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FlightAware voluntarily dismissed its suit against Kalshi in a Tuesday filing, one day after filing the case. It had accused the prediction-market platform of using its data and trademark to “run gambling markets on flight cancellations” and sought a temporary restraining order. Kalshi then changed its market language from “verified from FlightAware” to “verified from Primary Source Agency,” linking to FlightAware’s website while disclaiming endorsement or affiliation.
Why it matters
The speed of the dismissal removes an immediate court fight over Kalshi’s flight-cancellation contracts. Corporate lawyer Ariel Givner said on X that dropping a case so soon after seeking a TRO usually means the parties worked something out privately. The revised wording gives the dispute a practical near-term reset.
That reset matters for event-contract operators because data rights, trademarks and endorsement language can shape how markets are presented to U.S. users. For Kalshi, the outcome is constructive in the short run even as the broader legal question around prediction markets remains open.
Market impact
Kalshi still faces state-level challenges over sports contracts. New York sued last month, alleging illegal gambling; a Washington court temporarily blocked sports-related contracts; and a Michigan judge issued a TRO earlier this year. In Minnesota, a federal judge blocked enforcement of a new prediction-markets ban, allowing Kalshi and Polymarket to operate while litigation continues.
Lawyer Daniel Wallach said four U.S. states had geofenced Kalshi and predicted the number would reach around 10 by early 2027. The next signals are whether Kalshi’s revised wording holds and whether more states limit access.
Frequently asked questions
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What did FlightAware accuse Kalshi of doing?
FlightAware alleged that Kalshi used its data and trademark to run gambling markets on flight cancellations, then sought a temporary restraining order.
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How did Kalshi change its flight-market language?
Kalshi changed the verification wording from “verified from FlightAware” to “verified from Primary Source Agency,” linked to FlightAware’s website, and included language disclaiming endorsement or affiliation.
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Does the dismissal end Kalshi’s wider U.S. legal battles?
No. New York, Washington and Michigan have taken action over sports contracts, while a federal judge in Minnesota blocked enforcement of a state prediction-markets ban.
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What did Ariel Givner say the quick dismissal could indicate?
Givner said on X that dropping a case so soon after seeking a TRO usually means the parties worked something out privately.
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How many states have reportedly geofenced Kalshi?
Daniel Wallach said four U.S. states had geofenced Kalshi and predicted the number would reach around 10 by early 2027.
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