Churchill Downs Inc. Loses Challenge to Texas Gambling Law
A federal judge in Texas has ruled against Churchill Down Incorporated in a challenge over online gambling laws.
The Louisville-based company was hoping the judge would throw out a Texas law that bans internet gambling offered by the racetrack’s website.
The Courier-Journal reports the Texas Racing Commission has recently started to enforce a law requiring that all gambling on horse racing be done in person at the racetrack. The law was later revised by Texas authorities to explicitly outlaw online wagering.
Churchill claimed the “in person” part of the law was a violation of the U.S. Constitution’s interstate commerce clause. But the Texas judge rejected that argument, saying that Churchill Downs and other racetracks can reach gamblers in the Lonestar State through simulcasting—something that is permitted under Texas law.
Churchill started Twinspires.com in 2007 in order to take bets online and over the phone.