A U.S. District Court Judge ruled in October that Colorado is immune from a lawsuit over online sports betting, citing the Eleventh Amendment.
The tribes argue that they should have been able to launch an online sportsbook after Colorado voters approved Proposition DD in 2019, which legalized sports betting statewide.
However, the state told tribes they had to comply with new rules for wagers placed off-reservation, including a 10% tax that funds Colorado water projects. Tribal leaders argued they aren’t subject to state taxes under federal law, and the state’s requirements infringe upon their sovereign rights.
At the center of the lawsuit is a question that has become complicated with modern technology: where exactly does an online bet take place?
