Kalshi

Since October 2025, multiple class-action lawsuits have been filed against Kalshi alleging that it operates an illegal, unlicensed gambling platform while deceptively marketing itself as a legal prediction market. Additional suits target specific practices such as misleading payout disclosures, inappropriate marketing to minors, and sending unsolicited promotional materials.

More information on the lawsuits is below.

Case Name (Date)	Alleged False Ad Claims	Status
Brown et al. v. Kalshi Inc. 26-cv-1426, W.D. Wash. (April 2026) <	Violating Washington state law by sending promotional text messages to consumers who have not consented to receiving such messages	Pending
Smith et al. v. Kalshi Inc. et al. 2684CV01188, Massachusetts state court (April 2026)	Offering sports wagering in Massachusetts without proper licensing and without providing state-required educational tools and other safeguards for responsible gambling	Pending
Golan et al. v. KalshiEX LLC et al. 26cv2394, S.D.N.Y. (March 2026)	Failure to adequately disclose “death carveout” provision in connection with event contracts regarding whether Ayatollah Ali Khamenei would leave office as Supreme Leader of Iran before specified dates	Pending
Kaiserman et al. v. Kalshi Inc. et al. 26-cv-1525, N.D. Ga. (March 2026)	Marketing itself as a legal prediction market when it is an illegal gambling operation Aggressively marketing sporting event contracts to minors despite state laws that make it illegal for minors to gamble	Pending
Risch et al. v. KalshiEX LLc et al. 26-cv-2390, C.D. Cal. (March 2026)	Failure to adequately disclose “death carveout” provision in connection with event contracts regarding whether Ayatollah Ali Khamenei would leave office as Supreme Leader of Iran before specified dates	Pending
Reynolds et al. v. Kalshi Inc. et al. 26-cv-336, D. Ore. (Feb. 2026)	Marketing itself as a legal prediction market when it is an illegal gambling operation	Pending
Jennings et al. v. Kalshi Inc. et al. 26-cv-71, M.D. Ala. (Jan. 2026)	Marketing itself as a legal prediction market when it is an illegal gambling operation	Consolidated with similar lawsuits in In Re Kalshi Sports Prediction Market Litigation
Josephson et al. v. Kalshi, Inc. et al. 26-cv-220, N.D. Ill. (Jan. 2026)	Marketing itself as a legal prediction market when it is an illegal gambling operation Falsely representing that bets are against other users when they are actually against Kalshi	Pending
Hallman et al. v. KalshiEX LLC et al. 26-cv-317, S.D.N.Y. (Jan. 2026)	Marketing itself as a legal prediction market when it is an illegal gambling operation Falsely representing that bets are against other users when they are actually against Kalshi	Consolidated with similar lawsuits in In Re Kalshi Sports Prediction Market Litigation
Pelayo et al. v. Kalshi Inc. et al. 25-cv-9913, S.D.N.Y. (Nov. 2025)	Marketing itself as a legal prediction market when it is an illegal gambling operation	Consolidated with similar lawsuits in In Re Kalshi Sports Prediction Market Litigation
In Re Kalshi Sports Prediction Market Litigation 25-cv-8585, S.D.N.Y. (Oct. 2025)	Marketing itself as a legal prediction market when it is an illegal gambling operation	Pending