A San Francisco Superior Court judge has temporarily blocked California Attorney General Rob Bonta’s proposed cardroom regulations, allowing casinos across the state to continue offering blackjack-style games while a legal battle over the rules proceeds.

Judge Richard Darwin issued a preliminary injunction Thursday that prevents the state’s Bureau of Gambling Control from enforcing the regulations during ongoing litigation brought by the California Gaming Association (CGA). The court determined the bureau likely exceeded its authority by adopting rules that would effectively prohibit some of the most common games operated in California cardrooms.

The ruling centered on proposed changes targeting player-dealer games, including blackjack, baccarat and pai gow poker. Under California law, tribal casinos may operate traditional banked games where players compete against the house. State-licensed cardrooms instead use a system where players compete against one another, while third-party proposition player services handle the banking role.

The Bureau of Gambling Control’s regulations sought to tighten those rules, including a statewide ban on blackjack and new player-dealer rotation requirements. Cardroom operators argued the changes would dismantle the business model that has supported the industry for decades.

Court Finds Potential Economic Harm

Judge Darwin also concluded there was “clear and convincing evidence” that enforcing the regulations could cause lasting damage to cardrooms and the communities connected to them.

According to the California Gaming Association, the proposed regulations threatened more than half of statewide cardroom revenue and put thousands of jobs at risk. The state Department of Justice’s own economic analysis projected at least a $600 million regulatory impact over the next decade.

Kyle Kirkland, president of the California Gaming Association and owner of Club One Casino in Fresno, said the court’s decision confirms the industry’s long-standing position that state regulators attempted to rewrite gambling law through administrative action.

“Today’s ruling validates what we have said all along: Attorney General Bonta and the Bureau of Gambling Control exceeded their authority by attempting to rewrite California gaming law,” Kirkland said.

He added, “Cardrooms have lawfully operated the games targeted by these regulations for decades. Our games support thousands of middle-class jobs and generate critical revenue for communities across California. Instead of protecting those communities, Attorney General Bonta chose to advance regulations that threaten local economies, public safety funding, and the livelihoods of thousands of Californians.”

Kirkland said the preliminary injunction marks an important step in preventing economic disruption for workers, cities and small businesses that rely on the cardroom industry. He noted that Club One Casino alone contributes roughly $1 million each year in tax revenue to Fresno.

The proposed rules drew heavy opposition during the public comment period. According to the CGA, regulators received more than 1,700 comments opposing the regulations before finalizing them without substantial revisions.

Workers Protest as Legal Fight Continues

Cardroom employees and industry supporters gathered outside a Sacramento hotel Thursday where Bonta had been scheduled to speak. Although the injunction was issued shortly before the demonstration began, workers proceeded with the protest to express continuing concerns about the regulations.

Protesters carried signs reading “Protect our jobs now” and “Save our jobs” while encouraging passing drivers to honk in support.

California Gaming Association Executive Director Tej Baath said organizers wanted state officials to understand the industry’s concerns remained unresolved despite the court ruling.

“We want to make sure that our voice—that our presence is felt, and to let him know that we’re still concerned about these regulations,” Baath said.

Several workers said the regulations would force major operational cuts or closures if implemented.

“It means either closing our doors or mass layoffs,” said Lo Saechao, casino manager at Stones Gambling Hall. “I mean, I’m the primary income for my family, I have two kids, I have a college-age son. I potentially could lose my job,” Saechao added.

Kirkland said the proposed restrictions would have severely affected individual cardrooms. At his Fresno casino, he estimated that player-dealer games generate 60% of revenue, while blackjack alone accounts for another 20%.

“These are easily the most disruptive set of regulations that I have seen in my tenure in the cardroom industry, which is two decades now,” Kirkland said in a Thursday afternoon phone interview with KMPH-TV. “I’m not sure most cardrooms would survive because this is such a drastic change.”

Longstanding Dispute Between Tribes and Cardrooms

The conflict reflects a broader dispute between California tribal casinos and privately owned cardrooms that has stretched on for nearly two decades.

Native American tribes argue that cardrooms have used third-party proposition players as a workaround to illegally offer banked games reserved exclusively for tribal casinos under California law. Tribal gaming operators contend the system has diverted substantial gambling revenue away from tribal communities.

Cardrooms maintain that their games comply with state law and have operated legally for years under existing regulations.

In filings tied to the proposed rules, the Bureau of Gambling Control argued the changes would preserve gaming’s contribution to California’s economy while improving “gaming fairness” and reducing “problem gambling.” The next hearing in the case is scheduled for June 30.