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Maltese court determines that Austrian gamblers are not entitled to recover gambling losses

Austrian Court Decides No Compensation for Gambling Losses

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Maltese court rules against reimbursement of losses incurred by Austrian gamblers.
Maltese court rules against reimbursement of losses incurred by Austrian gamblers.

Maltese court determines that Austrian gamblers are not entitled to recover gambling losses

Breaking Down the Battle: Malta versus EU Countries Over Online Gambling Regulation

By Timm Schaffner, Edited by Angela Burke, Published on: 04.03.2025, Last updated: 29.04.2025.

In the world of online gambling, a legal turf war is heating up between Malta and countries like Austria and Germany. This conflict stems from Malta's enactment of Bill 55 in 2023, which allows Maltese courts to refuse enforcing foreign judgments targeting companies licensed by the Malta Gaming Authority (MGA). Here's an overview of the situation:

Unraveling the Controversy

  • The Precious Maltese Pearl: Defenders of Bill 55 argue that it is essential for safeguarding Malta's multi-billion dollar gaming industry. They contend that the legislation protects MGA-licensed businesses from disputes inconsistent with European free market values[1][2].
  • The European Perspective: Regulators and legal experts from other EU countries, however, label Bill 55 as incompatible with EU laws. They argue that it undermines judicial cooperation and goes against the Treaty on the Functioning of the European Union (TFEU), which ensures the free movement of services[2][5].
  • ECJ's Role as Final Arbiter: The European Court of Justice (ECJ) is stepping in to rule on the compatibility of Bill 55 with EU law in July 2025. The Advocate General's opinion, set to be released on July 10, will carry significant weight in the final verdict[1][5].

Impact on Player Refund Claims

Should the ECJ rule against Malta, a wave of player compensation claims could surge against MGA-licensed operators from other EU countries[2].

The Consequences for Litigation Funders

Specifically, the litigation funders Gamesright and RightNow, along with other companies that back cases against Malta-based operators, may face increased financial risks[3]. If the ECJ rule goes against Malta, these companies could potentially see more successful enforcement of foreign judgments, increasing their operational risks.

The Gaming Industry Stands by as the ECJ Ruling Looms

As the legal battle heats up, the future of cross-border disputes between gaming operators and European regulation is on the line. The final decision by the ECJ will have a profound impact on the gaming industry, setting precedents for the coming years.

[1] iGaming Business: Maltese courts refuse to enforce Austrian gambling judgments - what does this mean for the online betting industry? ( Accessed on: April 29, 2025)

[2] CasinosHunter: The ongoing conflict between Malta and EU countries over iGaming regulation ( Accessed on: April 29, 2025)

[3] European Gaming: Maltese court ruling and Malta's Bill 55 - implications for litigation funders ( Accessed on: April 29, 2025)

[4] Maltese Government: Bill 55 - An Act to enact the Judiciary Act, the Code of Organisation and Civil Procedure, the Declaration of Principles, and the Costs in Civil Proceedings ( CAP 2023), Laws of Malta ( Accessed on: April 29, 2025)

[5] European Union Law: The Four Freedoms under the Treaty on the Functioning of the European Union ( TFEU) (Accessed on: April 29, 2025)

  1. The legal war in the online gambling sector is between Malta and countries like Austria and Germany, sparked by Malta's enactment of Bill 55 in 2023.
  2. Bill 55, according to its defenders, protects Malta's multi-billion dollar gaming industry from disputes inconsistent with European free market values.
  3. However, regulators and legal experts from other EU countries consider Bill 55 as incompatible with EU laws, as it undermines judicial cooperation and goes against the Treaty on the Functioning of the European Union.
  4. The European Court of Justice (ECJ) is set to rule in July 2025 on the compatibility of Bill 55 with EU law.
  5. Should the ECJ rule against Malta, a potential surge of player compensation claims may be directed towards MGA-licensed operators from other EU countries.
  6. Litigation funders like Gamesright and RightNow, along with other companies backing cases against Malta-based operators, may face increased financial risks if the ECJ rule goes against Malta, increasing their operational risks.
  7. The gaming industry is closely watching the ECJ ruling, as it will set precedents for years to come regarding cross-border disputes between gaming operators and European regulation.
  8. Education and self-development, career development, and skills training courses in the gambling industry can focus on understanding the nuances of policy and legislation in casino-and-gambling markets, casino-personalities, gambling trends, and crime-and-justice.
  9. Sports and sports-betting professionals should follow general news related to this legal battle, as it may impact their field, including current gambling, politics, and economic developments.
  10. The ongoing Malta versus EU countries conflict over iGaming regulation is just one example of the complexities and challenges that the gambling industry must face when navigating policy and legislation in an increasingly connected and globalized world.

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