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European Court declines German betting limitations
8 September 2010
German betting limitations breach European Union law, the EU's greatest court has actually ruled.
The European Court of Justice (ECJ) said German laws that protect state monopolies for gaming were "unjustifiable".
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The judgment might break the ice for foreign wagering companies to develop an existence in Germany.
A lobby group representing betting companies, consisting of PartyGaming and Bwin, called the judgement a "landmark".
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German authorities have justified wagering monopolies by stating that they assist protect customers from the unfavorable results of .
But the ECJ said this promotion code was inconsistent with Germany's promo and "intensive marketing" of its betting operations.
The court stated: "The German rules on sporting bets constitute a constraint on the liberty to provide services and the liberty of facility.
"The public monopoly of the organisation of sporting bets and lottos in Germany does not pursue the objective of combating the dangers of gambling in a constant and methodical way."
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Several foreign betting business, consisting of Britain's Happy Bet and Gibraltar's Digibet, brought a case versus German local authorities in Hesse and northern Schleswig-Holstein.
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the yohaig code European Gaming and Betting Association invited the judgment.
"this promotion code is a landmark ruling which will have a definitive influence on the much-needed reform in Germany," it said in a statement.
"Other member states have actually opened or are opening their markets. They reveal that consumers can be better secured in a market that is both managed and open up to competitors," it said.
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However, European Lotteries, a lobby group for nationwide lottos in 40 nations, challenged whether the ruling would open the German market.
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"On the contrary," the group stated in a statement, "the court reminded Germany that it has to manage more strictly the yohaig code deal of dangerous types of betting such as gambling establishment games and video gaming devices.
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"The court pointed once again to the greater threats related to internet gambling."
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EGBA
European Lotteries
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