The Sports Betting Alliance (SBA) dropped the temporary restraining order (TRO) filed against the Chicago City Council that would have prevented customers from accessing online sportsbooks.
The SBA, representing bet365, BetMGM, DraftKings, Fanatics and FanDuel, told Chicago mayor Brandon Johnson last month that a lack of clarity over the 2026 budget could see operators step back as they cannot “continue to legally conduct business in the City”.
On the table was a 10.25% tax on revenue from wagers in Chicago and a new licensing system in the Windy City, which would see operators fork out $50,000 up front for a master licence and a $25,000 annual renewal fee.
Despite being told its members would receive new licences by 29 December, the permits failed to materialise.
A day later, the SBA filed a lawsuit against not only City of Chicago but also the Chicago Department of Finance, City Comptroller Michael Belsky and Commissioner of the department of business affairs and consumer protection Ivan Capifali.
In its suit, the trade body argued that Chicago City Council did not have the legal power to impose the new scheme.
However, new licences were issued on 1 January, leading to the SBA declaring the TRO was no longer required but that it would still push to fight against the new taxation.
In a statement, via SBC Americas, a SBA spokesperson said: “We’re pleased to see the City moved quickly yesterday to maintain the operations of legal platforms that provide customer protections not available in the illegal market.
“Given these developments, there was no longer any need for an expedited TRO. The SBA will nevertheless continue to pursue in court resolution of the invalidity and unconstitutionality of the City’s recently passed licence and tax ordinances.
“Chicago sports fans will continue to have the benefits of legal, regulated sports wagering without interruption heading into the new year.”
The post Sports Betting Alliance drops temporary restraining order in Chicago first appeared on EGR Intel.
Trade body removes legal block on sportsbooks but vows to fight new city-specific 10.25% tax on revenue from wagers in the courts, as operators remain live in the Windy City
The post Sports Betting Alliance drops temporary restraining order in Chicago first appeared on EGR Intel.