Is Kalshi Legal in Texas? Court Status and Every Gambling Lawsuit in Texas

Status as of 14 November 2026: no Texas court order and no Texas enforcement action against Kalshi or any other prediction market is in our record; Kalshi offers sports contracts to people in Texas.

• What the record holds: no suit, no cease-and-desist letter and no regulator order, per the 50-state tracker checked 14 November 2026, a secondary source.
• Federal cases: Texas is neither a state suing Kalshi nor a state sued by the CFTC.
• Legislature: Senate interim hearing on 15 September 2026, per the tracker; no bill in the record.
• Next date: 7 December 2026, Supreme Court responses due.

No Texas court or regulator has acted in the cases we track; other states' status is read from their orders.

Texas draws heavy Kalshi search demand yet has no prediction-market court record, so the only orders that matter to a Texan are the national ones.

This page covers the court status of Kalshi-style contracts and then 0 gambling lawsuits in Texas courts or about Texas. A complaint states one side's allegations; only the court's orders decide anything, and every status carries its date.

Is Kalshi legal in Texas? What the courts have ordered

As of 14 November 2026 no court order either way governs Kalshi in Texas: no Texas authority has sued or ordered Kalshi to stop, and no court has held that Texas may not enforce its gambling law against event contracts.

Kalshi treats its sports contracts as swaps under 7 U.S.C. 2(a)(1)(A), and the circuits are split: the Third Circuit sided with Kalshi on 6 April 2026, the Ninth (28 August 2026) and Sixth (25 September 2026) did not.

Texas has no ruling of its own, so the national record decides. This page sits inside our record of gambling lawsuits in the United States.

What Texas has and has not done: no suit, no order, one hearing

Our record holds no Texas prediction-market case: no suit by the Attorney General, no cease-and-desist letter from a Texas agency, no criminal charge and no private Texas suit under a loss-recovery statute.

That finding rests on the 50-state tracker checked 14 November 2026, a secondary source, so it describes our record, not Texas law. The tracker also lists a Senate interim hearing on 15 September 2026.

No order either way does not mean the state cannot act. No cease-and-desist to Kalshi from a Texas authority is in our record. The prediction market lawsuits we track, 8 in all, are in other states.

Where orders do exist: the states that block or protect Kalshi

Court orders against Kalshi's sports contracts are in force in three states and a parish, protect Kalshi in four, and sit in between in the rest. The table shows six of them as of 14 November 2026.

An order operates through the operator's location checks in its own state. None of these orders names Texas, and our record holds no Texas order to put beside them.

Texas's closest precedent: DraftKings v. Paxton and daily fantasy

The closest Texas court record is not about prediction markets: DraftKings sued Attorney General Ken Paxton on 4 March 2016 for a declaration that paid daily fantasy contests are legal, after his opinion of 19 January 2016 called them illegal betting.

FanDuel settled and left the same day, re-entered in 2018 and intervened, and the case moved to Travis County.

The parties mostly extended the schedule for eight years, and no Texas court ever ruled on daily fantasy legality.

One law-firm blog reports a nonsuit on 30 July 2026 and dismissal orders on 5 August 2026, not confirmed on the Travis County docket. The federal route is explained in the guide to how is Kalshi legal.

What happens next: the Supreme Court petitions

Three certiorari petitions on sports event contracts are pending; the Supreme Court has granted none and denied none as of 14 November 2026, and responses are due 7 December 2026. All three concern the circuit split described above.

No Texas party is in the record. Every date is tracked on the list of pending appeals and high court gambling cases.

Open settlements covering Texas residents

No open gambling settlement covers Texas residents as of 14 November 2026. Three processes are open elsewhere: Pulsz in six states (elections to 30 November 2026), High 5 Games for Washington players (claims to 4 January 2027, per the administrator's site) and the New York VGW redemption (to 31 August 2027).

The one Texas settlement in our record was with a single lottery winner, not a class. Filing a claim anywhere is free; we are not a law firm or a claims administrator. Open deadlines are on the list of open gambling class action settlements by deadline.

Gambling lawsuits in Texas: every case we track

Our record holds 0 gambling lawsuits in Texas courts or about Texas: 0 lottery cases, 0 licensing and administrative suits, 0 antitrust suits and 0 regulator case at the Supreme Court. None is a prediction-market, sweepstakes, social casino or sportsbook consumer case.

The same rows download as CSV from our open data page under CC BY 4.0, with stable ids and a change log.

Texas's loss-recovery position

No Texas loss-recovery statute appears in our record, and no case in Texas courts has been brought to recover gambling losses from an operator.

That is an absence in our record, not a statement about Texas law; Washington's RCW 4.24.070 and Kentucky's KRS 372.040 are examples elsewhere, and the list of gambling loss recovery statutes by US state covers the rest.

The two Texas cases about players' money are lottery disputes, not loss recovery: Jane Doe v. Rey and Nettles v. GTECH. Whether a player can sue a casino or sportsbook is covered in our guide.

Sweepstakes casino status in Texas

No Texas court case against a sweepstakes casino is in our record as of 14 November 2026, and Texas is not among the ten states that ban dual-currency sweepstakes casinos by statute on the list we track.

That list is Settlement Insight's and is not yet checked against chaptered laws. The tracker of sweepstakes casino bans by state shows the ten states and their dates.

State enforcement: Attorney General, prosecutors and the Lottery Commission in court

Texas enforcement in our record runs through three actors: the Attorney General's 2016 opinion that triggered the daily fantasy suit, the Travis County District Attorney's indictment of the former lottery director, and the Lottery Commission, which was sued twice in 2025 and then abolished by the Legislature.

SB 3070 abolished the Commission effective 1 September 2025 and SB 28 banned couriers, as reported; we have not read the bills.

Other states' regulators and attorneys general in court are in the category hub.

The Lotto Texas cases: USD 95 million, USD 83.5 million and a director indicted

The April 2023 Lotto Texas drawing, won with about 25.8 million of the 25,827,165 possible combinations bought in a few days, as reported, produced three civil suits and one indictment. The cluster sits in our lottery lawsuits category.

In Jane Doe v. Rey the winner sued and settled; the Reed case is pending with no payout. A player with a refused prize can read how to sue a casino or lottery that refuses to pay. Gary Grief is charged, not convicted, and is presumed innocent.

Tribal bingo and lottery immunity: the two Supreme Court rulings

Two Supreme Courts have ruled on Texas gambling disputes: the Supreme Court of Texas on 12 June 2020 in Nettles v. GTECH (606 S.W.3d 726), and the United States Supreme Court on 15 June 2022 in Ysleta del Sur Pueblo v.

Texas (596 U.S. 685). Nettles held that a lottery operator had no derivative sovereign immunity on fraud claims about a Fun 5's ticket because it controlled the wording; the remanded claims' outcome is not confirmed.

In Ysleta (No. 20-493) Justice Gorsuch wrote for a 5-4 Court that the Restoration Act bars on tribal land only gaming that Texas prohibits outright; Texas regulates bingo, so it cannot shut the Pueblo's bingo.

Courts and where to find the dockets

Texas gambling litigation in our record runs through seven courts, and the two Supreme Court opinions are public while most Travis County cause numbers are not yet confirmed.

Every state's cases are grouped in the tracker of gambling lawsuits by US state.

Texas is neither a plaintiff state nor a CFTC defendant; the CFTC's eleven suits name other states. The tracker of states suing Kalshi and states sued by the CFTC keeps both lists.

Questions people ask

Why does Kalshi work in Texas?

Kalshi offers event contracts in Texas because no Texas court or regulator has ordered it to stop and Kalshi treats its contracts as swaps under the CFTC's exclusive jurisdiction; whether that is right is the question before the Supreme Court. The guide to CFTC jurisdiction vs state gambling law sets out both sides.

Has Texas sued Kalshi or any prediction market?

No Texas suit against Kalshi or any prediction market is in our record as of 14 November 2026, per the 50-state tracker, a secondary source. The tracker lists a Senate interim hearing on 15 September 2026, and Texas is not among the states the CFTC has sued.

Is there a Texas lottery lawsuit payout?

No class payout exists: Jane Doe v. Rey settled with one winner for a USD 45.8 million lump sum before taxes, per the Commission's statement as reported, and Reed v. Rook TX is pending with no payout. The pending case has its own page, the Lotto Texas USD 95 million lawsuit.

Is there a Kalshi class action or payout?

No Kalshi case has produced a payout and no class is certified as of 14 November 2026. The consolidated case, In re Kalshi Sports Prediction Market Litigation (S.D.N.Y. 1:25-cv-08585-JLR, consolidated 6 February 2026), awaits an arbitration motion; see the Kalshi lawsuits page.

Where to find the other states

Other states have their own pages.

• Nevada: blocked by court order; is Kalshi legal in Nevada.
• New Jersey: a federal injunction protects Kalshi; is Kalshi legal in New Jersey.
• California: available except two tribal lands; is Kalshi legal in California.
• Arizona, Virginia and the rest: is Kalshi legal? court status in every state.

Out of scope on this page

Court cases only; not answered here:

• Online sports betting legality in Texas
• Age limits
• Kalshi's credibility
• Which platform to use

How every case on this page is sourced and checked. Last checked 14 November 2026. Next scheduled check: 7 December 2026 (Supreme Court responses); 18 December 2026 (Grief pretrial, per one outlet).