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State court actions complicate nationwide access to sports prediction contracts

Lineups says Kalshi, Polymarket US and other CFTC-registered exchanges are available nationwide for most markets, while sports contracts are restricted by court order in four states and at risk in Ohio, Tennessee and Utah after courts sided with those states. It says at least ten more states have active lawsuits or enforcement actions.

Most markets offered by Kalshi, Polymarket US and other CFTC-registered exchanges remain available nationwide, according to Lineups. Sports contracts face a different legal picture, with court-ordered restrictions in four states and further challenges elsewhere.

Sports contracts face state-level limits

Lineups identifies Massachusetts, Michigan, Nevada and Washington as the four states where court orders restrict sports contracts. That distinction separates access to sports markets from the broader availability of other contracts on the exchanges.

Ohio, Tennessee and Utah present additional legal risks. According to Lineups, courts have sided with those states, putting sports contracts at risk there. The summary does not describe those three states as already subject to the same restrictions as the first four.

Legal challenges extend beyond seven states

At least ten more states have active lawsuits or enforcement actions, Lineups says. Those proceedings broaden the uncertainty beyond the states with restrictions or court decisions favoring state authorities.

The Lineups summary, published Nov 1, 2026 at 6:00 PM ET, does not identify those additional states or specify the scope of their actions. It also does not provide individual court orders or a timetable for further decisions.

What it means for prediction markets

  • Contract type matters: Nationwide availability for most markets does not establish nationwide access to sports contracts.
  • Legal status varies by state: Massachusetts, Michigan, Nevada and Washington have court-ordered restrictions; Ohio, Tennessee and Utah are described as facing risk following decisions favoring those states.
  • Pending actions remain unresolved: Lawsuits or enforcement actions in at least ten more states indicate further legal exposure, but the supplied summary does not establish their outcomes.
KalshiPolymarketCFTCInfiniti MarketsInfiniti Signals

Sources & attribution

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    Lineups
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