A second major legal victory this month for the North Texas poker community occurred Tuesday when Champions Social Club was finally granted permission to spread poker games.
Champions, a club that runs a popular poker room in Houston, has been fighting the city of Dallas since 2021 to offer poker to its members. The business operates in Dallas as a social club without poker inside what was once the iconic III Forks steakhouse.
Isaac Trumbo, president of Champions Social Club, told PokerNews his company has invested $15 million over the past four years “into the renovation and restoration of an iconic Dallas business.” But the city, until now, has been quite the fearless opponent.
Poker Club Gets Approval
The establishment previously known as III Forks, one of the top steakhouses in the country, sat vacant for years following a lease dispute. Champions came in and took over possession with the intention of operating a private social club that hosts poker games, much like other card rooms in Texas, a state with strict anti-gambling laws that only permit legal poker so long as the players are the only ones who benefit financially from the games.
That means poker rooms such as The Lodge Card Club (Austin and San Antonio) and Texas Card House (six statewide locations) cannot legally collect rake from cash game pots. They instead charge membership and seat fees, a business model that is thriving across the Lone Star State.
Champions Social Club uses the same model at its Houston location, which operates inside a former Hampton Inn hotel and is co-owned by poker legend Phil Hellmuth. But the city of Dallas hasn’t been so kind to these poker clubs, especially in the affluent areas, where many residents fear that gambling establishments will bring in crime and heavy traffic to their peaceful communities.
Trumbo and his team, on Tuesday, witnessed a contentious hearing at the Board of Adjustment as the social club sought a favorable vote that would give the business the right to host poker games at its Dallas location.
The BOA voted 4-1 in favor of Champions, a major victory not only for the social club, but also for the Dallas poker community.
“We were gratified that our expectations about being treated fairly at the Board of Adjustment came to fruition,” Trumbo said.
Michael Hopkovitz was the only BOA member to vote no, and he did so based on his belief that poker is illegal in Texas. Prior to the vote, residents from the neighborhood spoke to the committee. Some begged the BOA to vote against Champions Social Club, arguing they don’t want a poker room near where their kids attend school and church. Others, however, showed up in support of the poker community.
Two Big Wins in Dallas
Champions Social Club, like Texas Card House, has been fighting a legal battle with the city for years. The only difference is TCH Dallas has remained in operation throughout countless court rulings, whereas Champions still has yet to host poker games.
Both poker clubs have dealt with Certificate of Occupancy (C.O.) revocations in the past few years. Texas Card House received positive news last week when the Texas Supreme Court declined to hear an appeal from the city’s building official, Andrew Espinoza.
The highest court in the state’s decision, for all intents and purposes, ended a three-year legal case that had gone through multiple lawsuits and appeals between TCH, the BOA, and Espinoza.
With TCH no longer in jeopardy of losing its C.O., the Board of Adjustment’s vote on Champions Social Club couldn’t have come at a better time.
Champions was denied a C.O. in 2021 and subsequently filed an appeal. The social club filed a lawsuit, which then led to the city revoking poker club licenses left and right. Some Texans and Texas lawmakers continue to argue that poker in any form is illegal in the state, referring to Texas Penal Code 47.04.
Gambling is illegal in Texas unless the gambling occurs in a private place, no one receives any economic benefit other than personal winnings from the games, and everyone has an equal opportunity to win.
The interpretation of “economic benefit” is often debated. Most lawmakers interpret it to mean that so long as rake isn’t being collected, the games are legal. But some still don’t see it that way, and that has been one of the causes for clubs such as TCH and Champions to spend big bucks in court.
Champions reapplied for a C.O. in October 2024 following a six-month review, and the request was granted. But the city came back six days later and claimed the C.O. was issued in error. So, it was back to square one for Trumbo’s business, fighting a seemingly never-ending legal battle against Dallas, a battle the social club finally won on Tuesday.
Texas Card House and Champions Social Club aren’t the only major poker rooms in North Texas to deal with this issue. Doug Polk attempted to open a massive card room in Farmers Branch, a Dallas suburb not far from Champions Social Club. But the anti-gambling neighborhood struck it down at a city council meeting in May 2024. Texas cities such as Austin and Houston, and even in smaller towns, have been more accepting of poker clubs than Dallas.
Trumbo said he has no timeline for when the poker tables will open at his Dallas location. There’s still work to be done in preparation. The Certificate of Occupancy is conditional upon, among other things, Champions building a wall that closes off the north entrance to the property.
Champions is set to host a Fall Poker Open in Houston from Oct. 1-13. a series highlighted by a $1 million guaranteed Championship Event.
