Case 2:25-cv-00575-APG-BNW Document 57 Filed 05/14/25 Page 11 of 25
Further, the protected interests of the NRA’s members would be affected by the “claims
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at issue.” Wilderness Soc. , 630 F.3d at 1179. Kalshi’s complaint brings a single claim— that
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Nevada’s state laws regulating in -state sports betting are preempted by the CEA. ECF No. 1 at
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15-16. That claim affects the gaming licenses currently held by NRA members in at least three
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ways.
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First , Kalshi’s legal position , if accepted, would enable it to offer sports betting products
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to Nevada residents without complying with the State’s comprehensive regulatory scheme or
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paying taxes to the State of Nevada. Nevada’s regulations ensure that the gaming establishments
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continue to operate honestly and competitively and contribute to Nevadans quality of life, rather
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than unduly impact it. See NRS 463.0129(1)(a) (recognizing the vital importance of gaming to
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Nevada and the general welfare of Nevadans), 463.0129(1)(b) (finding its continued growth
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dependent on “public confidence and trust” that gaming establishments operate “honestly and
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competitively”). For example, t o protect young adults, Nevada restricts sports betting to adults
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aged 21 and older. NRS 463.350(1). To preserve the integrity of sports leagues, Nevada prohibits
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sportsbooks from knowingly accepting wagers by athletes, coaches, game managers, and owners
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on their own sporting contests. Nev. Gam. Reg. § 22.1205(2). To promote customer confidence,
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Nevada requires sportsbooks to hold sufficient reserves to cover outstanding wagers. See id.
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§ 22.40. To facilitate law enforcement, sports betting operators must report all “suspicious
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transactions” over $5,000 that would violate federal, state, or local law, would allow athletes or
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coaches to make prohibited wagers, or have no business or apparent lawful purpose. Id.
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§ 22.121(1)-(2). To protect problem gamblers, Nevada requires sportsbooks to provide to
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customers “written materials concerning the nature and symptoms of problem gambling,” train
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employees to flag potential problem gambling, and limit problem gamblers’ access to cash. See
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id. § 5.170(2)- (4). And to support the State’s public services, Nevada sportsbooks are subject to a
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progressive tax on gross gaming revenue, with large operators paying 6.75% of their gross gaming
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revenue. See NRS 463.370(1).
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To maintain their state gaming licenses, see Nev. Gam Reg. 5.011(h), the NRA’s members
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spend substantial amounts of time and money complying with the above rules and many more
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