Churchill Downs’ Oxford Casino filed a lawsuit against Maine regulators last week, claiming the state’s newly enacted tribal-only iCasino law breaches equal protection principles by giving the four Wabanaki Nations exclusive rights to online casino gaming.
Owned by Churchill Downs, Oxford Casino Hotel brought the case against the Maine Gambling Control Unit in the US District Court for the District of Maine.
In its filing, Oxford Casino argued that expanding iCasino under a tribal monopoly would significantly harm Maine’s two brick-and-mortar casinos by shifting revenue away from physical venues and eliminating jobs. The lawsuit projects potential losses of 378 positions, $22 million in worker income, and an additional $60 million in broader economic impact.
Oxford Casino is asking the court to rule the law unconstitutional.
Earlier this month, Governor Janet Mills allowed the iCasino legislation to take effect, granting exclusive online casino rights to Maine’s four tribes. The tribes already control online sports betting in the state through partnerships with Caesars and DraftKings.
Milton Champion, executive director of the Maine Gambling Control Unit and a named defendant in the case, said Thursday afternoon that he had not yet been formally notified of the lawsuit. He also noted that he does not comment on active legal matters.
Maine iCasino legislative opposition
Churchill Downs is a founding member of the National Association Against iGaming (NAAiG), an organisation that campaigns nationwide against the expansion of online casinos. In its lawsuit, Churchill Downs stated that while it would prefer Maine not adopt online casinos at all, it believes it should be allowed to participate if the state moves forward with a regulated iGaming market.
Throughout the legislative process, Oxford Casino and Penn Entertainment’s Hollywood Casino Hotel & Raceway Bangor both testified in opposition to the tribal iCasino bills. Maine’s two land-based casinos argued that granting exclusivity to the tribes would be unfair to commercial operators and would siphon revenue away from their properties.
Governor Janet Mills’ office and Maine Gaming Control Board Chair Steve Silver also spoke out against the proposal, with Silver describing the expansion as “ill-advised.”
Despite this opposition, Mills permitted the legislation to take effect this year, saying the move was intended to support and improve economic opportunities for the Wabanaki Nations.
After the law passed, NAAiG expressed disappointment with Mills’ decision, noting that it contradicted her earlier stance against iCasino expansion. In addition to backing Churchill Downs’ lawsuit, the group announced plans to pursue a People’s Veto campaign aimed at overturning the law through a public referendum. NAAiG declined to provide further comment this week.
In a statement, NAAiG said the governor’s action marked a departure from her previously stated position and ignored widespread public resistance, cautions from state regulators, and an existing gaming system that has delivered benefits to Maine communities and tribal governments for more than ten years.
“Tribal nations already receive support under the current casino tax framework,” the group said. “Opposition to this legislation is not about marginalising tribes or defending narrow interests. It’s about protecting a system that has worked for Maine workers, local communities and tribal governments alike. Characterising these concerns as self-serving overlooks the facts and the significant public interest at stake.”
