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Judge rules Missouri 'skill games' constitute illegal gambling

A federal judge opined that gaming terminals distributed by Torch Electronics in Missouri businesses violate the state's gaming laws pending an appeal.

ByUpdated: Feb 20, 2026 2:50AM UTC . 3 min read
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Judge John A. Ross has ruled that certain "skill games" available at Missouri businesses that hold liquor or lottery licenses are gaming devices and their availability in such venues violates the state's code. The company that distributes the affected terminals, Torch Electronics, has vowed to appeal the ruling but for the time being, law enforcement in Missouri has more leverage to seize the machines and/or prosecute Torch's management.

Ross issues ruling on legality of Torch Electronic terminals

A Feb. 13 decision from Ross brings clarity to the legality of "skill games" in Missouri distributed by Torch Electronics, at least for the time being. Ross wrote that the terminals "meet the statutory definition of 'gambling device' and are therefore illegal under Missouri law when played outside a casino."

According to Jason Hancock of Missouri Independent, Torch Electronics "remains convinced its machines are legal" and will appeal Ross' ruling. Hancock also reports that Missouri's attorney general, Catherine Hanaway, may not wait to discover the result of an appeal to take action, though.

Hanaway has stated her opinion that "skill games" in Missouri are illegal regardless of the distributor. She has taken action against other companies operating in the space.

"Skill games" are gaming terminals commonly found in businesses like bars, gas stations, and liquor stores. Proponents argue that the terminals are not gambling devices because there is a way for players to recoup any losses via skill components.

Ross has disagreed with that assessment, reinforcing that the only place to legally play electronic gaming terminals is in licensed brick-and-mortar casinos in Missouri. There are no licensed online casino sites for real money in Missouri.

However, the Missouri legislature might expand that framework in a way that would replace skill games for businesses in the state.

Missouri bill would create regulated system for lottery terminals

Missouri HB 2989 has received approval from multiple House of Representatives committees and could proceed to the floor for a vote of the full House. The proposal gives operators of unlicensed gaming terminals in Missouri businesses other than casinos a year to pull the machines out and establishes a regulatory system for similar games.

The best online slots would remain illegal in Missouri, but under HB 2989, gaming terminals licensed by the Missouri Lottery would have legal protections for businesses possessing lottery licenses. HB 2989 earmarks tax revenue from the terminals for disability services support, education, and municipal government funding.

While it's difficult to ascertain the exact number of "skill games" in Missouri due to their unlicensed status, HB 2989 would not cap the number of terminals in the state but leave it to the lottery's discretion. Companies like Torch Electronics may be able to get involved in the regulated landscape, provided that their machines comply with regulations.

While the regulation of "skill games" has dominated the gaming conversation in Jefferson City, debates over possible expansion into online casinos have remained absent. It will likely be years before Missourians may access the Playstar Casino promo code like New Jersey residents.

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Missouri may create a licensing structure for gaming terminals outside of casinos in the future, but for now, no such system exists. That's the status quo that Torch Electronics is facing in the courts.

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Derek Helling
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