FIFA Loot Boxes Undergo Legal Scrutiny: Austrian Court Sets Precedent in Gambling Debate

Austrian Court of Justice issues final verdict

In a landmark ruling, the Higher Regional Court of Vienna (OLG Vienna) has determined that loot boxes in EA Sports' FIFA games are not considered gambling, a decision that has sparked a global conversation about the nature and regulation of these in-game purchases.

The ruling, which overturns a decision made last year, stems from a case involving 'Packs' in EA Sports 24 FC (FIFA 24), released in 2023. The plaintiff, who purchased these packs for personal use within the game, did not engage in the practice to sell the players for profits.

However, the ruling is not yet legally binding, and the plaintiff has announced an appeal. This decision comes as the Supreme Court of Austria prepares to decide whether loot boxes should be considered gambling and how to proceed with them, potentially setting a precedent-setting ruling.

The discussion around loot boxes is not limited to Austria. In the Netherlands, loot boxes were banned in 2018, but a legislative amendment is planned to enforce the ban in the future. Meanwhile, in Bremen, Germany, politicians have submitted an application to achieve a nationwide ban on loot boxes.

In Germany, loot boxes are currently allowed and may be legally offered in games. However, the regulation of loot boxes in Germany focuses on age verification, clear labeling of gambling mechanics, and consumer protection. Similar discussions are ongoing in Austria, where no specific institution has yet made a final decision on the admissibility of loot boxes in Electronic Arts' FIFA games.

EA is said to generate several billion dollars a year from in-game purchases, with loot boxes accounting for a significant portion of these profits. The company offers other games with loot boxes, such as Madden NFL, and claims that most players do not take advantage of the loot box offer.

The controversy surrounding loot boxes is due in part to the reportedly low chances of obtaining well-known players like Neymar, Messi, or Ronaldo from these packs. Many players have reported spending thousands of euros to obtain these sports superstars from the packs.

The debate around loot boxes is not limited to Europe. In Belgium, loot boxes have been banned since 2018 and are no longer allowed in games. In Australia, games containing loot boxes must be labeled with the R18+ warning since September 2024. In Spain, a legislative procedure aims to ban loot boxes.

As the debate around loot boxes continues, it is clear that the issue is far from resolved. The OLG Vienna's ruling may set a precedent for future decisions regarding loot boxes, but it is just one piece of the puzzle in the ongoing global conversation about the regulation of in-game purchases.