Mengozzi on Gambling in the EU

March 11, 2010 | News Category: Gaming Law

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The European Union states that have been resistant to allowing foreign online gambling companies into their states, even if other European Union members have already licensed them, are still causing waves at this time. The guidelines set out by the European Commission note that all trade in the EU should be done under the free market guidelines that are used in other trade and services dealings. The European Commission includes those countries that are not members of the EU, but are part of the European Economic Area.

While there has been a big push to get all EU member states to comply with these rules, there has now been somewhat of a setback. Paolo Mengozzi, the Advocate General of the EU, and one whose opinion is not taken lightly, may just cause those slot machines to stop spinning!

Mengozzi has concluded that even though gambling operators have been licensed by other EU member states, this should not mean that other member states have to be obligated to allow the operator into their home territory. Mengozzi’s conclusions have come to light when he released this information regarding compatibility issues that Germany is having with seven online gambling operations and the legislation that has been laid out by the EU.

Mengozzi specifically mentioned that mutual trust has been distorted by offshore licenses that have been granted in Malta and Gibraltar, and this has caused issues for some of the EU member states. A public statement such as this can cause quite a blow to these online gambling jurisdictions.

Unfortunately for those that would like a chance to play in their chosen online casinos, the EU gambling legislation has not been laid out clearly enough or enforced amongst its member nations. One is not even asking that these EU citizens play in online gambling sites that are located outside of the EU, but simply in those that are accepted in one or more EU member states.

While Mengozzi’s opinion is highly respected, this is not what makes up EU law, however, it is quite unusual that the European Commission will go against something that the Advocate General has given his opinion on.

Individuals should have the right to play in any online casino that they wish to, and should not have to play in their state’s monopoly. There is some difference between a country that does not wish to have any online gambling, and one that will allow online gambling of only a protectionist nature. Competition is very important in order to ensure that players have the option of taking the best offers and deals that are available to them. It also ensures that online casino sites work harder to release better online casino games.

EU judges have begun to deliberate the online gambling issue, and players and EU member states await the judgment to see which direction online gambling will go.