Volume II

Issue : 7: April 1, 2004

• Philippines Government to Benefit from Online Gambling
• World Trade Organization Rules that the U.S. Should be Opened to Internet Gambling
• Accountant Sues Search Engines for Libel for "Injurious" Search Results
• Court Finds New York Times Liable for Defamation for Use of Companys Graphic in Article
• Japanese Court Finds No Copyright Exists in Web News Headlines
• European Union Hits Microsoft with Record $613 Million Fine for Antitrust Abuses
• B.C. Supreme Court Finds Potential Liability for Chat Room Owners over Postings
• German Court Rules Pop-Up Ads Require Permission
• The Dutch Supreme Court Rules ISP can Ban Spammers
• Privacy Commissioner of Canada Releases New Decisions
• California Appeals Court Finds Personal Jurisdiction over Two Out-of-State Businesses
• Canadian Federal Court Dismisses Motion to Compel ISP to Disclose Identity of File Sharers

Home > Volume II > Issue 7: April 1, 2004 > World Trade Organization Rules that the U.S. Should be Opened to Internet Gambling

World Trade Organization Rules that the U.S. Should be Opened to Internet Gambling

In a recently issued preliminary ruling, the World Trade Organization ("WTO") ruled that U.S. laws prohibiting Americans from placing bets in offshore casinos constitute an unfair barrier to trade. The U.S. has said it will appeal the ruling to a seven-member appellate body of trade judges.

The ruling was made in the context of a dispute with Antigua and Barbuda but could be significant for many jurisdictions. Estimates are that there are 1,800 Internet gambling operations and almost all of them are outside the United States. One estimate is that the global Internet gaming market will grow from $10 billion in 2002 to $14.5 billion in 2006. (See report below on Philippines' Online Casino.)

The preliminary ruling turns on the definition of the term "services" which the U.S. argues was intended to exclude gambling when the U.S. joined the WTO in 1995. Antigua and Barbuda argued that the U.S. restrictions on gambling were harming the country's efforts to diversify its economy.

For a summary of this ruling, visit:
http://www.siliconvalley.com/mld/siliconvalley/8267404.htm