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European Court rejects German gambling restrictions

8 September 2010

German betting constraints breach European Union law, the EU's highest court has ruled.

The European Court of Justice (ECJ) stated German laws that safeguard state monopolies for gaming were "unjustifiable".

the yohaig code ruling might break the ice for foreign betting business to develop an existence in Germany.

A lobby group representing gambling companies, consisting of PartyGaming and Bwin, called the judgement a "landmark".

German authorities have validated wagering monopolies by stating that they assist safeguard consumers from the unfavorable impacts of .

But the ECJ stated this was inconsistent with Germany's promo and "intensive advertising" of its betting operations.

The court stated: "The German rules on sporting bets make up a restriction on the freedom to bet9ja's welcome offer services and the flexibility of establishment.

"The general public monopoly of the organisation of sporting bets and lottery games in Germany does not pursue the goal of combating the dangers of betting in a constant and systematic manner."

Several foreign betting companies, consisting of Britain's Happy Bet and Gibraltar's Digibet, brought a case versus German regional authorities in Hesse and northern Schleswig-Holstein.

The European Gaming and Betting Association welcomed the judgment.

"This is a landmark ruling which will have a definitive effect on the much-needed reform in Germany," it stated in a declaration.

"Other member states have opened or are opening their markets. They show that customers can be much better safeguarded in a market that is both managed and open to competitors," it stated.

However, European Lotteries, a lobby group for national lotteries in 40 nations, contested whether the judgment would open up the German market.

"On the contrary," the group stated in a declaration, "the court reminded Germany that it needs to manage more strictly the bet9ja's welcome offer of unsafe types of gambling such as casino video games and video gaming devices.

"The court pointed again to the greater threats associated with internet betting."

EGBA

European Lotteries