A lawsuit that was filed in North Carolina state court says the governor lacks the authority to negotiate a Class III gaming compact with the Eastern Band of Cherokee Indians.

The tribe's original compact was negotiated in 1994 but a non-Indian company says the agreement was never ratified by state lawmakers. Amendments weren't ratified either, according to New Vemco Music, which used to operate video poker machines before they were outlawed.

The tribe wants to amend the compact again to authorize live card dealers but talks are on hold pending the resolution of legal challenges like the one filed by New Vemco. The company has another lawsuit that says the state can't ban video poker machines while allowing the tribe to continue operating them.

In December 2009, the state Court of Appeals upheld the ban and the exemption for the tribe. New Vemco has asked the state Supreme Court to hear the case.

Get the Story:
Lawsuit threatens talks on live dealers at Cherokee casino (The Asheville Citizen-Times 3/17)

NC Court of Appeals Decision:
New Vemco Music v. Perdue (December 22, 2009)