California Native Tribes File Suit Against “Illegal” Card Room Operators

Several California-based native tribes are suing multiple licensed card room operators over what they deem to be illegal games.

The tribes submitted their claim to the California Superior Court in Sacramento just after the state passed the Tribal Nations Access to Justice Act, which grants tribes authority to levy legal action against illegal card rooms.

California law prohibits non-native facilities from offering card games in which patrons compete against the house.

What does the complaint allege?

Seven tribes—the Agua Caliente Band of Cahuilla Indians, the Barona Band of Mission Indians, the Pechanga Band of Indians, the Sycuan Band of the Kumeyaay Nation, the Viejas Band of Kumeyaay Indians, the Yocha Dehe Wintun Nation and the Yuhaaviatam of San Manuel Nation—inked their names to the complaint.

The groups allege that the card rooms named in the suit offer banked games in which visitors compete against the house as opposed to legal peer-to-peer games. 

"Defendants brazenly profit from illegal gambling," the tribes said in the complaint. "California law prohibits card rooms from offering 'banked' casino games — such as blackjack, baccarat and pai gow poker — where an entity with an odds-based advantage takes on all comers, pays all winners and collects from all losers."

The tribes claim that card rooms use proposition player services as a de facto bank and then act as the house, making them responsible for millions of dollars in transactions.

Roughly 100 card rooms and proposition player services were accused of infringing upon the authority reserved for the native facilities.

Pushback against the tribes

There has already been opposition to the tribes’ claims against the independent card rooms.

The California Gaming Association responded on behalf of card rooms named in the complaint and claimed in a statement that the entities “are operating table games in full compliance with the law, just as they have done for decades.”

To remain in compliance with the law, California card rooms that are not on native ground must have players act as the “house.” Card rooms may use third-party providers to assist them but still may not act as the house themselves.

Operators believe that forcing them to abandon third parties could lead to their doom.

Several labor unions, including AFSCME California, California Professional Firefighters, SEIU California and Teamsters Local 630, opposed the Tribal Nations to Justice Act due to their belief that it could harm the availability of public jobs, leading to an economic decline and personal hardship for affected employees.

The bill was signed into law by Gov. Gavin Newsom in Sept. 2024. It stated that tribes may sue card rooms during a three-month window that opened on Jan. 1.