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      Industry

      Seminole Tribe And West Flagler Forge Landmark Partnership To End Long-Running Dispute

      The agreement will bring legal jai alai betting to the Hard Rock Bet app in Florida in early 2025

      erik gibbs

      By Erik Gibbs

      Last updated: October 29, 2024

      2 min

      jai alai

      After a three-year-long dispute over rights to offer sports betting in Florida, the Seminole Tribe and West Flagler Associates announced a new collaboration Monday that appears to end their legal battle. This partnership will bring jai alai betting to the tribe’s Hard Rock Bet app, incorporating one of Florida’s most iconic sports into the state’s online betting landscape by the first quarter of 2025.

      The new deal was formalized just months after the U.S. Supreme Court declined to hear West Flagler’s case against the U.S. Department of Justice, effectively allowing a previous appellate court ruling to stand. The court’s decision upheld the legality of the Seminoles’ online sports betting operations across Florida.

      This legal framework, established under the 2021 gaming compact between the Seminole Tribe and the state of Florida, permits online wagers originating from anywhere within the state to be legally considered as taking place on tribal land. It essentially greenlit the tribe’s exclusive rights to expand its gambling market to online platforms.

      Under the terms of the new agreement, both parties have agreed to “refrain from engaging in any future litigation” regarding the Seminole Tribe’s gaming operations. This mutual ceasefire represents a marked reversal in stance for West Flagler, which owns two pari-mutuel facilities in Florida. Since the 2021 compact was approved, West Flagler has poured substantial resources into both state and federal court cases seeking to invalidate it, arguing that the arrangement gave the tribe undue control over Florida’s betting industry.

      A step toward greater expansion

      The 2021 compact not only enabled online sports betting under specific conditions but also set a lucrative revenue-sharing arrangement between the Seminole Tribe and the state. The tribe agreed to pay the state $2.5 billion over five years from its gaming profits.

      NEW: West Flagler Associates and the Seminole Tribe have reached a settlement.

      West Flagler has agreed to become a partner, allowing its Battle Court Jai Alai to be offered on Hard Rock Bet.

      In addition, West Flagler will not participate in any legal challenges.

      More to come.

      — Steve Bittenbender (@BittGDCG) October 28, 2024

      The recent agreement positions the Seminoles to seek further expansion of online betting operations in Florida. Notably, the compact includes a clause allowing the tribe to offer any new games that become legalized in Florida, opening the door to potential online casino offerings if the state decides to authorize them.

      While the compact does not currently permit full iCasino gaming, the inclusion of “any new game authorized by Florida law” within the definition of covered games could allow the tribe to extend its online gambling portfolio with minimal renegotiation of terms.

      For the Seminoles, the newly solidified legal and business landscape allows them to focus on building out their online gaming operations across the state without the immediate threat of additional litigation. The tribe will likely soon reopen negotiations with state officials regarding broader online gaming permissions. This, however, could come at a cost, as Florida may seek increased revenue-sharing terms in exchange for expanding online betting permissions statewide.

      The integration of jai alai into Hard Rock Bet marks a notable attempt to connect with Florida’s cultural heritage while leveraging the state’s growing enthusiasm for online betting. The sport has seen a steady decline in participation and viewership over recent decades, and the decision to include it as a betting option could serve to help the sport’s revitalization effort.

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