Lotto.com sues Texas Commission to prevent service ban
The lawsuit claims the move contradicts the agency’s previous stance.
Key Points
- Lotto.com has filed a lawsuit to prevent a service ban
- The lawsuit claims the Texas Lottery Commission’s ban is invalid and that the agency was aware of Lotto.com’s operations
Lotto.com has filed a lawsuit against the Texas Lottery Commission in an effort to block the agency from placing a ban on its services, which could come into force next week.
The lottery courier’s new Acting Director, Sergio Rey, filed the lawsuit, which characterizes the proposed courier ban as a complete reversal of the agency’s earlier position on couriers.
The company claims that officials from the Lottery Commission had previously informed lawmakers that they did not have the authority to regulate these services. This shift in stance is central to the lawsuit, with the company arguing that the ban contradicts the commission’s previous statements about its inability to oversee such operations.
The lawsuit states that the commission broke the 30-day notice rule when it announced in February that it would ban couriers and took lottery terminals from them that same day.
It also argues the ban is invalid because the commission had told lawmakers before that it couldn’t regulate these services, and that Lotto.com and the lottery communications had been in touch, which may suggest that agency officials were aware of Lotto.com operations.
A statement from the Coalition of Texas Lottery Couriers, a group formed in 2025 aiming to represent Lotto.com and other couriers, said in a statement: “It is time to reconsider the agency’s politically motivated decisions regarding lottery couriers and restart good faith collaboration between our companies and fresh leadership at the TLC.”
In February, lawmakers expressed concerns about the possibility of money laundering through couriers or the large-scale purchase of lottery tickets at a Senate Finance Committee hearing, which was followed by the lottery commission’s suggestion to prohibit the businesses.
The commission is currently under investigation by both the attorney general’s office and the Texas Rangers. Lt. Gov. Dan Patrick has made banning couriers a top priority, and a bill to criminalize these services passed the state Senate unanimously in February.
Ryan Mindell, the Executive Director of the Texas Lottery Commission, resigned on April 28.
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