A legal battle over smoking in New Jersey casinos is back in motion after a state appeals court ruled this week that a lower court must rehear a case challenging the casino industry’s exemption from the state’s indoor smoking ban.

Appeals Court Finds Lower Court Missteps

The case stems from the 2006 Smoke-Free Air Act, which allowed casinos to maintain designated smoking areas. Plaintiffs argue that this exemption violates the state constitution, claiming it exposes casino workers to harmful secondhand smoke.

The appeals court found that the lower court misapplied the law in several ways:

• The judge relied on a rational-basis test, rather than the broader legal standards under the state constitution’s equal protection provisions.
• Industry-funded studies on the economic impact of a smoking ban were given undue weight, without sufficient consideration of competing evidence.

“On remand, the court shall allow the record to be developed and litigated to address the hotly contested projections of revenue loss … and for the court to make appropriate findings of fact concerning the reliability and credibility of the competing expert projections,” the appellate judges wrote.

This means the lower court will now consider new evidence, expert testimony, and witness accounts in the ongoing debate over whether casinos should be smoke-free.

Legal and Legislative Background

The lawsuit was first filed in 2024 by a group of casino workers seeking a complete ban on smoking. The initial case was dismissed, and the state Supreme Court declined to hear an appeal, leaving the matter in the lower courts. Legislative attempts to impose a ban also failed in 2023, leaving the issue unresolved.

Mixed Opinions Among Casino Workers

Not all casino employees support a full smoking ban. Critics argue that banning smoking could reduce revenue and threaten jobs in Atlantic City’s casino industry. A 2002 University of Connecticut study suggested a correlation between smoking and higher gambling activity, a point often cited by opponents.

“Not only is the overall in-person revenue troubling – but the size of the declines at some of the individual properties portends some serious instability for thousands of workers,” said Donna DeCaprio, president of Unite Here Local 54, representing many Atlantic City casino employees.

Currently, smoking is allowed on roughly 25% of casino floors, but opponents warn that a complete ban could hurt the local economy and casino employment.

What’s Next

The lawsuit will now return to the lower court with new rounds of testimony, evidence, and expert analysis. The ruling could have major implications for both worker health and the financial stability of New Jersey casinos, keeping this legal and public policy debate very much alive.