Recent opposition from California Indian nations have failed to derail a potential PokerStars deal in California. In fact, online poker may be closer than ever before in the state.

According to a report from PokerNews, the Morongo tribe along with the Commerce Casino, Bicycle Casino and Hawaiian Gardens Casino will continue their negotiations with PokerStars despite the negative reaction from tribal governments in recent days.

According to Keith Sharp, the attorney representing the California card rooms, "The negative reaction hasn't affected our discussions going forward. We're continuing our discussions with PokerStars, and we'll continue moving in that direction until circumstances tell us otherwise."

Last week, the Pechanga Tribe along with eleven other Indian nations released a statement urging California legislators to keep in a bad actor clause that would effectively ban the online giant from the state. PokerStars followed-up on Friday with a statement calling the tribal memo an attempt to use their influence to limit competition.

In an article in the Las Vegas Review Journal, Sharp was quoted as supporting the current system of licensing card rooms in California. He says that state gaming regulators should be left to decide whether PokerStars, or any other company, should be licensed in the state. According to Sharp, "They have done a good job. We just don't need another category."

Online poker legalization is not a new issue for the state. Twenty-nine tribes, including the Morongo, as well as the state's 31 card rooms formed a coalition to try and get online poker legalized. After recent events, Sharp is of the opinion that the passage of an online poker bill is "closer than ever before."

A lot is at stake for tribes and card rooms alike. Last week, Morgan Stanley analyst Thomas Allen predicted that online poker in California could bring in revenues of $1.8 billion annually. Some tribes are concerned that allowing PokerStars into the market would put the majority of funds into their coffers, and some do not trust the company after events surrounding Black Friday.

The California Tribal Business Alliance is one group that does not trust PokerStars. According to Chairwoman Leslie Lohse, "From the Alliance's perspective, only entities that adhere to the highest regulatory standards, such as those used in the regulation of Indian gaming, should be licensed to provide online play." She does not believe that PokerStars meets those standards.

The PokerStars issue could be a deciding factor in whether online poker gets passed in the state. Tribal gaming in California currently represents 25 percent of all Indian gaming revenue in the United States. Indian gaming took in $6.96 billion in 2012 alone. With so much at stake, tribes are not going to let the PokerStars issue go without a fight.

Both California bills (AB 2291 and SB 1366) include a bad actor clause in them that would prevent PokerStars from being a player in the California online poker market. PokerStars had attempted to acquire a license in New Jersey when they legalized online gambling in 2013, but their application was suspended due to issues surrounding the company's continued association with founder Isai Scheinberg.

This is a reprint from californiaonlinepoker.com. To view the original, click here.