The German Federal Constitutional Court has ruled that restrictions to private sports betting operators set by Bavaria contradict the basic right of freedom of occupation granted under the German Constitution. Additionally the Court found that the current policies of the State-owned operator did not restrict gambling problems but were aimed at raising the State’s financial resources.

The German authorities have been given two options to comply with the ruling by December 2007. They must either realign the goals of the State monopoly towards restricting addiction as a condition of maintaining its exclusive rights, or open the German market to licensed private operators. This landmark ruling is considered as a significant breakthrough by the European Betting Association (EBA).

The EBA is a non profit making association that promotes the right under European Union law for members based and licensed in one Member State to promote their services in, and accept business from, all other Member States. Didier Dewyn, Secretary General of the EBA, commenting on the ruling said, “this ruling is most welcome for the private industry with far reaching consequences beyond Germany.” He hoped that the precedent would result in Member States abolishing market restrictions in the sector when unrelated to consumer protection.

The German Federal Constitutional Court found that the State monopoly clearly contravened the settled case law of the European Court of Justice, notably the Gambelli case. It stated that if the legislator wanted to maintain the State monopoly then it must be aligned strictly with combating betting addiction and limiting betting passion. The EBA finds the delay to compliance until December 2007 unacceptable, given that the State monopoly contravenes established EU law. (E-03.30.06)

© Copyright 2006 CasinoCompendium



>>> return to archives
>>> return to frontpage