Background
Win Win Win, LLC, doing business as Concord Casino (WWW), held New Hampshire charitable-gaming licenses. After audits raised concerns about its financial documentation and its use of a federal Economic Injury Disaster Loan, the New Hampshire Lottery and Gaming Commission and Attorney General found WWW and its owner, Anthony Sanborn, unsuitable to remain involved in charitable gaming.
The Commission suspended WWW’s licenses and ordered a forced sale to a Commission-approved buyer within six months, subject to a possible three-month extension for a pending sale. Sanborn found a buyer, but the agreement required the buyer to obtain gaming licenses for himself and WWW. The Commission and Attorney General found both unsuitable because the transaction would leave Sanborn with continuing financial and business connections to WWW and because the buyer had not shown sufficient financial capacity to meet the deal’s obligations.
The Court’s Holding
The court affirmed. It first held that WWW and Sanborn had standing under RSA chapter 541 to challenge the licensing denial. WWW was a license applicant directly affected by the denial, and Sanborn suffered a direct financial injury because the denial prevented the contingent sale from closing.
On the merits, the court held that the Commission’s suitability determination was neither unlawful nor unreasonable. RSA 287-D:11, III(a) permits the Commission and Attorney General to consider an applicant’s personal associations and financial circumstances. The record supported concern over Sanborn’s continuing ties to WWW and the buyer’s inability to demonstrate capacity to fund the proposed transaction. The court also upheld the Commission’s conclusion that the extension request was moot because WWW’s licenses were not revoked until more than fifteen days after the suitability review was complete. The petitioners’ due-process arguments were not preserved in their rehearing motions.
Key Takeaways
- A denied license applicant and a seller whose contingent sale is prevented by the denial may have standing to appeal an agency licensing decision.
- Gaming-suitability review may account for a disqualified owner’s ongoing economic and business ties to the proposed buyer or licensee.
- Under RSA chapter 541, arguments not fully raised in a rehearing motion generally cannot be raised on appeal.
Why It Matters
The decision confirms the breadth of the Commission’s and Attorney General’s statutory authority to assess suitability in charitable-gaming licensing, including transaction structure, continuing associations, and financial wherewithal.
It also underscores that parties challenging New Hampshire agency action must preserve each legal ground in a timely rehearing motion, including constitutional claims and requested remedies.