California Beats Flynt Lawsuit Over State Gaming Restrictions

March 17, 2025, 6:50 PM UTC

The widow of former publisher and casino owner Larry Flynt lost a challenge to California’s law prohibiting people with out-of-state casino businesses from getting state cardroom licenses.

The provision doesn’t unconstitutionally discriminate against out-of-state residents because its aim is combating gambling, not favoring in-state economic interests, the US Court of Appeals for the Ninth Circuit said in March 14 decision.

California prohibits anyone with a more than 1% financial stake in an out-of-state casino from holding a cardroom license in the state. The provision is part of a state regulatory scheme that allows cardrooms but limits casino-style gambling.

The ...

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