Judge rejects Kalshi stay in Nevada case

"The Court has not entered judgment on the merits of this case. The earlier ruling dealt only with jurisdiction and simply returned the dispute to state court. Judge Du rejected Kalshi's argument that Federal Rule of Civil Procedure 62(a) automatically stops the remand order from taking effect, explaining that rule typically creates a short pause before judgments are enforced, but the court said the earlier decision did not qualify."

"Nevada filed the case through the Nevada Gaming Control Board, arguing that Kalshi's event-based trading markets amount to unlicensed gambling under state law. The company shifted the case to federal court earlier in the dispute, but the judge previously concluded the federal court did not have subject matter jurisdiction and ordered the matter returned to state court."

Nevada's Gaming Control Board sued prediction-market operator Kalshi, alleging its event-based trading markets constitute unlicensed gambling under state law. Kalshi moved the case to federal court, but the judge determined federal courts lacked jurisdiction and ordered remand to state court. Kalshi appealed the remand and requested an emergency stay to keep the case in federal court during appeal. Federal Judge Miranda M. Du rejected both the automatic stay under Federal Rule of Civil Procedure 62(a) and Kalshi's discretionary stay request, ruling the earlier decision addressed only jurisdiction, not case merits. The lawsuit now returns to Nevada's First Judicial District Court in Carson City.

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