Bank Customer in Austria Seeks Compensation for Online Gambling Losses from Financial Institution
Take a Gamble on justice: Austrian Player Fights for Stolen Casino Winnings
An unlucky roll of the dice in an illegal online casino leads to an Austrian player's quest for refund–and a legal battle with Maltese law, banks, EU courts, and customary bureaucratic red tape.
The Cursed Coin: €27,000 Lost at Illicit Austrian Casino
An unfortunate Austrian gambler faces the sting of a €27,000 loss at an underground online gambling den nestled in the heart of Austria, according to Der Standard. The authenticity of the casino's illegal status is undebatable, as countless reports attest.
However, the seemingly indestructible walls of Malta's gambling sanctum remain robust, with controversial Bill No. 55 offering protection to its dubious residents from foreign legal actions. This law, scrutinized by the EU Commission, continues to stand, precluding Maltese online casinos from being obliged to return unjust gains.
Player's Artful Maneuver: Countersuing the Bank
An unsuspecting breakthrough was brought forth by the Austrian Supreme Court (OGH) in December 2024 under the case number 3 Nc 72/24d, establishing that the court's guidance on refunding player losses could be enforced in Austria. Yet, it's highly unlikely that the casino operator in question will abide by this ruling.
Seeking a new strategy in this cash-strapped war, the gambler is eyeing a potential payday from another unlikely target: the bank where the gambling company funds reside. Thus far, the bank has balked at releasing the funds voluntarily. The gambler now intends to file a lawsuit against the bank, ramping up her case through a third-party liability claim—a legal tactic courts in Germany also employ.
Freedom to Play: EU Court to Decide Fate of International Casinos
The European Court of Justice is set to deliver a ruling on 09. April 2025, determining whether foreign online casinos can legally operate in Germany without a German license, as long as they invoke the freedom to provide services under Article 56 of the Treaty on the Functioning of the European Union (TFEU). The ruling's impact may extend far beyond Germany, as it questions the relevance of national gambling laws within the EU compared to the broader legal framework set by the freedom to provide services.
The Future Hangs in the Balance: Protracted Legal War Awaits
If the lawsuit against the bank fails or progress slows, the gambler contemplates a shift in tactics–suitably, taking aim at the European Central Bank (ECB). Whether this drastic measure will expedite a resolution remains uncertain, with legal experts predicting that the process could stretch on for years. Additionally, any decision could establish a precedent, requiring careful preparation and deliberation to ensure it holds water.
In a minor victory, the player has already assigned her claim against the litigation funder Jufina, potentially netting a portion of her lost winnings.
Reinforcements: How Maltese Law and the MGA Are Involved
Maltese law, as enforced by the Malta Gaming Authority (MGA), provides a regulatory framework for online casinos operating within its jurisdiction. The MGA focuses on ensuring licensed operators adhere to strict standards, including anti-money laundering (AML) procedures and responsible gambling practices. However, the MGA does not legally hinder online casinos from refunding losses resulting from illegal activities. Instead, it emphasizes keeping operators compliant with legal requirements and cultivating a respectable reputation in the industry.
Sources:
- "Malta 2021 Online Gambling Laws." Gamblers' Pictures, https://www.gamblerspictures.com/malta-2021-online-gambling-laws/
- "Responsible Gambling." Malta Gaming Authority, https://www.mga.org.mt/resources/index.aspx?id=61457
Despite the loss of €27,000 at an underground online casino in Germany, the gambler might find resolution in suing the bank where the online casino funds reside, employing a legal tactic similar to third-party liability claims in Germany.
As the European Court of Justice prepares to rule on the legality of foreign online casinos in Germany, the case delves into the complexities of freedom to provide services within the framework of the European Union, potentially setting a lasting precedent for online casinos operations across the continent.
To bypass the obstinate Maltese law, dubious Maltese online casinos, like the one at the heart of this dispute, rely on controversial legislation such as Bill No. 55, which shields them from foreign legal actions, driving players to take unconventional routes in the pursuit of justice.
