CHANCE MANAGEMENT, INC. v. STATE OF S.D.

No. 95-1665.

97 F.3d 1107 (1996)

CHANCE MANAGEMENT, INC., a South Dakota corporation; William A. Sanders, a Wyoming resident, Plaintiffs-Appellants, v. STATE OF SOUTH DAKOTA; Mark W. Barnett, in his official capacity as Attorney General of South Dakota; South Dakota Lottery; Susan Walker, in her official capacity as Executive Director of the South Dakota Lottery; H.I. King, in his official capacity as member of the South Dakota Lottery Commission; Beverly McCracken, in her official capacity as member of the South Dakota Lottery Commission; Elaine Emery, in her official capacity as member of the South Dakota Lottery Commission; Don Bender, in his official capacity as member of the South Dakota Lottery Commission; Burdette Solum, in her official capacity as member of the South Dakota Lottery Commission; John E. Carmody, Sr., in his official capacity as member of the South Dakota Lottery Commission, Defendants-Appellees.

United States Court of Appeals, Eighth Circuit.

Decided October 10, 1996.


Attorney(s) appearing for the Case

Steven W. Sanford, argued, Sioux Falls, SD, for plaintiffs-appellants.

Jeffrey P. Hallem, argued, Pierre, SD (Lee M. McCahren, on the brief), for defendants-appellees.

Before HANSEN, LAY, and MURPHY, Circuit Judges.


HANSEN, Circuit Judge.

A corporation may obtain a license as a video lottery machine operator for the South Dakota Lottery only if residents of South Dakota hold the majority ownership interest in the corporation. S.D. Codified Laws Ann. § 42-7A-43 (Supp.1995). Chance Management, Inc., and William A. Sanders filed this suit, challenging the constitutionality of the residency requirement under the Commerce Clause, the Equal Protection Clause of the Fourteenth...

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