# Ninth Circuit Blocks Kalshi Sports Contracts in California

The Ninth U.S. Circuit Court of Appeals has ruled that Kalshi's offering of sports event contracts on the lands of two California tribes violates the Indian Gaming Regulatory Act and tribal gaming laws. This decision, coupled with Nevada regulators' authority to apply state gaming laws to Kalshi's contracts, introduces significant regulatory challenges for prediction market operators. The ruling affects platforms like Robinhood that route event contract orders through Kalshi and may lead to a fragmented regulatory environment with varying state and tribal restrictions across the U.S.

- Procurement professionals should note increased legal and regulatory risks when engaging with prediction market platforms operating on tribal lands or under state gaming jurisdictions.
- This ruling signals potential limitations on the availability and legality of certain financial event contracts, impacting contract structuring and vendor selection.
- Contractors and vendors involved in gaming or prediction markets must evaluate compliance with tribal and state gaming laws to mitigate operational risks.
- Agencies and industry stakeholders may anticipate further legal appeals and regulatory clarifications affecting procurement strategies in gaming-related financial instruments.

**Jurisdictions:** federal
**Industries:** Public Safety
**Topics:** Regulatory Compliance
**Published:** September 17, 2026

### Government Entities
- Ninth U.S. Circuit Court of Appeals (Ninth Circuit)
- Commodity Futures Trading Commission (CFTC)
- Blue Lake Rancheria
- Chicken Ranch Rancheria of Me-Wuk Indians
- U.S. District Court, San Francisco

### Vendors
- Kalshi (prediction market operator)
- Robinhood (platform routing customer event contract orders through Kalshi)

### Key Quotes
> Buying a Kalshi sports event contract constitutes an act of placing a bet or wager for purposes of the federal gaming law.
> — Judge M. Margaret McKeown

### Sources
- [Ninth Circuit Blocks Kalshi Sports Contracts on Tribal Lands](https://financefeeds.com/appeals-court-blocks-kalshi-sports-contracts-on-california-tribal-lands) - FinanceFeeds