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A federal judged ruled in favor of Churchill Downs Incorporated (CDI), operating TwinSpires, last week, denying the Michigan Gaming Control Board‘s (MGCB) stay request for a preliminary injunction issued to the operator in February.
The MGCB had shut down advanced deposit wagering (ADW) on horse racing at the start of 2025 because there were no licensed racetracks in the state, until Northville Downs found a new location in Hastings.
NYRA Bets, FanDuel Racing/TVG, and Xpressbet had all complied with the MGCB’s order. However, Twnspires did not, which sparked litigation between the entities.
The MGCB brought back ADW racing in February, but did not allow Twinspires to return because of the ongoing court battle. The horse racing operator filed a complaint in mid-January.
Why the court ruled in favor of Twinspires
CDI filed a lawsuit against the MGCB because it felt that the regulator’s interpretation of Michigan law was unconstitutional. The company claimed that the MGCB violated the the Supremacy Clause and Interstate Commerce Clause of the US Constitution.
CDI took the position that it did not need to acquire a license from a racetrack in Michigan, but did so anyway in good faith. Judge Hala Y. Jarbou of the United States District Court for the Western District of Michigan sided with the Interstate Horseracing Act of 1978 (IHA) and, ultimately, CDI. She wrote:
Michigan law is clear: ‘a bet is made at the time and place where the offer of it is accepted.’ The IHA requires TwinSpires obtain consent from only three entities: the horseracing association, the host racing commission, and the off-track racing commission.
For races that take place outside of Michigan, TwinSpires does not need MGCB consent. The MHRL requirements seek to add an additional layer of consent when a wager is placed by individuals in Michigan. The IHA preempts these requirements…
This is the second court ruling that has been in favor of CDI and Twinspires, which can continue to operate in the Great Lakes State. It remains to be seen what comes next in this litigation battle.
