Third Circuit upholds injunction protecting Kalshi in New Jersey
The US Court of Appeals for the Third Circuit ruled 2–1 to uphold an injunction blocking New Jersey from applying its gambling laws to Kalshi’s sports event contracts. The majority found that federal law pre-empts state regulation in this context; one judge dissented, arguing the contracts should remain subject to state oversight.
The ruling limits New Jersey’s enforcement against Kalshi while clarifying a federal-state dispute over sports event contracts.