Gamblers Lose Suit Against Baffert, Churchill

A lawsuit filed by bettors against Bob Baffert and Churchill Downs Inc. over the results of the 2021 Kentucky Derby (G1) was dismissed in a Kentucky federal court.

Nineteen plaintiffs alleged that but for Medina Spirit  winning the Derby, they would have collected substantial sums of money on bets. His disqualification by stewards months later did not affect payouts that were made official once the race concluded, payouts that did not include the plaintiffs.

Legal theories of recovery rejected as a matter of law by Judge David J. Hale included negligence, breach of contract, violation of the Kentucky Consumer Protection Act, and unjust enrichment. Hale's July 20 order granting motions to dismiss filed by the defendants ruled that the plaintiffs did not state claims recognized under Kentucky law.

The case represented a rare occasion since Medina Spirit's run in the Derby that the interests of Baffert and Churchill Downs coalesced. Churchill Downs Inc. banned Baffert from racing at its tracks for a little over two years when a split sample test confirmed Medina Spirit was positive for betamethasone during the Derby. The Louisville-based company recently extended Baffert's banishment through the end of 2024—that move coming after Baffert lost a federal lawsuit against Churchill seeking to undo his exile.

A similar gamblers' suit pending in federal court in New Jersey remains undecided. A recent notice filed by the presiding judge indicates the case could be transferred to California.