Connecticut Attorney General Requests Dismissal of MGM Resorts Lawsuit

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Connecticut officials asked on Wednesday a federal judge to dismiss the lawsuit gambling operator MGM Resorts International filed against the state back in August.

Earlier this year, the Connecticut Legislature approved a legislation that authorized the launch of a third state casino, which is to be jointly operated by the federally recognized Mohegan and Mashantucket Pequot tribes. The new gambling act also created a multi-step process for the construction of the gambling venue, which is likely to be located on the Connecticut border with neighboring Massachusetts.

In August, MGM Resorts filed a lawsuit against the state, Gov. Dannel Malloy, and other officials, claiming that Connecticut’s latest casino law violated the US Constitution’s Equal Protection and Commerce Clauses. In other words, the new casino would be the result from an illegal and unfair gambling act.

As mentioned above, the office of Connecticut’s Attorney General George Jepsen filed on Wednesday a legal motion calling for the lawsuit to be dismissed on the grounds that MGM Resorts has not been legally injured by the approved legislation. Therefore, it has no reason to sue Connecticut.

Here it is important to note that the gambling operator, which is currently building an $800-million casino resort in Springfield, Massachusetts, has previously expressed interest in opening a casino in Connecticut as well.

Assistant Attorney General Robert J. Deichert explained in his Wednesday motion that the new gambling act only contains the steps the two tribes will have to go through in order to be permitted to open the new casino on non-tribal land. In other words, the legislation itself does not authorize the opening of a tribal casino.

Once the host municipality and the precise location of the new venue are selected, legislators will have to approve another act that would authorize its operation on non-reservation land. Thus, according to Mr. Deichert, MGM Resorts will have the chance to take steps towards establishing a casino in Connecticut.

However, the official added in his motion that under the gambling operator’s deal with Springfield, it cannot open another gambling venue within 50 miles from the host city. Given the fact that the new Connecticut casino is to be located in the northern part of the state, it could be said that MGM Resorts will not be able to operate a gaming facility there as its radius restriction covers the greater part of the counties where the new venue is likely to be built.

Connecticut’s two federally recognized tribes currently operate one casino each. Both venues are located on reservation land. Following the announcement that MGM Resorts will be developing a casino resort not far from the Connecticut border, the Mohegans and the Mashantucket Pequots called for a joint casino on non-reservation land to blunt competition coming from neighboring Massachusetts.

It is still unclear when the construction of the new venue will start. The two tribes will first have to choose a host municipality for the casino. Yet, tribal officials have formerly pointed out that they hope it will be ready before the Springfield resort.

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