BVerwG online casino ban 2017: Allegations, Court Orders and Status

What this case is about

BVerwG, Urteile vom 26.10.2017, 8 C 18.16 and 8 C 14.16, are two judgments of the Bundesverwaltungsgericht (8th Senate), Germany's Federal Administrative Court. Online gambling operators based in Malta and Gibraltar challenged prohibition orders issued by the Land Baden-Württemberg through the Regierungspräsidium Karlsruhe. The proceedings began in 2010.

The operators relied on Art. 56 AEUV, the EU free movement of services, against the internet ban in § 4 Abs. 4 GlüStV and the prohibition power in § 9 Abs. 1 GlüStV.

The case belongs to the group of Regulators and Attorneys General in Court, here seen from the side of operators challenging a regulator.

Who is covered

The judgments decide the two operators' disputes with the Land Baden-Württemberg. The court's holdings concern the ban on online casino games, online poker and online scratch cards and the licence requirement for online sports betting, so they speak to operators in the position of the two claimants.

No class and no player group is involved. The country overview Gambling Lawsuits in Germany lists the other German cases.

Is there a payout?

No payout exists in this case. It is a dispute between operators and a state authority over prohibition orders, and the court awarded no money to players. There is no fund, settlement or claim deadline. Filing a settlement claim is free wherever a claim exists, but none exists here.

GamblingLawsuits.org is not a law firm and not a claims administrator.

What the court decided

On 26 October 2017 the Bundesverwaltungsgericht upheld the prohibition orders. It held that the ban on online casino games, online poker and online scratch cards is constitutional and compatible with EU free movement of services.

It also held that the licence requirement for online sports betting may be enforced against an operator that never applied for a licence.

The court reversed the Verwaltungsgerichtshof Mannheim (6 S 1426/14 of 08.09.2015 and 6 S 1406/14 of 27.05.2016). The first instance was the Verwaltungsgericht Karlsruhe (3 K 386/10 and 3 K 576/10, the latter of 03.11.2011). The underlying orders date from 21.01.2010 and 04.02.2010, and revision was admitted by 8 B 33.15 of 27.07.2016.

The judgment is reported as BVerwGE 160, 193. The Bundesverwaltungsgericht published its reasoning in press release 74/2017. This page covers the 2017 ruling only, not later changes to the law.

Why it matters

The ruling confirmed, at the highest administrative court level, that a Land may enforce the internet ban and licence requirement against operators in other EU states. It is a decided precedent, described in the past tense.

Two Bundesgerichtshof advertising rulings sit in the same field of German gambling regulation: one on online sports betting in 2011 and one on television advertising for .com casinos in 2021. They are listed under related cases below.

Questions people ask

What did the Bundesverwaltungsgericht decide in 2017?

It upheld prohibition orders against Maltese and Gibraltar operators. The ban on online casino games, online poker and online scratch cards is constitutional and compatible with EU free movement of services, and the sports betting licence requirement can be enforced against an operator that never applied.

Which courts did the BVerwG overrule?

It reversed the VGH Mannheim judgments 6 S 1426/14 of 08.09.2015 and 6 S 1406/14 of 27.05.2016. The cases started at the VG Karlsruhe under 3 K 386/10 and 3 K 576/10.

Is this a refund case for players?

No. The operators sued the Land over prohibition orders, and the court awarded no money to players.

Related cases

• BGH, Urteile vom 28.09.2011, I ZR 92/09 u.a. (Sportwetten im Internet II): a Bundesgerichtshof advertising ruling on online sports betting, status judgment.
• BGH, Urteil vom 22.07.2021, I ZR 194/20 (Rundfunkhaftung I): a Bundesgerichtshof ruling on television advertising for .com casinos, status judgment.