Robinhood Moves to Dismiss Lawsuit from Three California Tribes

Robinhood Markets are pushing to dismiss a lawsuit filed by three Indian tribes in California that alleges illegal sports gambling on their reservations. The Blue Lake Rancheria, the Chicken Ranch Rancheria of Me-Wuk Indians, and the Picayune Rancheria of the Chukchansi Indians filed the complaint seeking to block Robinhood and Kalshi from allegedly conducting unlawful gaming activities and to recover damages.

The dismissal motion is for March 19, 2026, at 10:00 AM, before the Honorable Jacqueline Scott Corley. The firm is going to argue that the claims under the Indian Gaming Regulatory Act (IGRA) are legally insufficient.

Robinhood Moves to Dismiss Lawsuit from Three California Tribes

Robinhood contends that IGRA does not provide a right of action for Indian tribes to enjoin violations of its restrictions on gaming on Indian lands. The company further asserts that its activities do not qualify as “class III gaming” nor take place on Indian lands, and that IGRA does not override the Commodity Futures Trading Commission’s (CFTC) jurisdiction over event contracts traded on Designated Contract Markets (DCMs). Robinhood also cites the Unlawful Internet Gaming Enforcement Act (UIGEA), claiming that its operations are expressly exempted from being classified as unlawful gaming.

In addition, Robinhood argues that the tribes’ claims under tribal gaming ordinances are invalid, as the company is a nonmember and thus outside the tribes’ regulatory authority, while the Commodities Exchange Act (CEA) preempts any conflicting tribal regulations.

Robinhood also challenges the tribal sovereignty claim, stating that there is no legal cause of action for alleged violations and that the tribes have no sovereignty interest in relation to Robinhood’s activities.

Finally, the company disputes the plaintiffs’ Racketeer Influenced and Corrupt Organizations Act (RICO) claim, asserting that the tribes have failed to establish standing, allege predicate offenses, or demonstrate the existence of an enterprise.

The court’s ruling on the dismissal motion could have significant implications for the regulatory boundaries of online derivatives and event-based contracts on tribal lands.

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