State of Play’s TL;DR
- Missouri businesses are fighting back against the state’s crackdown on disputed gaming machines, arguing regulators are moving faster than lawmakers and courts.
Two lawsuits filed in Cole County in June challenge Missouri Attorney General Catherine Hanaway’s campaign against so-called pre-reveal or no-chance gaming machines.
While the fight is centered on retail devices in bars, convenience stores, and other licensed locations, the bigger question reaches beyond Missouri: How far can state officials go when the legality of a gambling product is still being contested?
The first lawsuit was filed June 18 by St. Charles restaurant Tuners Bar & Grill, which is seeking class-action status for other businesses operating the machines. A second complaint followed on June 26 from the Missouri Licensing Advocacy Group, or MOLAG, which says it represents liquor suppliers, convenience stores, bars, and other licensed businesses.
Both suits argue Hanaway is exceeding her authority by using criminal enforcement and licensing pressure before Missouri courts or lawmakers have definitively settled whether the machines are illegal. MOLAG specifically alleges that Hanaway and the Missouri Division of Alcohol and Tobacco Control are improperly threatening liquor and other licenses of businesses that host the devices.
The complaints also argue the machines differ from slot machines because players can see the next outcome before deciding whether to proceed, and that Missouri has not passed legislation specifically banning them. One filing put the business risk in stark terms:
“For a Missouri retailer, prosecution is not a clean path to legal clarity.”
Torch ruling ignites enforcement efforts
Missouri’s dispute shows how contested gaming products can create uncertainty for operators, retailers, and regulators long before a legislature writes a clean rulebook.
Hanaway’s enforcement push intensified after a February federal court ruling found Torch Electronics’ devices were illegal gambling devices. After that ruling, her office warned Torch it faced criminal prosecution if operations continued, and Torch suspended Missouri operations in April.
Hanaway has said her office will keep pursuing businesses “profiting from unlawful activity” and posted in March:
“We are prepared to go to every corner of the state to eradicate illegal gaming operations.”
She also said enforcement reduced unregulated machines from about 25,000 at their peak to roughly 7,000 still operating.
Based on reporting by Chavdar Vasilev for Gambling Insider.