In a recent legal development, Judge Tim Fox of Pulaski County Circuit Court has declared the issuance of casino licenses to Cherokee Nation Businesses and Legends Resort and Casino in Arkansas as “unconstitutional.” The ruling, which was delivered on January 12, has raised questions about the validity of the licenses granted to these entities and has triggered a legal battle in the state. The decision stems from a lawsuit filed by Gulfside Casino Partnership, a contender for the state’s fourth casino license, adding a layer of complexity to the casino licensing process.
Invalid Casino Licenses:
Judge Fox’s ruling declares that the casino licenses granted to Cherokee Nation Businesses and Legends Resort and Casino are invalid due to their alleged infringement of the Arkansas constitution. The judge further argues that Legends Resort and Casino lacks the necessary casino gaming experience to be considered suitable for a license. This ruling has cast doubt on the legitimacy of the licensing decision and has prompted further legal action.
Legal Battle and Background:
Gulfside Casino Partnership, a key player in the Arkansas casino license competition, initially received a license in 2020. However, this license was later deemed invalid by the Arkansas Supreme Court. The court’s decision was based on the fact that Gulfside had obtained its license using a letter of support from a Pope County judge who was no longer in office at the time. The subsequent awarding of the license to Cherokee Nation Enterprises/Legends Resort and Casino in late 2021 triggered a legal challenge from Gulfside, leading to the recent ruling.
Constitutional Amendment and Casino Licensing:
The backdrop of this legal dispute is a 2018 constitutional amendment approved by Arkansas voters. This amendment permits the establishment of a single casino in each of the counties of Pope, Jefferson, Garland, and Crittenden. The funding for this measure largely came from Cherokee Nation Businesses and the Downstream Development Authority of the Quapaw Tribe, both based in Oklahoma. The proposed Cherokee Nation Pope County casino resort, a $225 million project, aims to offer a variety of amenities including slot machines, table games, and hotel rooms near Russellville, northwest of Little Rock.
Implications and Next Steps:
The ruling by Judge Fox has been met with disappointment by Cherokee Nation Businesses, as their CEO, Chuck Garrett, expressed the intention to appeal the decision to the Arkansas Supreme Court. The legal battle over the validity of casino licenses has thrown the future of these casino projects into uncertainty. As the legal proceedings continue, stakeholders in the gaming industry and the state of Arkansas await further developments that could shape the landscape of casino operations in the region.
The recent ruling by Judge Tim Fox has raised significant questions about the constitutionality of casino licenses granted to Cherokee Nation Businesses and Legends Resort and Casino in Arkansas. The legal dispute underscores the complexities of casino licensing processes and the potential impact on casino development projects. As legal proceedings unfold and appeals are pursued, the outcome of this case could have far-reaching implications for the gaming industry and regulatory practices in the state of Arkansas.