New Jersey Court Orders New Trial for Casino Smoking Ban Exemption Challenge

Appellate court finds superior court did not properly consider evidence in previous ruling

Feb. 22, 2026 at 7:26pm

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An appellate court in New Jersey has ordered a superior court to rehear a case challenging the state's law that allows Atlantic City casinos to designate up to 25% of their gaming floors as smoking areas. The appellate court found the superior court did not adequately consider evidence presented by the plaintiffs in its previous ruling.

Why it matters

The outcome of this case could have significant implications for the casino industry in New Jersey, as well as the state's broader efforts to address indoor smoking policies. Ending the casino smoking exemption could impact casino revenues and potentially shift more gaming activity to online platforms.

The details

The case was brought by the UAW, Region 9 of the U.A.W., and C.E.A.S.E. NJ against New Jersey Governor Phil Murphy and other state officials. The appellate court found the superior court did not properly weigh research presented by the plaintiffs suggesting that banning smoking in casinos could result in severe revenue losses. The superior court has been ordered to re-examine the "reliability and credibility of the competing expert projections" on the economic impact.

  • The superior court ruled on the case in 2024.
  • The appellate court issued its order for a new trial in February 2026.

The players

UAW, Region 9 of the U.A.W., and C.E.A.S.E. NJ

The plaintiffs who filed the lawsuit challenging New Jersey's casino smoking ban exemption.

Phil Murphy

The Governor of New Jersey named as a defendant in the lawsuit.

New Jersey Superior Court

The trial court that previously ruled on the case and has now been ordered to rehear it.

New Jersey Appellate Court

The higher court that has ordered the superior court to reconsider the case.

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What’s next

The New Jersey Superior Court will hold a new trial to re-examine the evidence and arguments in the case challenging the casino smoking ban exemption.

The takeaway

This case highlights the ongoing debate in New Jersey over indoor smoking policies, particularly the exemption that allows Atlantic City casinos to designate smoking areas. The outcome could have significant financial implications for the casino industry and the state's broader efforts to address public health concerns around secondhand smoke.