Santa Anita is fighting back! The iconic racetrack has officially filed a lawsuit against the California Department of Justice (DOJ) in a heated dispute over their new "Racing on Demand" slot machine-style games. This move comes after law enforcement officers seized these machines from the track on a Saturday afternoon, sparking a legal battle that’s now playing out in court.
The core of the controversy lies in whether these games, which allow wagers on previously run horse races, are legal. Santa Anita, through its operator the Los Angeles Turf Club, argues that a wager type approved by the California Horse Racing Board (CHRB) in 2024 provides them with the necessary legal authority to offer these machines. They contend that both the state Attorney General's office and the CHRB had ample time – nearly a year, according to Santa Anita – to address any legal concerns about the games, but chose not to. As Santa Anita officials put it, "Neither the Attorney General's office, nor the CHRB, ever disputed [the track's] written legal analysis or stated that the [track] did not have the legal right to offer the 3X3 wager on concluded races."
But here's where it gets interesting... Santa Anita's legal team is pointing to a precedent set in 2006 by the California Office of Legislative Counsel. At that time, a ruling was made regarding "Instant Racing," a similar concept involving pari-mutuel wagering on past races. The legislative counsel concluded that there's no constitutional requirement for horse races to be live or simultaneous to be considered valid for regulation. This 2006 opinion seems to strongly support Santa Anita's current position.
These "Racing on Demand" terminals, 26 in total, debuted at Santa Anita on Thursday and allowed players to bet on the first three finishers of randomly selected, previously run six-horse races. The machines were removed in a rather dramatic fashion on Saturday, with DOJ personnel seen wheeling them out of the grandstand.
Scott Daruty, senior vice president for the Los Angeles Turf Club, stated that their legal analysis was provided to the Attorney General's office almost a year ago and that they "proceeded on solid legal ground." He added, "We're confident the law is clear."
Now, Santa Anita is not only seeking the return of the confiscated machines but also the money that was inside them. The DOJ had issued a notice warning that the machines would be destroyed after 30 days unless there was a court intervention. This 30-day clock started ticking on January 17th. If the machines are indeed destroyed, any seized funds will be forwarded to the city or county treasury where they were confiscated – in this case, Arcadia.
And this is the part most people miss... The DOJ's intent to destroy the machines raises questions about the future of such gaming innovations in California. Is this a genuine effort to uphold gambling laws, or a move to stifle new revenue streams for racetracks? What do you think? Should Santa Anita be allowed to operate these games, or is the DOJ right to step in? Let us know your thoughts in the comments below!