Court Injunction Temporarily Lifts Tennessee Action 24/7 License Suspension

by Ciaran McEneaney - Monday, March 29th, 2021 7:50

Tennessee Chancellor Patricia Head Moskal has issued an injunction that temporarily lifts Tennessee Action 24/7’s sports betting license suspension.

The operator’s license was suspended by the state Education Lottery earlier this month after the regulator decided that Action 24/7 had failed to implement money laundering protocols following suspicious deposits.

However, the operator later filed a lawsuit alleging that the lottery had overstepped the mark in its decision to suspend their license. Action 24/7 also contended that the level of fraud was much less than the lottery suspected.

Chancellor Patricia Head Moskal of the Chancery Court in Nashville-Davidson County ruled that the operator showed that there was a ‘likelihood’ that the lottery had violated its rights to function as a business. The chancellor then decided that she had no option but to temporarily lift the suspension.

Action 24/7’s lawyers argued that the fact that the suspension occurred in the run up to the NCAA basketball tournament could result in a significant loss of customers and future revenue for the company. They claimed that without an injunction, the company could be out of business within a short period of time.

In a statement released following the court ruling, company stated:

“We applaud the Court’s decision and look forward to working with state officials to ensure public safety and trust in our regulatory system while maintaining an environment for businesses to thrive in Tennessee.”

Lottery official have yet to release a statement on the court’s ruling.

Ciaran McEneaney

Ciaran has a decade of experience writing for some of the biggest names in the eSports, poker, and casino industries.