Judge Orders Kalshi Temporarily Halt Event Contracts in Michigan

• Michigan Circuit Court Judge Rosemarie E. Aquilina granted Michigan a temporary restraining order and preliminary injunction against Kalshi
• Kalshi is barred from offering sports event contracts in Michigan for 14 days, until July 13, 2026
• Kalshi must use a third-party service to geolocate the state from the sports event contracts

A Michigan Circuit Court judge for the 30th Judicial Circuit, Ingham County, today granted Michigan Attorney General Dana Nessel’s request for a temporary restraining order and preliminary injunction against prediction market operator Kalshi.

Judge Rosemarie E. Aquilina today granted the motion, which requires Kalshi utilize a third-party service to geofence the state from its sports event contracts. The company will be prohibited from offering its sports event contracts in Michigan until Monday, July 13.

Dustin Gouker, creator and author of The Closing Line, was the first to report news. Gouker provided a copy of the decision to Sports Betting Dime as well.

Kalshi Will Implement Temporary Restrictions

Elisabeth Diana, Head of Communications and spokesperson for Kalshi, noted in a statement to Sports Betting Dime that the company will fight the decision in court, but will be implementing the temporary Michigan geolocation requirements.

“It’s no surprise that we disagree with the state’s decision and will fight it in court. Kalshi is subject to exclusive federal jurisdiction. We won’t be bullied by interests that care more about protecting their monopolies than their consumers. In the meantime, we’re implementing restrictions,” she said.

Michigan Attorney General Dana Nessel levied the lawsuit against Kalshi in the 30th Judicial Circuit Court in Ingham County this past March, seeking a permanent injunction to stop the company from offering sports event contracts in the Great Lakes State.

Nessel and the Michigan Gaming Control Board claim Kalshi runs afoul of Michigan’s sports betting laws and sports event contracts are tantamount to unlicensed gambling.

Two Week Preliminary Injunction

In her written decision, Aquilina noted that Michigan and “its most vulnerable citizens are suffering and will continue to suffer immediate and irreparable harm absent relief from being exploited by Kalshi’s sports betting operation masquerading as an investment opportunity.”

According to Aquilina, by Kalshi offering these sports event contracts to Michigan residents who are as young as 18, the chance for “irreparable harm on Michigan’s youth would be profound.”

She also noted in her decision that Kalshi’s offerings elude user protection mechanisms found in Michigan’s sports betting regulations, offer the company an unfair advantage over other licensed sports betting operators who comply with Michigan’s regulatory structure, and negatively impacts Michigan tribes by depriving them of sports betting tax revenues.

“Fifth, Kalshi is undercutting Michigan’s funding for schools, compulsive gambling prevention, economic development, and first responders. Sixth, the City of Detroit uses its gaming taxes to fund public needs, including law enforcement, public safety, economic development, youth programs, and infrastructure,” she wrote.

Aquilina ordered Kalshi use a third-party service to geofence Michigan from its sports event contracts. The order covers any and all Kalshi activity in Michigan in connection with sports betting. Failure to do so will result in a fine of $120,000 per day.