Casino Lawsuit Goes To Kansas Supreme Court

The Kansas Supreme Court recently said it—not the appeals court—has jurisdiction in Castle Rock Casino's and Cherokee County's lawsuit to stop Kansas Crossing Casino (l.), now under construction. The plaintiffs claim the state gaming commission improperly selected Kansas Crossing although Castle Rock was larger. No date has been set for arguments.

The Kansas Supreme Court will consider motions filed by Cherokee County and Castle Rock Casino against the Kansas Racing and Gaming Commission and Kansas Crossing Casino and Hotel. Kansas Crossing currently is under construction in Crawford County.

Last March 31, District Judge Larry D. Hendricks refused to reconsider the decision to allow the Kansas Crossing development to proceed. The plaintiffs, Cherokee County and Castle Rock, claimed the Kansas Racing and Gaming Commission had not followed proper procedures in selecting Kansas Crossing for the state’s fourth and final state-owned casino. Castle Rock was the largest of the three proposals submitted; however, commissioners had concerns about Castle Rock’s revenue projections and ability to pay its debt service.

On June 6, the Shawnee County District Court issued a final ruling denying the casino’s and the county’s motions. Following that ruling, Cherokee County and the Castle Rock developers filed an appeal with the Kansas Court of Appeals.

However, the state Supreme Court claimed the appeals court did not have jurisdiction over the matter. “Whenever it appears that a case for which exclusive appellate jurisdiction lies in the Supreme Court has been docketed in the Court of Appeals, the Clerk of the Appellate Court may transfer the same to the proper court by notation on the docket and notice to the parties,” states the 1995 administrative order typically used in these cases.

No date for arguments has been set, but the next state Supreme Court docket is scheduled for September 12.

Kansas Crossing spokesman Garion Masterson said, “We are pleased that the Kansas Supreme Court decided to take jurisdiction of the issues involved in the appeal. This will help expedite a decision in the case and bring to a final conclusion a lawsuit that we believe has no merit and which has deprived the state of Kansas, Cherokee County and Crawford County needed revenue.”