Amicus Brief

NFI Position:   This is a case of agency inaction, not preemption. The Commodity Exchange Act preempts the field and sports is an excluded commodity, so the CFTC has sole decision-making powers over event contracts on sports outcomes.

 

The law is unambiguous: There can be no sports gambling on a CFTC-regulated exchange, and, as inconvenient as it may sound, none at all in any state, on any platform. If residents of New Jersey–or any other state–wish to legalize sports gambling, the appropriate course is through Congress.

 

The CFTC, however, chose inaction. Fortunately, both Congress and the Supreme Court have anticipated the risks posed by regulatory vacuums and implemented meaningful safeguards, through the Administrative Procedure Act (“APA”), and through Loper Bright, both of which have limited agency overreach. Together, these safeguards provide a strong legal foundation for this Court to reverse the preliminary injunction, ensuring that this critically important case can proceed on the merits.