German court orders Betano to return sports bettor’s money
Mecklenburg-Vorpommern District

German court orders Betano to return sports bettor’s money

Posted on Jun 13, 2022 at 5:31 am.

Last updated on: June 14, 2022, 06:35.

The sports betting provider Betano has to give back its money to a German bettor. Germany’s district court in Ludwigslust ordered the operator to reimburse it €4,380 ($4,608) in player losses.

Betano
Betano signed a sponsorship deal with Portuguese football team Sporting Lisbon last year. The sports betting provider will reimburse a bettor in Germany after a court order for the losses. (Image: EGR Global)

The bettor lost €5,380 (US$5,638) on sports betting at Kaizen Gaming between February 20th and March 4th last year. However, when Germany updated its betting laws, a loss limit of €1,000 (US$1,047) was introduced.

Therefore, the Betano user lost more than the allowed limit.

Istvan Cocron, the player’s lawyer, stated that the player is also registered under the OASIS self-exclusion system. The court in Ludwigslust, located just outside Hamburg in Mecklenburg-Western Pomerania, then reimbursed him for everything over the damage limit.

Relaxed loss limitation protocols

The loss limit was initially applied at the operator level. However, Germany’s Fourth State Treaty on Gambling later extended it. When states signed the contract last year, it included player spend from all operators in the regulated market.

In addition, the fact that he had registered with OASIS played a large part in the court’s decision. The purpose of the standard is to protect banned players from financial losses. In particular, it also applies to protecting addicted players from themselves.

Gaming Contracts are null and void if a player plays after registering with OASIS. According to the court, the responsibility for banned players not being able to participate in their activity lies with the operator.

In April, international operator Allwyn acquired a 36.75% stake in Betano from OPAP. The deal included a €50 million ($52.3 million) upfront payment and undisclosed earnouts based on Betano’s performance over the next three years.

More bettors may receive refunds

The court’s decision could have repercussions for other bettors in Germany, further damaging the strength of the country’s legal betting industry. Cocron explained during the hearing: “Both online sports betting and online gaming, for which Germany was subject to a far-reaching ban until July 1, 2021, have a good chance of winning back seemingly lost stakes.”

Again and again, Maltese online gambling providers reimburse consumers in Germany for their losses. According to the State Treaty on Gambling, online gambling is only legal if the provider of this service has a German license.

Casinos have only been allowed to legally present their platforms in Germany since July 1, 2021 if they have a national license. This results in a clear legal situation.

Not so fast

Anyone who has lost money at an online gambling provider before this period has expired can claim it back.

However, it’s not that simple. Consumer Protection Attorney Dr. Gerrit W. Hartung assumes that there are 30 to 50 providers of online casinos in Germany. He also points out that the Frankfurt Higher Regional Court recently clarified that a court will only reject a claim for reimbursement if players were aware of the illegality of online gambling.

As a result, players must prove beyond a reasonable doubt that they were unaware that online gambling is illegal. However, anyone who can could get a refund for all of their online gambling activities.