ECJ Ruling Offers New Insights on Player Losses Under EU Law
A recent opinion from the European Court of Justice (ECJ) has introduced significant considerations regarding player losses, specifically related to operators without local licenses. This development brings both clarity and ongoing challenges to the landscape of gambling law in Europe.
Delayed Decisions in Player Losses Cases
In Germany, numerous cases involving player losses are facing additional delays as the ECJ’s latest opinion does not confirm whether the country’s gambling treaty aligns with EU regulations. However, the court indicated it received enough information to evaluate the compatibility of German legislation with EU law.
Moreover, the opinion affirmed that courts in EU member states can assess how another member state’s laws correspond with EU statutes. This is a critical point for future legal interpretations within the EU framework.
Key Questions from the Maltese Court Case
This opinion stems from a case referred by a civil court in Malta (C‑440/23). Though the advocate general’s opinions are typically advisory, they provide essential insights into the legal intricacies involved. Notably, the opinion deemed several questions from the Maltese court to be pertinent, particularly the legality of prohibiting online casinos that hold licenses from Malta in a locally regulated market like Germany.
Another critical aspect raised was whether EU courts possess the jurisdiction to evaluate the compatibility of another member state’s legislation with EU law.
Player Claims Against Malta-licensed Operators
The advocate general concluded that players are entitled to pursue claims against operators lacking a local license without violating EU law. This finding directly addresses a substantial issue: whether EU regulations support player claims for losses incurred with Malta-licensed operators in Germany and Austria.
In this context, the advocate general sided with the claimant, asserting that the contract between the player and the operator was void, according to contract law principles. The implications of this opinion could materially affect numerous ongoing cases surrounding player losses across regional courts in Germany and Austria, which had been stalled pending clarification on these complex legal questions.
Awaiting Clarity from the Tipico Case
Looking ahead, there is a keen focus on another case involving the prominent German betting operator Tipico, scheduled for review by the ECJ on September 24. Claus Hambach, managing partner at Hambach & Hambach law firm, remarked that proceedings related to player losses will remain suspended until the court clearly addresses whether Germany’s previous State Treaty, which banned internet games of chance, complies with EU law.
During the recent hearings, the advocate general primarily tackled procedural matters, as requested by the ECJ, rather than delving into the compatibility of Germany’s internet gaming ban with EU legal standards. The forthcoming examination of the Tipico case, which marks the first extensive legal inquiry into the German Interstate Treaty on Gambling by the ECJ, will focus on sports betting rather than lottery or casino-based gambling.
As stakeholders in the sector await the verdict, the implications of these legal interpretations could reshape the operational landscape for gambling in Europe, especially concerning the rights of players and the enforcement of regulations across borders.