Private sports betting without a permit remains prohibited

Now that the Court of Justice of the European Union (CJEU) has called into question the compatibility of the state monopoly on sports betting with EU law, the prohibition of private sports betting brokerage can be based on the fact that the broker does not have a licence under gambling law. This was decided by the Higher Administrative Court of Rhineland-Palatinate in Koblenz.

With reference to the state monopoly on sports betting, the competent supervisory and service authority (ADD) prohibited the applicant from operating her private sports betting brokerage. The administrative court already rejected the application to order the suspensive effect of her objection against the prohibition order. The Higher Administrative Court confirmed this decision.

The ADD had initially based its ban on the applicant's sports betting brokerage on the state's betting monopoly. However, since the ECJ had in the meantime expressed considerable doubts about the compatibility of this monopoly with EU law, the ADD no longer relied on this aspect, but on the fact that the applicant did not have a licence for the brokerage of games of chance. Such a licence, which the applicant could apply for at any time, would be granted if the requirements for it were met. There were no legal objections to this procedure of the ADD. The legal obligation to obtain a permit as a prerequisite for organising and brokering public games of chance serves to limit the offer of games of chance and thus to prevent gambling addiction as well as to guarantee the protection of minors. Therefore, the requirement of an official permit is neither discriminatory nor disproportionate and therefore does not violate German constitutional law or European law.

Decision of the OVG Rhineland-Palatinate of 08.12.2010, file number: 6 B 11013/10.OVG

Source: Press release of the OVG Rhineland-Palatinate

Goldberg Attorneys at Law
through
Attorney at Law Michael Ullrich, LL.M. (Information Law)
Specialist attorney for information technology law
E-mail: info@goldberg.de

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