It’s been quiet in Wisconsin, where the government and Native American tribes have been cobbling together a deal to implement statewide online sports betting.
It’s about to get louder, though, because, on Wednesday, a lawsuit was filed that aims to shut down that project, claiming the entire thing violates the state constitution.
- A lawsuit filed by the Wisconsin Institute for Law and Liberty argues that Wisconsin's new tribe-led online sports betting law violates the state constitution.
- The lawsuit also claims the plan unfairly benefits some Native American tribes, violating the U.S. Constitution's Equal Protection Clause.
- Although its claims have not been proven in court, the legal challenge could delay or block statewide mobile sports betting.
The lawsuit was filed by the Wisconsin Institute for Law and Liberty (WILL), which is representing two taxpayer associations in the case. And, according to WILL, the passage of a tribe-led online sports betting bill earlier this year cut some constitutional corners.
“Thirty-three years ago, Wisconsinites expressed through a constitutional amendment that the Legislature may not expand gambling in any form,” WILL Associate Counsel Kirsten Atanasoff said in a statement. “Neither lawmakers nor Governor [Tony] Evers are allowed to flout that constitutional limit.”
A lawsuit over the proposed mobile wagering model is not totally unexpected. There had been rumblings about the potential need for a constitutional amendment, as well as complaints from major online sports betting operators that the framework would sideline them in the state.
The lawsuit filed on Wednesday now alleges the changes made by A.B. 601 “violate the Wisconsin Constitution’s unequivocal restriction on the Legislature’s ability to authorize gambling,” and seeks a declaration the bill violates that constitution.
Moreover, the lawsuit claims the proposed Wisconsin sports betting model, which would run through its Native American tribes, “creates a benefit for some – not all,” and therefore violates the U.S. Constitution’s Equal Protection Clause.
Stop right now, thank you very much
In addition to the declaration, the taxpayer groups are asking a state circuit court to stop government officials from “taking any action” to authorize statewide mobile sports wagering in Wisconsin. That injunction would include any negotiations between the state and the tribes for gaming compact amendments that provide for online sports betting.
“This lawsuit ensures that elected officials remain accountable to the people of Wisconsin by upholding the constitutional limits the people, themselves, called for,” Atanasoff said.
None of the claims have been proven in court yet, and it could be some time before a decision is reached in the matter. Nevertheless, it presents a potential obstacle to bringing statewide online sports betting to Wisconsin.
The lawsuit could have broader consequences, too, as tribes in other states, such as California, are eyeing similar sports wagering models. In Florida, meanwhile, the state's Seminole Tribe offers mobile wagering that relies on a Wisconsin-like legal structure.
Wisconsin already has legalized sports wagering offered on Native American lands in the state, such as at casinos and via mobile apps that only take bets while on those tribal lands.
However, the fact that there is no statewide online sports betting being offered by the tribes doesn’t mean it isn’t already there.
Wisconsin Gov. Tony Evers has signed Assembly Bill 601 into law, the legislation that will help pave the way for Native American tribes to offer statewide online sports betting.
— Geoff Zochodne (@GeoffZochodne) April 9, 2026
However, it's clear the gov. has concerns and wants to see the wealth shared among the tribes. pic.twitter.com/1zFN8Lje9z
Offshore sportsbooks are taking bets in Wisconsin. Also present are federally regulated prediction markets, the nationwide exchanges that facilitate a de facto form of sports wagering.
Wisconsin regulators are well aware of sports prediction markets, as they have caused a fair amount of controversy and prompted legal challenges from state regulators claiming they are just sports betting by another name.
The Wisconsin Department of Justice announced in April that it was suing five prediction market operators to stop their “alleged facilitation of illegal sports betting” in the state.
Wisconsin was then sued by the Commodity Futures Trading Commission (CFTC), the federal regulator of prediction markets, as the agency sought to protect its jurisdiction.
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Share the wealth
The CFTC was denied a preliminary injunction last week in Wisconsin.
“Wisconsin’s gambling statutes do not conflict with federal commodities regulations and are not preempted by them,” a federal judge wrote.
Authorizing online sports betting via the tribes was seen as a way to try to capture some of the existing wagering activity already happening in the state. It was also seen as a way to honor the exclusivity tribes have for gambling in Wisconsin, and to provide them with an additional revenue stream.
However, the passage of mobile wagering legislation earlier this year began an entirely new process, which is the renegotiating of gaming compacts between the tribes and the state.
That process is ongoing, and those compacts would eventually require federal approval. Meanwhile, Gov. Evers has made it clear he wants all of the state’s tribes to share in the proceeds. Developing that type of framework may take time.
“Each of the 11 Tribes must now work diligently – and together – to shape the future of sports betting in Wisconsin,” Evers wrote in April. “What I will not accept is a plan that fractures this opportunity into unequal pieces, allowing some Tribes to reap great benefits while leaving only crumbs for others.”
