In a ruling released Thursday, U.S. District Judge Alvin Thompson agreed with Connecticut officials that MGM did not “adequately allege an injury” from the new law and therefore does not have legal standing to sue.
MGM, which plans to open a $950 million casino in Springfield, calls the ruling incorrect and says it will seek an expedited appeal.
MGM was trying to either stop Mohegan Sun and Foxwoods from adding a 3rd casino, or open up the competition for non-tribal casinos to open resorts in Connecticut. Mohegan Sun and Foxwoods are planning to partner to build a 3rd casino in either Windsor Locks, East Hartford or Hartford.
MGM argued that it was unfair to allow tribal casinos to have a monopoly on all casinos in Connecticut, when the casinos are not on tribal land.
The tribes that run Mohegan Sun and Foxwoods have stated they wanted to build a casino directly because of MGM opening a casino in 2018 in Springfield. The tribes said it will loses jobs and money once MGM Springfield opens.
Connecticut’s Office of the Attorney General says it’s prepared to defend the case against an appeal of the suit, which was originally filed in August 2015. The Schaghticoke Tribal Nation is also challenging the casino law in a separate lawsuit being partly financed by MGM.
The Connecticut legislature still needs to approve the tribes’ plan for a 3rd casino.