Maine iGaming Battle Heats Up as Oxford Casino Sues Gambling Control Unit

The battle over the legalization of online casino games in Maine has just reached a new stage. Oxford Casino, one of the state's two commercial casinos, has filed a lawsuit against the Maine Gambling Control Unit, claiming that the adopted framework would create an illegal monopoly in favor of the Wabanaki nations.

According to the Portland Press Herald, Oxford Casino argues that the state is reserving access to iGaming licenses exclusively for the four federally recognized tribes, to the detriment of already established commercial operators heavily invested in the local economy.

Oxford Casino accuses the state of creating a \"monopoly\" reserved for tribes

The core of the complaint targets the exclusivity granted to the Wabanaki Nations (Penobscot Nation, Passamaquoddy Tribe, Houlton Band of Maliseet Indians and Mi'kmaq Nation). Earlier this month, Governor Janet Mills authorized these four tribes to begin offering iGaming, in a logic similar to the model already applied to mobile sports betting in Maine.

Oxford Casino claims that this market preference violates constitutional principles, notably the Equal Protection Clauses of the U.S. and Maine Constitutions, based on race-based discrimination. The casino also estimates that the measure could lead to millions of dollars in lost revenue and severely impact employment.

In the lawsuit, Oxford Casino states among other things: \"Promoting iGaming through race-based preferences deals a gut-wrenching blow to Maine businesses like Oxford Casino that have heavily invested in the State and its people.\"

Hollywood Casino and several health authorities also join the fray

Oxford Casino is not alone. The state's other commercial casino, Hollywood Casino, had already opposed the bill, warning of potential job losses and revenue cannibalization between online and land-based offerings.

Other criticisms have come from public bodies, including the Maine Center for Disease Control and Prevention and the Maine Gambling Control Board, over concerns about addiction and potential social harms from 24/7 casino game access.

A law passed by a narrow margin... and a still unclear timeline

The bill (LD 1164) advanced narrowly through the state legislature, with a particularly contentious Senate passage. The objective: allow tribes to offer online slots and table games (blackjack, roulette, poker, etc.) statewide via tech partnerships.

No official launch date for iGaming has been announced yet. However, the law takes effect 90 days after the legislature adjourns this year, leaving uncertainty for operators, platform providers, and regulators.

Why iGaming reignites an old divide: sovereignty, competition, and public protection

This conflict arises in context. Maine adopted tribal exclusivity for online sports betting launched in 2023, bolstering arguments for a similar online casino model: capturing demand, regulating play, and generating tax revenue.

Regulators have warned against offshore sites and \"gray\" platforms (sweepstakes with virtual currencies), seen as unregulated and risky. Supporters argue a legal—even exclusive—market beats letting money flow to untouchable operators.

Conversely, commercial casinos and public health officials argue further legalization normalizes gambling, boosts participation, and strains prevention if resources lag.

Another strong signal: banning credit cards for sports betting?

Illustrating political tension: while iGaming faces challenges, a Maine lawmaker introduced a bill to ban credit card use for sports betting to curb over-indebtedness and gambling harms.

The contrast is stark: expanding online gambling access while restricting payments on legal segments for harm reduction.

What this lawsuit could change for the market—and what to watch

Oxford Casino's lawsuit opens a legal and economic front that could delay iGaming rollout or adjust licensing. Stakes exceed competition: tribal sovereignty, constitutionality, local jobs, taxes, public program funding (addiction prevention, social aid, veterans, etc.).

Uncertainty reigns: tribes, tech providers, land casinos, and regulators navigate shifts where decisions ripple across Maine's gambling ecosystem.