In a quiet and expectant courtroom, the long-anticipated legal battle between the Mohawk Council of Kahnawà:ke (MCK) and iGaming Ontario (iGO), finally began to unfold. The judge delivered a reassuring greeting to all attendees and gave way to the hearing’s initiation.
The MCK wasted no time in laying out its case, asserting that Ontario’s iGaming scheme is illegal and unconstitutional because the province’s mandated role in “conducting or managing” online sports betting has been delegated to private operators. The MCK took its time to highlight how private operators, rather than iGO, are the ones who have substantial control over crucial aspects of the gaming scheme. This includes compliance obligations, being responsible for marketing, operating their platforms, executing payment processing agreements with providers, having their boards of directors make key decisions, and being the main beneficiaries of the scheme’s revenue proceeds, among other reasons.
Amidst MCK’s monologue, the judge interjected with probing questions, seeking clarity on the heart of the matter. Could iGO potentially subcontract with private operators without contravening the current rules? The MCK gave a quick and sharp response, “Yes, but they cannot subcontract or delegate all functions. Private operators are both conducting and managing, yet this is a function that cannot be shared [by iGO]”. Another question followed this explanation: if what the MCK was arguing were to be true, would that mean that iGO would have to fully perform absolutely all operations and quirks of the iGaming scheme?
The MCK stepped back and expressed that they would not go that far. In turn, they acknowledged the potential for private partnerships to enhance operational efficiency while maintaining the province’s regulatory control. Yet, they remained steadfast in their position that functions of conducting and managing must remain under the provincial government’s control, not under private operators.
As the clock ticked towards adjournment, the MCK’s arguments left the courtroom abuzz with anticipation. While they were not able to conclude their arguments, they will have the opportunity to do so today. Day two of the hearing promises an exciting second round as iGO steps up to rebut MCK’s assertions, setting the stage for a high-stakes legal showdown over the future of Ontario’s iGaming landscape.
Stay tuned for the updates from day two of the case!
