Wisconsin Tribes Added as Defendants In Sports Betting Lawsuit

Wisconsin and its tribes are standing side by side to ensure online sports betting becomes a reality in the state.

Eight federally recognized tribes from the state have added themselves as defendants in a lawsuit from the Brown County Taxpayers Association. The lawsuit was originally filed against Wisconsin, accusing it of violating its own constitution by expanding gambling through Assembly Bill 601. 

Neither the state nor the plaintiff objected to adding the tribes.

Oral arguments won’t start until April 20, 2027.

Tribes Argue IGRA Covers Expansion

While tribes have only recently joined the legal fight, several leaders have publicly called for the lawsuit to be dismissed. They have insisted that expansion through a tribal gaming pact falls under the federal Indian Gaming Regulatory Act. This request will likely be the first one made after the tribes are officially added to the lawsuit.

All eight tribes are set to receive a license to operate an online sportsbook, giving them an added incentive to defend the expansion. These tribes include:

• Bad River Band of Lake Superior Chippewa Indians
• Forest County Potawatomi Community
• Ho-Chunk Nation
• Menominee Indian Tribe of Wisconsin
• Oneida Nation
• Red Cliff Band of Lake Superior Chippewa Indians
• Sokaogon Chippewa Community
• Stockbridge-Munsee Community

Precedent Favors the Tribes

Although the lawsuit remains active, tribes have reason to be confident they’ll ultimately win.

One big reason is a case in Florida, where the state’s similar online sports-betting compact with the Seminole Tribe was challenged in court. It delayed the launch by around two years as cases played out in state and federal courts. However, the courts ultimately supported Florida, and the US Supreme Court declined to hear the case.

The Eleventh Circuit issued the final ruling, but Wisconsin is covered by the Seventh Circuit. As a result, it could deliver a different ruling that could ultimately set up a showdown in the nation’s highest court. However, the number of wins Florida has stacked up suggests the law is on Wisconsin and its tribes' side.

Will Wisconsin’s Online Market Launch?

While AB 601 was signed into law back in April, no launch date has been set. That’s because the bill only grants the Governor permission to negotiate a new compact with the tribes. No details about those talks have been shared, raising questions about when the market will actually launch.

The court has not ordered a pause, but that doesn’t mean the tribes and the state are still moving forward. Working towards a launch will take a significant investment, which would be wiped out if the court orders a delay or sides with the plaintiff. This could lead both sides to pause the process, hoping for a favorable ruling voluntarily.

The good news for industry proponents is that Democrats will control the state legislature in 2027. The party has led support for AB 601, with Governor Evers ensuring the state’s tribes were satisfied before signing it. This should help with negotiations and the legal defense of the expansion.