Fifth Circuit grants injunction allowing PredictIt Market
WASHINGTON, Jan. 26, 2023 (Newswire.com)
Aristotle International announces that the Fifth Circuit Court of Appeals has issued an injunction allowing the PredictIt political prediction market to continue operating while the court considers longer-term relief.
The Commodities Futures Trading Commission (CFTC) had ordered the PredictIt market to be closed until February 27th. 15, 2023. A group of PredictIt retailers, academic users and market service provider Aristotle International, Inc. have challenged the CFTC in federal court, arguing that the shutdown order violated the Administrative Procedures Act. The case reached the Fifth Circuit after a lower court failed to issue a preliminary ruling in time to prevent certain market repercussions.
The injunction, issued by the Fifth Circuit on January 26, will allow the PredictIt marketplace to continue to function while the Fifth Circuit considers the PredictIt dealers’ appeal. The Fifth Circuit has scheduled a hearing on this appeal for February 8 in New Orleans. After the Feb. 8 hearing, the court is likely to issue an opinion on what remedies are appropriate beyond the pending appeal. The injunction will allow PredictIt to continue operating while the court completes its review.
“This decision will support a thorough judicial review of the CFTC’s abrupt shutdown. We look forward to the opportunity to appear in court on February 8 and present our arguments that the CFTC shutdown order violates the APA and must be reversed.” said David Mason, general counsel to Aristotle and former chairman of the Federal Election Commission (FEC).
Aristotle is the contract service provider for the PredictIt Market, which has operated under No-Action Relief CFTC 14-130 since 2014.
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