LA Daily News Calls Out Bill Giving Tribes Legal Grounds to Sue Cardrooms

The Los Angeles Daily News has voiced strong opposition to SB 549, a bill that would allow California’s gaming tribes to sue cardrooms — a move the paper warns could disrupt the state’s judicial system.

SB 549, introduced by State Senator Josh Newman in February 2023, is known as the Tribal Nations Access to Justice Act. It seeks to address a long-standing legal barrier preventing tribes from suing cardrooms due to their sovereign status.

• The bill would give tribes the right to challenge the legality of cardroom games like blackjack and baccarat.

• These games, while not directly offered by cardrooms, are operated through third-party player proposition services acting as the “house.”

• If courts rule these games illegal, injunctions could halt operations, significantly affecting local revenues.

The Los Angeles Daily News editorial board, in its August 20, 2023, piece, sharply criticized SB 549, arguing it would “make a mockery of our judicial system.”

• The board claimed the bill’s true motive is financial control over California’s gambling markets.

• It emphasized the economic conflict between tribes and cardrooms, with both sides vying for dominance.

• The editorial also noted that California residents who enjoy card games are caught in the middle of this dispute.

The timing of the editorial is pivotal, as SB 549 advances through the legislative process.

• After passing the Senate in May 2023, the bill received its second reading in the Assembly on August 20 and awaits a third.

• Its potential passage could reshape California’s gambling landscape.

• The outcome will likely redefine the balance of power between tribes, cardrooms, and the state.

If approved, SB 549 could significantly alter California’s gaming industry, sparking legal and economic shifts across the Golden State.