NYRA Drops Horse Safety Lawsuit as Churchill Downs Fights On

The New York Racing Association on Thursday filed a motion to dismiss itself from a lawsuit recently filed against the Horseracing Integrity and Safety Authority (HISA) and others in a Kentucky federal district court.

The case will not end, however, as Churchill Downs Inc. remains a plaintiff against HISA, a private regulatory organization that Congress vested with power to oversee the sport

The lawsuit contends HISA’s application of its fee assessment methodology violates the U.S. Constitution and the Administrative Procedure Act. The Federal Trade Commission, which reviews HISA proposed rules and regulations, is also a defendant. HISA has refuted the claims and argues the plaintiffs have simply refused to comply with a fee assessment methodology approved by the FTC.

The HISA Act, which President Donald Trump signed into law in 2020, created the regulator. Both Republicans and Democrats, including act sponsors Sen. Mitch McConnell (R-Ky.) and Rep. Paul Tonko (D-N.Y.), supported the idea that national and uniform safety standards would prove more effective at addressing racetrack safety, competition, transparency and other horseracing problems than had varied state standards. 

Last month, HISA released a report showing a substantial drop in racing-related equine fatality since HISA launched its anti-doping and medication control program in 2023. The fatality rate dropped by about 21% year-over-year. “As safety and integrity continue to improve,” HISA CEO Liza Lazarus stated, “we’re reminded that our mission to protect the well-being of horses and riders will preserve the sport for generations to come.”

The lawsuit doesn’t challenge the lawfulness or wisdom of HISA’s measures to make the sport safer and enhance its integrity. In fact, even in suing HISA, NYRA emphasized it was “strongly supportive” of HISA’s regulatory mission. The lawsuit is instead a narrow objection over how HISA calculates fees. The plaintiffs argue the HISA Act contemplates an assessment based on starts but that the method used by HISA blends starts and purses, meaning total prize money paid to race winners. 

In a statement responding to NYRA and HISA resolving their dispute, NYRA president and CEO David O’Rourke said in a statement he was “pleased to have reached this agreement.” He added, “HISA’s ongoing work and overall mission are critically important to the future of thoroughbred horse racing.”

The statement also quotes Lazarus, who noted, “NYRA has been an excellent partner to HISA” and stressed that her organization is “delighted to move forward and to resume our strong partnership grounded in the principles of horse welfare and sporting integrity.” 

In a statement to Sportico, a HISA spokesperson said: “The terms of the settlement are confidential. The settlement does not impact the claims asserted by Churchill Downs.”

NYRA operates New York’s three largest thoroughbred tracks: Aqueduct Racetrack, Belmont Park and Saratoga Race Course.

The case is before U.S. District Judge Rebecca Grady Jennings.