U.S. District Judge Colleen McMahon denied Novig a preliminary injunction against New York on Nov. 10, finding Novig unlikely to win its claim that federal law prevents the state from applying its gambling laws to its sports contracts. She found the contracts likely are not “swaps” under the Commodity Exchange Act. She also wrote that, even if they were swaps, federal law would not stop New York from applying its gambling laws.
The ruling does not decide the case, and McMahon did not address the other factors for an injunction. Novig filed a notice of appeal to the Second Circuit hours later.
