Springfield Sues MGM as Casino Giant Accuses City of Blocking Casino Sale
Springfield Files Lawsuit Against MGM Over Host Agreement Disputes
The City of Springfield, Massachusetts, has taken legal action against MGM Resorts International, alleging multiple breaches of the casino host agreement. The lawsuit, filed Thursday in Hampden Superior Court, claims MGM and its subsidiary Blue Tarp Redevelopment failed to meet commitments related to employment levels, the size of the gaming floor, and the redevelopment of a key downtown property.
MGM Springfield opened in August 2018 with significant fanfare, but the relationship between the city and the casino giant has since deteriorated. The legal filing marks a new chapter in the ongoing tension.
MGM Countersues, Accuses City of Blocking Sale
MGM responded sharply, calling the lawsuit “frivolous” and accusing Mayor Domenic Sarno’s administration of using the complaint to stall a pending sale. According to MGM, the company notified Springfield officials in early 2024 about a proposed transfer of ownership and provided information about a potential buyer.
The company described the unnamed buyer as a “well-qualified casino operator” that has assured MGM it will honor all terms of the Host Community Agreement (HCA) after the transaction. MGM claims that the buyer even agreed to a more expensive redevelopment option for the adjacent 101 State Street property—converting it into a hotel—after city officials expressed a preference for that plan.
“Despite this being the most expensive option discussed, MGM and buyer agreed to this, but the Mayor and the City continued to avoid moving the discussion forward,” MGM stated. The company contends that Springfield is deliberately trying to “delay and obstruct” the sale.
Details of the Proposed Casino Sale
Reports that MGM was exploring a sale of the Springfield casino first surfaced in March 2024. The following month, Mayor Sarno met with MGM CEO Bill Hornbuckle to discuss the possibility. At the time, the city characterized the potential sale as an ongoing process, with Sarno emphasizing that any new operator would be expected to uphold the HCA commitments.
MGM’s latest statement reveals that a prospective buyer has been identified and that plans for the casino were shared with city officials. The buyer also agreed to the hotel conversion at 101 State Street after the city indicated that was its preferred use.
City’s Allegations: Employment, Gaming Floor, and Redevelopment
Springfield’s position paints a different picture. Mayor Sarno stated that his administration spent nearly two years trying to negotiate with MGM over alleged noncompliance with the 2013 HCA, but no resolution was reached.
The city’s lawsuit cites several specific breaches:
- MGM failed to maintain the required workforce of at least 3,000 employees.
- The casino did not keep the agreed number of slot machines (2,800–3,000) and table games (75–100).
- MGM neglected to refurbish 101 State Street, which has instead been surrounded by scaffolding and Jersey barriers for seven years.
Last month, Sarno publicly contrasted the building with other downtown redevelopment projects, calling MGM’s failure to revitalize the property “even more glaring.”
City Solicitor Stephen Buoniconti said the lawsuit was necessary because extended discussions failed to resolve the disputes. MGM and Blue Tarp have asked for the matter to be moved to private arbitration, but Springfield argues that the alleged violations fall outside the “narrow arbitration clauses” in the HCA and should be decided by a court.
Related guides
- $1.35B Mega Millions Winner Drops Lawsuit: The Cost of Anonymity in a Record Jackpot
- $167M Powerball Winner Arrested for Fifth Time: A Cautionary Tale of Sudden Wealth
- $20 Ticket Turns into a $2M Payout in Illinois
- $320M Powerball Hopeful John Cheeks Still Fighting for Website Error Jackpot: A Comprehensive Guide to the Ongoing Legal Battle
- $4.6M Child Modeling Fraudster Blew Stolen Cash on Gambling, Taylor Swift Tickets