Eighteen attorneys general object to the part of the Clarity Act that did not change
New York led seventeen other states and the District of Columbia in telling the Senate Banking Committee to vote no.
Regulator
Michigan Department of Attorney General
The Lansing department that sued KalshiEX in March 2026 under Michigan's Lawful Sports Betting Act on behalf of the People and the Michigan Gaming Control Board, and won a preliminary injunction on 1 September barring the exchange from anything connected with sports wagering in the state.
The profile
The department is the fifth state law office this register tracks on the prediction market question, and the one that has taken the argument furthest into a state court. Its own about page describes a department of approximately 600 people at 525 West Ottawa Street in Lansing, headed by Attorney General Dana Nessel, and its Alcohol and Gambling Enforcement Division is the unit that brought this case: three assistant attorneys general from that division sign the order approved on 1 September 2026. The action is captioned Dana Nessel, Attorney General of the State of Michigan on behalf of the People of the State of Michigan and the Michigan Gaming Control Board v. KalshiEX LLC, No. 26-1087-CZ, in the Circuit Court for the 30th Judicial Circuit, Ingham County, before Judge Rosemarie E. Aquilina. The department filed in March 2026, alleging that Kalshi lets Michigan residents bet on sports under the guise of trading event contracts without the licensing approval of the Michigan Gaming Control Board. Kalshi removed the case to the United States District Court for the Western District of Michigan; the department moved to remand and the motion was granted, returning the case to Ingham County. A temporary restraining order followed in June 2026 and was extended, and on 1 September 2026 the court granted a preliminary injunction that will stand until final judgment. What distinguishes this office from the sibling offices already in the register is that it holds both roles at once: the same department that litigates against an unlicensed venue also oversees the enforcement side of a licensed gaming industry whose operators are the venue's competitors, which is the fact Kalshi's counsel built his 28 August letter on.
Frameworks and functions
- Alcohol and Gambling Enforcement Division
- The division that brought the Kalshi action and signs its filings, working alongside the Michigan Gaming Control Board, which is a co-plaintiff in the case rather than a separate litigant.
- Suit on behalf of the People
- The department sues in the name of the Attorney General on behalf of the People of the State of Michigan, which is why the injunction reaches anyone acting in concert with the defendant and not only the defendant itself.
Coverage
Developments in which Michigan Department of Attorney General is a named party, newest first.
Prediction markets
Michigan enjoins Kalshi, and Kalshi asks why only Kalshi
The 30th Circuit barred KalshiEX from anything connected with sports wagering in the state and set a $500,000 a day penalty for failing to geofence it.
On the record
Eighteen attorneys general urge the Senate to reject the Clarity Act
New York led seventeen other jurisdictions in a letter to the Senate Banking Committee objecting that the bill gives the SEC preemption authority indirectly through a new qualified transaction loophole in the Securities Act of 1933, and would render the covered security designations in section 18 meaningless. That provision is unchanged from the version published four days earlier.
A Michigan court enjoins Kalshi and prices the geofence at $500,000 a day
The Circuit Court for the 30th Judicial Circuit granted a preliminary injunction on 1 September 2026 barring KalshiEX from any activity connected with sports wagering in Michigan, requiring a state-licensed geolocation provider and setting a $500,000 daily penalty for failing to meet it. Kalshi had told the department it would seek dissolution if competitors were not pursued.