Law firm alleges Tipico of postponing the court hearing.
The European Court of Justice (ECJ) is currently deliberating on a significant legal dispute between Tipico, a well-known sports betting operator, and Gamesright GmbH, a less commonly referenced entity. The case, if ruled in favour of Gamesright, could potentially reshape the sports betting industry in Europe.
In April 2024, the Bundesgerichtshof (BGH) published a 25-page preliminary ruling, stating that sports betting providers are obligated to refund the profits made in the unregulated period. This ruling, however, does not specifically apply to the Tipico-Gamesright case, as of now.
The crux of the dispute revolves around the argument that the German state's failure to grant a license for offering online gambling violates Union law. Tipico and Gamesright GmbH remain confident of victory in the ongoing legal battle.
Lawyer Claus Goldenstein from the law firm Goldenstein predicts a loss for Tipico in this dispute, comparing their strategy to that of German carmaker VW in the 2015 emissions scandal. Goldenstein also suggests that Tipico may be deliberately delaying the case to prevent a precedent-setting ruling.
The ECJ's decision could serve as guidance for lower courts in similar cases in the future. It's worth noting that the ECJ issued a landmark ruling in 2016, discontinuing criminal proceedings against foreign bookmakers on the same grounds of unlawful withholding of a gambling license.
In a separate case, Bet365 in Austria was seen going on the offensive and suing a successful player, with the winnings and losses ultimately offsetting to a payment of 626.60 euros by the player. Regardless of the ECJ's decision, it's possible that sued bookmakers in Germany could copy this practice.
The ECJ typically addresses issues related to EU law, including the legality and regulation of gambling services across member states. Refund policies in sports betting are usually governed primarily by national law and licensing agreements, rather than directly by the ECJ. When disputes arise over market access or consumer protection in sports betting, the ECJ’s rulings often focus on the proportionality and fairness of national regulations under EU internal market rules.
As the ECJ prepares to make a ruling, the sports betting industry eagerly awaits the outcome, as it could set a precedent for future cases and potentially reshape the industry landscape in Europe.
What if the ECJ rules in favor of Gamesright, could it potentially extend to a reevaluation of not only sports betting but also casino-and-gambling regulations in Europe? Given the similarity of the Tipico-Gamesright case to the 2016 landmark ruling that discontinued criminal proceedings against foreign bookmakers, sports enthusiasts might also keep an eye on the evolving sports betting landscape, especially if sued bookmakers in Germany decide to follow Bet365's offensive strategy in Austria.
