German court rules in favour of betting monopoly

News on 29 Sep 2011

A series of appeals brought by internet gambling companies including bwin.party Digital Entertainment Plc were dealt a blow today with Germany’s Federal Court of Justice upholding a ban that prohibits private-sector companies from operating online gambling websites.
Germany’s highest civil court ruled that the prohibition is justified to combat the dangers associated with gambling, reports Bloomberg.
“Because of the greater dangers of the Internet, above all anonymity, lack of social control and accessibility at any time, this sales venue can be subject to stricter regulation,” said Presiding Judge Joachim Bornkamm.
“The ban violates European rules and won’t last,” Bwin e.K. said. “A regulated market opening is the only way to combat the black market in Germany and to comply with EU requirements.”
Bwin e.K. is reportedly considering its options on whether to file a constitutional complaint although any ruling from this course of action would not be expected until the end of the year, around the same time that the 2008 German State Treaty lapses on December 31, 2011.

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