Volume I

Issue : 9: October 30, 2003

• European Union AntiSpam Law Comes into Force
• Law Firm Protected from Liability for Internet Posting
• New Online System Launched To Manage Copyright Clearance For Canadian Literatures
• European Court of Justice Rules on Italys Internet Gambling Ban in Gambelli Case
• Privacy Commissioner Outlines the Requirements for OptOut Form of Consent
• UN Study Analyzes Status of E-Government
• Canadian Doctors reprimanded For U.S. Prescriptions
• U.S. Court Grants Injunction Against Internet Drug Importer
• Favourable Decision for Digital Music and Video Download Patent Holder
• European Court of Justice Rules on Interpretation of Data Protection Directive
• FCC to Study VoIP Issues Minnesota Appeals Vonage Decision

Home > Volume I > Issue 9: October 30, 2003 > European Court of Justice Rules on Italys Internet Gambling Ban in Gambelli Case

European Court of Justice Rules on Italys Internet Gambling Ban in Gambelli Case

On November 6, 2003, the European Court of Justice ("ECJ") rendered its decision in the Gambelli case (C-243/01). In this case, Piergiogio Gambelli and over 100 other defendants were prosecuted for collecting bets in Italy through the Internet on behalf of UK bookmaker Stanley International Betting, in violation of Italy's national rules which permit only the state or holders of a state license to take bets. The defendants claimed that the Italian legislation was contrary to the Community principles of freedom of establishment and freedom to provide services provided for in Articles 43 and 49 of the EC Treaty. As a result, the Tribunale Ascoli Piceno asked the ECJ to interpret the relevant provisions of the EC Treaty.

In its decision, the ECJ held that Italy's legislation prohibiting unregulated cross-border sports betting via the Internet constitutes a restriction on the freedom of establishment and the freedom to provide services, but that such legislation may be justified on moral and social grounds, and by a need to protect consumers and uphold public order. At the same time, the Court noted that the procurement of finances for public funds from lotteries, games of chance and betting cannot, in itself, justify such restrictions, thereby putting the objectives of state gambling up for scrutiny as well.

In line with the Zenatti case of 1988, the ECJ referred back to domestic courts the question of whether any national gaming laws actually serve the objectives of consumer protection and public order which might justify them, and whether the restrictions they impose are disproportionate in light of those objectives.

Although the defendants and other bookmakers are hopeful that this decision and its application by domestic courts will open up the market place to cross-border betting services, the practical effect of the decision is yet to be seen.

For additional information, visit:

http://www.eupolitix.com/EN/News/2fe22b37-5e44-463a-acbb-a99a27b5faf4.htm

For a copy of the Court's Press Release regarding the decision, visit:

http://curia.eu.int/en/actu/communiques/index.htm

For a copy of the decision, visit:

http://makeashorterlink.com/