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Checked Oct. 21, 2026

AL ยท Checked Oct. 21, 2026

Prediction market law in Alabama

No public action found

Alabama officials have taken no enforcement action against prediction markets; only private class actions against Kalshi have been filed there.

No cease-and-desist letter, state lawsuit, or prediction-market bill from Alabama was found. Alabama's attorney general has joined multistate filings arguing that states, not the CFTC, should govern sports event contracts. Private plaintiffs have filed class actions in Alabama claiming Kalshi runs unlawful sports wagering; these are not state actions. Alabama has no legal sports betting.

Timeline of state actions

  1. Other development, Kalshi

    The Alabama attorney general joined a 37-state amicus brief in the Sixth Circuit (KalshiEX LLC v. Schuler) supporting Ohio's authority to apply its gaming laws to Kalshi.

    Source: California Attorney General (coalition press release)

  2. Other development

    The Alabama attorney general was one of 41 attorneys general on a comment letter asking the CFTC to confirm in rulemaking that it lacks jurisdiction over sports-related event contracts.

    Source: Colorado Attorney General (coalition press release)

Laws and bills

No enacted laws or pending bills specific to prediction markets found.

Court cases

  • Yee v. KalshiEX LLC, et al. (consolidated)U.S. District Court for the Southern District of New York, 1:25-cv-08585-JLR (lead); member cases include 1:25-cv-09913 (Pelayo), 1:26-cv-00317 (Hallman), 1:26-cv-01924 (Jennings)Pending
  • Willis v. Kalshi Inc. et al. (private class action)U.S. District Court, N.D. Ala.; remanded to state court, 3:26-cv-00722
  • Jennings v. Kalshi Inc. et al. (private class action)U.S. District Court in Alabama (district not confirmed)

Sources

  1. Colorado Attorney General (coalition press release)
  2. California Attorney General (coalition press release)
  3. Sports betting status