California's Commercial Card Rooms Face Legal Uncertainty

California is home to 85 card rooms, varying in size from small, intimate venues to expansive facilities with multiple tables. While these card rooms have spread across the state, their legal status remains ambiguous. The California Nations Indian Gaming Association (CNIGA) has endorsed Senate Bill 549 (SB 549), introduced by State Senator Josh Newman, which would enable tribes to seek clarity on the legality of card rooms in court.

This push comes as card rooms expand their offerings to include games like blackjack and baccarat, putting them in direct competition with tribal casinos. Legality remains a contentious issue as card rooms, operators, and tribes jockey for legal recognition and market share, and lobbying efforts reach their peak.

Chairman James Siva of CNIGA emphasizes that SB 549's passage would allow tribes to challenge these establishments' operations in court, potentially leading to definitive legal rulings. The decision to involve the courts is not without risks, as there's no guarantee of a judgment in favor of the tribes. However, a legal victory would significantly bolster tribal interests and redefine California's gaming landscape.

While SB 549 successfully passed the State Judiciary Committee in July, it has yet to receive a vote in the Senate. Siva noted that the tribe's arguments managed to sway some committee members, explaining the ongoing delays. He hoped the Senate would vote favorably, finally settling the question of card room legality.

SB 549 would settle, once and for all, a dispute that is sure to come up again and again with the state legislature and attorney general's office.

Despite the tribes' efforts, California lawmakers seem reluctant to introduce significant disruptions to the state's fragile gambling sector. Recently proposed regulations instead seek to regulate card room offerings, differentiating them from tribal casinos. For example, the new rules ban any form of blackjack and may impose more such restrictions, easing the tensions between card rooms and tribal casinos.

As state leaders and lawmakers refrain from taking a stance on card room legality, the matter may inevitably land in the hands of the courts. Despite the popularity of card rooms in some communities and their economic contributions, the debate rages on. The question remains unanswered, leaving tribes and commercial gaming interests in a legal tug-of-war.