【Hand of Midas 2 demo】German court curtails gambling regulator's IP blocking powers

The news represents a blow for the country’s gambling regulator GGL, which has seen its attempts at IP blocking offshore gambling sites frustrated by the court’s almost since its establishment four years ago.

The judgement confirmed one made by a lower court in February 2023 that said the GGL’s attempt to IP block Lottoland lacked legal basis.

It follows GGL CEO Ronald Benter earlier in the month calling for the new powers to be given to the regulator to help solve the legal logjam.

The regulator tried to downplay the importance of the judgement in a statement, arguing the decision would have no impact on its current enforcement work.

This, it said, was because the GGL has not issued any IP blocking orders since it’s the first 2022 court decision ruled the practice unlawful.

Instead, the regulator has attempted to use alternative methods to combat offshore gambling, including via increased action against host providers.

While it admitted this approach has been time-consuming due to complex research requirements other issues, it said ultimately it has proved “very successful”.

So far 930 domains have been blocked, with around 30 being added each month.

As a result, the GGL highlighted many domains in Germany are no longer accessible, and that this strategy will not be affected by the recent court ruling.

Industry in Germany has criticised the regulator for presiding over a market with a relativity low channelisation rate to legal offerings, although the figures are disputed.

Germany to amend IP blocking laws

The regulator also highlighted it has been raising concerns about gaps in Germany’s gambling law for several years, and that this has involved calls to amend the IP blocking laws.

It said: “The GGL suggested reviewing the scope of the standard—particularly with regard to a possible extension to advertising for illegal gambling, as well as waiving the prior recourse to gambling providers, comparable to the procedure for payment blocking.”

Amending this law outside of the regular legislative evaluation is currently being examined, with the regulator claiming this will be done “promptly”.