Justia Arkansas Supreme Court Opinion Summaries

Articles Posted in Gaming Law
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The Supreme Court affirmed the judgment of the circuit court holding that the Arkansas Racing Commission's (ARC) decision to award the Pope County casino license to Cherokee Nation Businesses, LLC (CNB) and Legends Resort and Casino, LLC (Legends) was a "legal nullity, void and of no effect," holding that the circuit court did not err.In this third iteration of appeals involving the issuance of the license Gulfside Casino Partnership (Gulfside) argued that the ARC's action was ultra vires because it was issued in violation of the clear language of amendment 100 to the Arkansas Constitution. The circuit court granted summary judgment for Gulfside, concluding that the casino license issued by the ARC jointly to CNB and Legends was an ultra vires action. The Supreme Court affirmed, holding that the circuit court did not err in its decision. View "Cherokee Nation Businesses, LLC v. Gulfside Casino Partnership" on Justia Law

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The Supreme Court affirmed the circuit court's order dismissing Appellant's complaint for declaratory and injunctive relief, holding that there was no error.Appellant was cited for aiding and abetting two individuals in his boat who were violating Arkansas Game and Fish Commission (AG&FC) Regulation N1.03(B)(3)(i)(b), which prohibits using barbed hooks in designated areas, and Regulation 1.00-C. Appellant filed a complaint seeking declaratory judgment that the two regulations are unconstitutional because they are in direct conflict with Ark. Code Ann. 35, 8. The circuit court dismissed the complaint, determining that there was no conflict between the AG&FC regulations and the Arkansas Constitution. The Supreme Court affirmed, holding that the regulations in question were not unconstitutional. View "Peveto v. State" on Justia Law

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The Supreme Court reversed the circuit court's order finding that both Rule 2.13(b)(5) of the Casino Gaming Rules and Ark. Code Ann. 27-117-101(b) are unconstitutional, holding that the circuit court erred.In 2019, the Arkansas Racing Commission (ARC) adopted Rule 2.13(5)(b) (the Rule) of the ARC-Casino Gaming Rules, which provides that letters of support must be from the county judge, quorum court, or mayor holding office at the time of the submission of an application for a casino license. The General Assembly subsequently passed Act 371 of 2019 (the Act), which was identical to Rule 2.13(5)(b) and is codified at Ark. Code Ann. 23-117-101. Appellant applied for a casino license in May 2019, but the application was denied. Appellant filed the underling litigation challenging the denial of a license and the constitutionality of the Act. The circuit court declared that Rule and the Act were unconstitutional because they imposed an additional qualification to Arkansas Constitutional Amendment 100. The Supreme Court reversed, holding (1) the Rule is consistent with Amendment 100 and does not impose an additional requirement; and (2) the Act is consistent with Amendment 100 and does not impose an additional requirement. View "Cherokee Nation Businesses, LLC v. Gulfside Casino Partnership" on Justia Law

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The Supreme Court reversed the decision of the circuit court refusing to allow Cherokee Nation Businesses, LLC to intervene in litigation brought by Gulfside Casino Partnership against the Arkansas Department of Finance and Administration and the Arkansas Racing Commission, holding that Cherokee was entitled to intervention as a matter of right.Five applicants, including Gulfside and Cherokee, applied for a casino license during the May 2019 application period. The Commission denied each application on the grounds that each failed to include a letter of support from the county judge or a resolution from the county quorum court. Gulfside filed the underlying suit asking the circuit court to reverse the Commission's denial of its application. The application period was reopened in August 2019, at which time Cherokee submitted its application. Cherokee then moved for intervention to defend its right to have its application considered. The circuit court denied intervention. The Supreme Court reversed, holding that Cherokee was entitled to intervention as of right under Ark. R. Civ. P. 24(a)(2). View "Cherokee Nation Businesses, LLC v. Gulfside Casino Partnership" on Justia Law

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The Supreme Court dismissed as moot Appellees' motion to dismiss the appeal by Citizens for a Better Pope County, a local option ballot question committee, holding that the claims set forth in Citizens' appeal were moot.After the Pope County Quorum Court adopted a resolution in support of a casino license application, Citizens sought declaratory and injunctive relief in the circuit court requesting an order prohibiting and county judge and quorum court from taking any official action to expressly approve a casino applicant without first presenting the issue to voters in an election, as required by Ordinance 2018-O-42. Appellees filed a motion to dismiss. The day before the hearing on the motion Ordinance 2018-O-42 was repealed. The circuit court denied declaratory relief, concluding that Ordinance 2018-O-42 unconstitutionally conflicted with amendment 100 of the Arkansas Constitution, and further held that the mandamus request was moot. The Supreme Court dismissed this appeal as moot, holding that, due to the repeal of Ordinance 2018-O-42, this Court's judgment on Citizens' claims would have no practical effect on an existing legal controversy. View "Citizens for a Better Pope County v. Cross" on Justia Law

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Cancun Cyber Cafe and Business Center was an internet cafe and business center that operated a sweepstakes promotion whereby Cancun's customers could play casino-style video games to learn whether they had won prizes through the sweepstakes promotion. Cancun filed a complaint for emergency declaratory and injunctive relief and a motion for temporary restraining order (TRO) and preliminary injunction against the city, police chief, and county prosecuting attorney, seeking declarations that, inter alia, Cancun's business and sweepstakes promotion was lawful. The county attorney filed a motion to dismiss Cancun's complaint. The circuit court granted the motion and denied as moot Cancun's motion for TRO and preliminary injunction. The Supreme Court affirmed, holding that because there was no existing legal controversy in this case, Cancun was not entitled to declaratory and injunctive relief, and therefore, the circuit court did not err in granting the prosecuting attorney's motion to dismiss and denying as moot Cancun's motion for TRO and preliminary injunction. View "Cancun Cyber Cafe & Bus. Ctr., Inc. v. City of N. Little Rock" on Justia Law