Court Blocks Kalshi From Offering Contracts on Two California Tribes' Lands

A federal judge has issued a preliminary injunction barring Kalshi, the prediction market operator, from offering sports event contracts on the lands of two tribes in California. The ruling covers the lands of the Blue Lake Rancheria and the Chicken Ranch Rancheria of Me-Wuk Indians. Judge Jacqueline Scott Corley of the U.S. District Court for the Northern District of California issued the ruling in Blue Lake Rancheria v. Kalshi.

Kalshi will be stopped from listing 14 sports-related contracts. The ruling relies on a decision by the Ninth Circuit Court of Appeals in September, which sided with the tribes. The panel ruled unanimously that the tribes are likely to be able to show that Kalshi's sports contracts constitute Class III gambling under the Indian Gaming Regulatory Act (IGRA).

Corley had denied the tribes' first request for a preliminary injunction in November 2025. At that time, she had evaluated Kalshi's yes-no contracts under the Commodity Exchange Act. The appeals panel sent the case back to Corley, who will reassess the risk of harm, the balance of hardships, and the public interest. The panel also upheld the rejection of the tribes' claim under the Lanham Act, which concerns misleading advertising.

To comply with the ruling, the tribes must provide Kalshi with maps showing their land boundaries by November 13. Kalshi must report the measures it has taken to the court within 21 days.