A Volusia County firm is challenging the constitutionality of a 2021 law that would lead to the revocation of a pari-mutuel gambling permit.

Debary Real Estate Holdings, LLC, filed a federal lawsuit Friday against the Florida Gaming Control Commission.

The state in 2008 issued a permit to the firm to conduct quarter-horse racing and other gambling activities.

But in a 2021 special legislative session, lawmakers passed a measure that required revoking pari-mutuel permits if the permit-holders did not have operating licenses to conduct wagering during the 2020-2021 fiscal year.

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Debary Real Estate Holdings did not have such a license.

“Accordingly, if the 2021 revocation amendment is found by this court to be a constitutional enactment of the Florida Legislature currently in effect — which Debary asserts it is not — then Debary’s permit will be revoked and Debary will be deprived of all future economically beneficial or productive use of Debary’s permit,” said the lawsuit, filed in the federal Northern District of Florida.

Gambling regulators in 2021 sent a notice to start the process of revoking Debary’s permit, but the issue remains pending, according to the lawsuit.

The legal challenge raises a series of constitutional issues, including alleged violations of due process and taking the firm’s property without just compensation.

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