Jurisdictional Gambling Debate Gains Attention from Litigation Funders
A recent case involving gambling license jurisdictions and online gaming has gained the interest of Advofin, the oldest litigation funder in Austria. Advofin is seeking EU 40 million to recoup funds lost by more than 2,000 Austrian citizens who gambled online. Gambling News details that many of the implicated operators are well-known names, like PokerStars, Leo Vegas, and 888. When an Austrian resident agrees to the terms of an online gambling site, they essentially enter a legal contract with the operator. This means that operators in Malta targeting Austrian players are breaking local law. Currently, there is one casino, Casinos Austria, that is licensed to operate in the country. Austrian law says only licensed operators in the country may offer casino gambling. Lawyers for Maltese operators said that the claim represents jurisdictional overreach. Article 56 of the Treaty for the Functioning of the EU establishes freedom to, among other things, deliver goods and services across the EU. That would imply that the Malta gambling operators were within the law. This case is one of about 50 currently being funded by Advofin.