Germany just lost a court battle with the European Court of Justice (ECJ), the highest court of the European Union. The ECJ ruled that German laws protecting their state-run gambling monopolies are “unjustifiable” and that they cannot prevent other EU countries from competing in their market.

The case in question regards online sports betting, though the ruling could easily be taken to apply to online casinos as well. German authorities claimed that they exclude foreign competition in order to protect its citizens, but the ECJ was unconvinced.  In the ruling, the European Court of Justice stated that “the public monopoly of the organization of sporting bets and lotteries in Germany does not pursue the objective of combating the dangers of gambling in a consistent and systematic manner.”

Studies estimate that approximately €7.8 billion are wagered at sports books – both online and in person – in Germany, but half of that is spent on unlicensed online bookmakers. With the country’s gambling monopoly shot down by the European Union’s high court, it is likely that Deutschland will move toward creating a licensing and relating organization.

The ECJ decision is being celebrated by online gambling operators and their unions. The European Gaming and Betting Association released a statement on the “landmark ruling,” stating that other EU states have opened their gambling markets to foreign competition and in doing so, have shown that “consumers can be better protected in a market that is both regulated and open to competition.”

Tags: European Court of Jusice, gambling laws, German gambling monopoly, Germany online gambling, online betting, Online Casino, online gambling, sports betting