stipulated. According to the suit, it violates four Acts touching on gambling in the state. The response reads:
Quote“The panel correctly held that the Secretary had no duty to disapprove the Compact for the straightforward and fact-specific reason that the Compact can—and therefore must—be read in a way that is consistent with IGRA. That narrow and reasonable reading—which has been endorsed by both parties to the Compact and by the Secretary belies any suggestion that the Compact blesses the off-Indian land wagering that West Flagler believes violates the Florida constitution and leaves fully intact West Flagler’s ability to challenge the Florida statue authorizing those wagers.”
The DOI also pointed out that two of the main concerns raised by West Flagler and Associates were based on a misguided interpretation of the Compact. The said language interpretation had already been clarified and rejected by the original Appeals Court 3-judge panel. The Department remarked in the statement.
Quote“West Flagler’s arguments for rehearing are strawmen, premised on its erroneous assertion that, by referencing the state-sanctioned wagers, the compact—and the Secretary’s approval thereof— purport to unilaterally legalize the placement of those wagers and the State regime for regulating them. But, as West Flagler acknowledges, the panel held in no uncertain terms that the Compact does not do that. And the panel did so while making scrupulously clear that neither its opinion nor the Secretary’s approval prevents West Flagler from challenging the relevant State law in Florida’s courts. Rehearing is unwarranted,”
Regarding betting off tribal lands, the DOI pointed out that IGRA does not place any restrictions or conditions on gambling activity on non-Indian lands. As such, there is some wiggle room for the state to practice its capacious authority in a bid to establish whether it should authorize gaming within state lines and the conditions of legal operations.
The DOI also defended the Secretary’s approval by inaction, saying:
Quote“Nothing in IGRA compels a state to seek the Secretary’s approval before permitting gaming on non-Indian land, or before enacting a regulatory regime governing such gaming.”
Florida Sports Bettors Will Miss Out on the NFL Season – Again
The NFL season is a much-anticipated event, and as millions of punters in over 30 states gear up to start placing their bets on the matches, Florida will not be participating. Since the Nov 22 District Court decision, the future of sports betting in the Sunshine State has remained in limbo. It has been marred by a series of lawsuits from some Florida parimutuels challenging the legalization of sports betting in the state.
The main dispute that has proved to have far-reaching implications for the state’s gambling industry focuses on interpreting the Compact between the Seminole Nation of Florida and the DOI.
As discussions on the possibility of sports betting becoming a reality in the Sunshine State continue to loom, the spotlight now shifts to the US Court of Appeals for the District of Columbia. The complexities of having an en banc rehearing are hard to evaluate, especially given that there was no specific timeline for the Court’s decision. Therefore, it may be months before any information on how things unfold surfaces. This delay makes it improbable for a Florida sports betting launch to occur in the immediate future.
Over the past three years, several states have passed bills to legalize online and retail sports betting for residents and visitors. The states in question have reaped hundreds of millions of dollars from gaming expansion, boosting their gross gaming revenues and overall economies in the process. Analysts have projected billions in sports wagering revenue should Florida manage to launch sports betting, and a ruling in favor of the Compact will see revenues go up. The ball now lies in the final decision by the 11 judges, and several interested parties are waiting with bated breath on the outcome.
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