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Texas Lottery lawsuit concluded with an $83.5M settlement; victor to collect reward

Texas Lottery winner confirmed: Kristen Moriarty has reached a settlement in her lawsuit against the Texas Lottery Commission's Deputy Executive Director, Sergio Rey, allowing her to claim her $83.5 million jackpot.

Texas Lottery lawsuit settlement agreed upon, awarding winning recipient a prize worth $83.5...
Texas Lottery lawsuit settlement agreed upon, awarding winning recipient a prize worth $83.5 million

Texas Lottery lawsuit concluded with an $83.5M settlement; victor to collect reward

In Texas, a recent Texas Lottery win has made headlines as Kristen Moriarty has settled her lawsuit with the Texas Lottery Commission. The $83.5 million Lotto Texas jackpot, won on February 17, 2025, was initially withheld due to ongoing investigations into lottery courier services.

Moriarty, through her attorney Randy Howry, filed a lawsuit against the commission in May 2025. The lawsuit alleged that the commission had unjustifiably withheld her winnings. A Rule 11 Agreement Letter detailing the terms of the settlement was submitted to Travis County District Court on Thursday.

The settlement allows Moriarty to collect the winnings of the $83.5 million jackpot, albeit in a reduced amount. She will receive a lump-sum payment of $45.8 million before taxes. The background to the withholding of payment stemmed from two investigations by the Department of Public Safety and Attorney General Ken Paxton’s office, both related to courier operations in Texas.

The settlement was reached with guidance from the Texas Attorney General’s office. Moriarty expressed frustration over the political controversy delaying her winnings, stating she felt caught in a legal battle unrelated to her.

The payout amount is approximately $46 million, resolving the dispute months after the original jackpot win. The specific game or ticket that led to Moriarty's Texas Lottery win has not been disclosed.

Sources reporting this include The Texas Tribune, Legal Reader, MySanAntonio, and the Houston Chronicle. The identity of the Texas Lottery winner before Kristen Moriarty remains undisclosed. This article was written by Chris Altruda for Casino Reports.

[1] The Texas Tribune: https://www.texastribune.org/ [2] Legal Reader: https://www.legalreader.com/ [3] MySanAntonio: https://www.mysanantonio.com/ [4] Houston Chronicle: https://www.houstonchronicle.com/

  1. In light of the settlement, Moriarty can now receive a significant portion of her winnings from the Texas Lottery, despite initially being withheld due to investigations into casino-and-gambling operations and lotteries.
  2. The Texas Lottery Commission, faced with a legal dispute, has reached a resolution with Kristen Moriarty, allowing her to collect a reduced sum from the casino-and-gambling winnings, which include lotteries.

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