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Sixth Circuit Kalshi Intra-Circuit Split
Type: Legal proceeding
Status: Pending circuit-level resolution
Jurisdiction: Sixth Circuit Court of Appeals
Issue: Conflicting district court rulings on CFTC preemption within same circuit
Overview
The Sixth Circuit faces an intra-circuit split where two district courts reached opposite conclusions on identical statutory text regarding whether CFTC-registered DCMs are preempted from state gambling laws.
District Court Rulings
- Tennessee Middle District — Ruled for Kalshi (pro-CFTC preemption)
- Ohio Northern District — Ruled against Kalshi (pro-state authority)
Timeline
- [Date TBD] — Tennessee Middle District ruled for Kalshi
- [Date TBD] — Ohio Northern District ruled against Kalshi
- Pending — Sixth Circuit must resolve before it counts as circuit-level ruling
Legal Significance
This intra-circuit split demonstrates that the prediction market preemption question is embedded within circuits, not just between circuits. The Sixth Circuit's resolution will either create another pro-CFTC circuit (if it follows Tennessee) or another pro-state circuit (if it follows Ohio), deepening the circuit split that makes SCOTUS review more likely.
Related Cases
- third-circuit-kalshiex-flaherty — Pro-CFTC preemption precedent
- fourth-circuit-kalshi-maryland-preemption-case — Pending, district court pro-state
- ninth-circuit-kalshi-nevada-consolidated-cases — Pending, signaled pro-state
Sources
- BettorsInsider circuit-by-circuit analysis, May 5, 2026