A European court ruling could weaken Lithuania’s online gambling promotion restrictions, deeming recent amendments unenforceable due to procedural failures.
The Court of Justice of the European Union (CJEU) ruled that Lithuania’s failure to notify the European Commission about amendments to its gambling legislation renders them unenforceable against economic operators.
The case, brought by online gambling operator Unigames against Lithuania’s Gambling Supervisory Authority, concerns a 2021 amendment to Article 10(19) of its gambling law. This amendment expanded the prohibition on gambling promotion to include “any form and by any means.” Unigames was fined €12,662 for website statements allegedly encouraging gambling participation.
The CJEU determined that the provision constitutes a “technical regulation” under EU law, specifically a “rule on services” affecting Information Society services. Under Directive 2015/1535, Lithuania was required to notify the Commission before implementing the amendment.
The ruling aligns with established EU case law that technical regulations not properly notified to the Commission are unenforceable against individuals and businesses. The Court emphasized that this principle applies to both new regulations and significant amendments.
The case now returns to Lithuania’s Supreme Administrative Court, which must apply the CJEU’s interpretation to decide whether to annul the fine imposed on Unigames.
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