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A Michigan court has issued a temporary restraining order blocking KalshiEx LLC (Kalshi) from offering or advertising online sports betting in the state while a lawsuit filed by Attorney General Dana Nessel moves forward.

The state court’s order follows a ruling by the U.S. District Court for the Western District of Michigan last week, which granted the Attorney General’s motion to remand the lawsuit back to state court after Kalshi attempted to move the case to the federal level.

In a statement, Nessel said Michigan’s gambling laws are designed to protect consumers from unlicensed gambling operations and ensure companies comply with state regulations.

“I am proud of the attorneys in my office who not only kept this case in state court but also secured an order protecting residents as this litigation moves forward,” he said. “We remain committed to enforcing a level playing field for all gambling platforms in Michigan and ensuring that companies cannot evade accountability or exploit consumers under the guise of a prediction market.”

The lawsuit, filed by the Attorney General’s office in March, alleges that Kalshi violated Michigan’s Lawful Sports Betting Act by allowing users to wager on the outcomes of sporting events through event contracts offered on its prediction market platform.

According to the complaint, the platform enables Michigan residents to place sports-related wagers, process transactions through financial systems, and participate in what the state argues constitutes unlicensed sports betting. The lawsuit contends that Kalshi operates in Michigan without obtaining the required license from the Michigan Gaming Control Board.

Following the filing of the lawsuit in state court, Kalshi sought to remove the case to federal court. However, the federal court granted the state’s motion to remand, sending the case back to the Ingham County Circuit Court.

The temporary restraining order bars Kalshi from operating or advertising its online sports betting platform in Michigan until further court proceedings determine the outcome of the case.





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