Published on: October 23, 2025, 03:44h.
Updated on: October 23, 2025, 03:44h.
- Bestbet initiates legal action against regulators regarding Hamilton Downs cardroom expansion.
- Controversy returns from the 2015 “flag-drop” horse race incident.
- This lawsuit could redefine parimutuel and cardroom gaming regulations in Florida.
A card room operator in northern Florida, previously known for its contentious “flag-drop” races, is facing legal obstacles in opening a new facility near the Georgia border, as highlighted by a recently filed lawsuit from competitor Bestbet Holdings.
Bestbet, which manages card rooms in Jacksonville and Orange Park, lodged a lawsuit against the Florida Gaming Control Commission (FGCC) last week. The complaint argues that the FGCC overstepped its authority by endorsing an amendment that permits Hamilton Downs Horsetrack, LLC to launch a new cardroom in Hamilton County.
Ultra-Low-Fi Events
Hamilton Downs gained notoriety nearly a decade ago when Florida regulators sought to penalize it for staging what can only be described as rudimentary “flag-drop” races to meet the bare minimum live racing criteria necessary for retaining its quarter-horse permit.
These extremely low-budget events featured “a series of races with [two] worn-out, hesitant, or uninterested horses moving at a leisurely pace along a dusty track,” as noted in past court documents.
“There were no clearly marked start or finish lines,” the documents state. “The horses were often yards apart when the signal was given to start the race.”
Despite resistance from regulators, Administrative Law Judge John G. Van Laningham declared in August 2015 that Florida’s parimutuel laws did not impose a requirement for Hamilton Downs to conduct more than its minimal events to be considered compliant with “racing” standards.
He even acknowledged that the events bore resemblance to a “beginner campers’ horse show concluding a two-week YMCA summer program.”
End the Facade
The ownership group of Hamilton once managed the now-defunct Hamilton Jai-Alai & Poker card room and shared investors with it. This facility, roughly 12 miles from Hamilton Downs, maintained its gambling license by hosting a yearly quota of jai-alai matches.
In 2021, Florida abolished the requirement for cardroom operators to host a minimum number of racing or jai alai events to qualify for gambling licenses. This move allowed Hamilton Downs to abandon the misleading pony races and focus on establishing a new cardroom aimed at attracting eager gamblers from South Georgia.
In June of this year, the FGCC unanimously supported Hamilton Downs’ proposal to “revise its permitted property description.”
This amendment permits the company to set up its cardroom on land adjacent to where the former racing took place. The FGCC issued a final order in July approving this modification.
Bestbet Responds
Bestbet’s lawsuit contends that Florida statutes do not allow a permit holder to relocate or expand its cardroom beyond the originally sanctioned location unless specific legal exceptions are met. It asserts that Hamilton Downs does not satisfy these criteria.
Moreover, Bestbet highlights a Florida constitutional amendment that necessitates voter consent for any expansion of casino gambling, raising questions about whether establishing a cardroom in a new locale requires a local referendum.