Tribal leadership dispute brings lawsuit against Kalshi app

The ongoing leadership dispute within the Alabama-Quassarte Tribal Town has led to a lawsuit against Kalshi. Samuel Marshall Jr. and Wilson Yargee each claim to lead the tribe. Yargee signed an agreement with Kalshi for an app that would allow trading in event contracts. The app was expected to launch this month.

Marshall Jr. filed suit in the Muscogee (Creek) Nation District Court on October 30. The defendants include Kalshi, the company's CEO and co-founder Tarek Mansour, Wilson Yargee, and Michael Stopp. The lawsuit seeks an emergency injunction to halt the app's launch. It also demands that the defendants withdraw their public statements about tribal leadership and recognize Marshall as the legitimate chief. The suit includes allegations of fraud, misleading advertising, and conspiracy, and seeks both compensatory and punitive damages.

The Marshall administration argues that Yargee had no authority to enter into a partnership agreement and that the tribal governing council did not approve the deal. According to the administration, Yargee was removed from office in 2021, when Marshall took over leadership. Yargee denies being removed and says he had the authority to negotiate with Kalshi. Both men claim to have won the 2025 election. The Bureau of Indian Affairs recognizes both as chief but notes that the dispute remains unresolved.

The Marshall administration also claims that the PokkeTrades announcement harmed the tribe's existing business relationships and led to the tribe not being invited to the National Congress of American Indians annual meeting in Palm Springs. Kalshi rejects the claims. Company spokesperson Jacki McGavick said the tribal council approved the partnership and that a signed contract exists.