Texas Sues Churchill Downs to Stop TwinSpires Advance-Deposit Wagering

The State of Texas, acting through Attorney General Ken Paxton and the Texas Racing Commission, filed suit in Collin County District Court on February 24, 2026 seeking emergency injunctive relief to stop Churchill Downs Incorporated, TwinSpires, and United Tote Company from accepting advance-deposit wagers in Texas. The complaint, docketed as case number 401-01202-2026 and filed by counsel Zachary L. Rhines, asks Judge Kim Laseter to issue a temporary restraining order and other relief to prevent TwinSpires from taking ADW bets from Texas residents.

The suit accuses Churchill Downs and its subsidiaries of pressuring Texans to “circumvent the law,” quoting the complaint: “[Churchill], through its subsidiaries TwinSpires and United Tote, has pushed forward with an attempt to coerce Texans to circumvent the law and place wagers online through the TwinSpires mobile application.” The filing contends those actions threaten “immediate and irreparable public harm” to Texas and its citizens and invokes the Texas Deceptive Trade Practices–Consumer Protection Act as a basis for civil penalties.

The complaint traces a short chronology: Horse Racing Nation reported TwinSpires began accepting wagers from Texas residents three days before February 7, 2026; on February 7 interim executive director David Holmes of the Texas Racing Commission sent a cease-and-desist letter to Churchill Downs; and United Tote president Andrew Archibald told Holmes two days later the company would not comply. GamingAmerica reported the TRC staff message that a cease-and-desist “was sent to @TwinSpires on Saturday to try and stop ADW bets on @SHRP races. ‘We will keep commissioners updated,’ acting executive director David Holmes told TRC today. TwinSpires took bets through Sunday.”

The state’s complaint seeks statutory damages under the DTPA and warns each wager could be treated as a separate violation. Horse Racing Nation summarized the alleged penalty exposure as “up to $10,000 per violation, with each wager (if deemed illegal) potentially counting separately, and up to $250,000 per violation in cases involving consumers 65 or older.”

Churchill Downs and United Tote have pushed back on the state’s authority, citing federal pre-emption under the Interstate Horseracing Act. United Tote president Andrew Archibald told regulators, “To the extent Texas purports to require additional constraints on federal law, federal courts have found those constraints unconstitutional.” Archibald also argued, “Once a state has authorized horse race wagering, states may not impose ‘lesser’ restrictions that conflict with the federal regime,” and added, “The Texas Racing Commission has no reasonable basis to believe United Tote is engaged in any activity that threatens immediate or irreparable public harm.” Archibald cited a December 2025 Sixth Circuit ruling that he says supports that position.

Operationally, reporting offers conflicting snapshots. GamingAmerica has published that TwinSpires halted operations amid the regulatory standoff and separately that “TwinSpires has resumed operations in Texas following a court ruling.” BloodHorse reported a Texas contact “reopened his TwinSpires account two weeks ago” and “he can still place horse racing wagers on TwinSpires as of the time this story was posted,” while noting a TRO would cut off that ability. BloodHorse also reported the online docket shows Texas is seeking a TRO but, as of that report, the docket did not show entry of a TRO.

The Collin County filing elevates a national dispute over ADW regulation into one of the country’s largest potential gambling markets. GamingAmerica framed the fight as rooted in licensing and oversight questions for simulcast racing and ADW platforms in a state that lacks legalized commercial casinos or statewide sports betting. With Texas seeking emergency relief and defendants citing recent federal rulings and separate Michigan litigation favorable to Churchill Downs, the case in Collin County could determine whether TwinSpires remains a wagering option for Texas bettors while the state litigates claims under the DTPA.