TLDR
- The Mexican Football Federation (FMF) sued Kalshi in the Southern District of New York on September 22.
- FMF says Kalshi used Liga MX trademarks and club names without permission.
- Kalshi argues its use of the names is nominative fair use.
- FMF points out that Kalshi uses generic names like “Pro Baseball” and “MMA” for other sports.
- The federation wants a restraining order, injunctions, and damages.
The Mexican Football Federation (FMF) has sued prediction market operator Kalshi in federal court. The federation says Kalshi used Liga MX trademarks and club names without permission.
FMF is the national governing body for soccer in Mexico. It filed the lawsuit in the Southern District of New York.
The case follows months of letters between the two sides. Kalshi has argued that its use of the names is legal.
How the Dispute Started
The dispute began on July 17. FMF general counsel Rafael García Job sent Kalshi a cease-and-desist letter. It demanded that Kalshi stop using the Liga MX logo, club logos, and other protected marks.
Kalshi responded on July 21. It said its use of the names counted as nominative fair use. The company removed some logos and added disclaimers, but kept using the Liga MX and club names.
According to the complaint, Kalshi General Counsel Richard Heaslip then told FMF the matter was “closed.”
FMF sent another demand on July 27. On August 6, Kalshi Head of Litigation Jovalin Dedaj replied. He said the company only used the names for “plain-text identification” of its CFTC-regulated markets.
FMF then hired the law firm Blank Rome LLP. On August 18, the firm sent a new letter giving Kalshi 10 business days to comply. Kalshi rejected the demand on September 1.
Fair Use Claims and Other Leagues
FMF also objects to how Kalshi settles its markets. The complaint says, “Kalshi’s market rules designate FMF’s data as the facts that determine whether a wager wins or loses.” FMF says it never gave permission to use its data.
In its September 1 reply, Kalshi compared its use of the Liga MX name to investment firms such as Vanguard and JP Morgan using the Apple name to identify stock investments.
FMF points out that Kalshi avoids protected names for other sports. The exchange calls Major League Baseball “Pro Baseball” and refers to the Super Bowl as “Pro Football Champion” or “The Big Game.” It also lists UFC events as “MMA.”
Kalshi says Liga MX is different. Mexican cities have clubs in several professional divisions, so using a city name alone could confuse customers.
This is not the first trademark complaint against Kalshi. Earlier this year, the NCAA asked it to stop using “March Madness,” “Sweet Sixteen,” and “Final Four.”
Kalshi removed those terms and switched to generic labels such as “Men’s College Basketball Champion.” That dispute never went to court.
Kalshi has also spent much of the past year in court with state regulators. Those cases focus on whether state laws apply to its federally regulated sports contracts.
In the new lawsuit, filed on September 22, FMF is asking for a temporary restraining order and preliminary and permanent injunctions. It also wants damages, including profits it says Kalshi made from the alleged infringement.
