HorseRacing
NYRA Exits Legal Battle Over Fee Calculation, Endorses HISA's Safety Mission
2025-01-03

The New York Racing Association (NYRA) has withdrawn from a lawsuit challenging the Horseracing Integrity and Safety Authority (HISA), marking a significant development in the ongoing legal dispute. While NYRA has stepped back, Churchill Downs Inc. continues as a plaintiff. The core of the litigation revolves around the methodology used by HISA for fee assessments. Despite this narrow disagreement, both parties emphasize their commitment to enhancing safety and integrity in horse racing. HISA has reported a substantial reduction in race-related fatalities since implementing its anti-doping program in 2023, underscoring the effectiveness of its initiatives.

Resolution Signals Commitment to Regulatory Cooperation

NYRA’s decision to withdraw from the lawsuit signifies a willingness to collaborate with HISA on regulatory matters. This move highlights the broader industry consensus on the importance of unified safety standards. Although the association had concerns over the fee calculation method, it remains firmly supportive of HISA’s overarching mission. The settlement reached between NYRA and HISA ensures that both entities can focus on advancing the welfare of horses and riders without being bogged down by procedural disputes.

In detail, NYRA’s president and CEO, David O’Rourke, expressed satisfaction with the resolution, affirming that HISA’s work is crucial for the future of thoroughbred racing. HISA CEO Liza Lazarus echoed similar sentiments, praising NYRA as an excellent partner committed to the principles of horse welfare and sporting integrity. This mutual acknowledgment strengthens the foundation for continued cooperation and progress in the sport. The terms of the settlement remain confidential, but it is clear that both organizations are now aligned in their efforts to promote safety and transparency.

Ongoing Legal Challenges Highlight Fee Assessment Controversies

Despite NYRA’s withdrawal, the lawsuit initiated against HISA persists, with Churchill Downs Inc. continuing as a plaintiff. The crux of the dispute lies in the interpretation of the fee assessment methodology. The plaintiffs argue that the HISA Act mandates assessments based on race starts alone, whereas HISA’s current method incorporates both starts and prize money. This divergence in interpretation has led to legal challenges questioning the legality and fairness of the fee structure.

HISA refutes these claims, asserting that its fee assessment methodology was approved by the Federal Trade Commission (FTC). The organization emphasizes that its practices comply with federal regulations and serve the broader goal of enhancing the sport’s integrity. The lawsuit does not contest the fundamental objectives of HISA, which include improving safety measures and ensuring fair competition. Instead, it focuses on the specific mechanics of how fees are calculated. U.S. District Judge Rebecca Grady Jennings will preside over the case, which remains unresolved pending further judicial review. HISA’s success in reducing equine fatalities underscores the positive impact of its regulatory efforts, reinforcing the need for continued support and collaboration within the industry.

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