Dutch advocacy organisation Gokverliesterug has initiated a class action lawsuit against a group of licensed online gambling operators in relation to their activities before being licensed in the country.
The Gokverliesterug lawsuit is seeking reimbursement on behalf of Dutch consumers for losses made prior to October 2021. The Netherlands launched its legal online gambling market on 1 October 2021 but several operators – which are now licensed – were active prior to this.
Specifically, the lawsuit names major operators such as Unibet, Bwin, PokerStars and Bet365. However, Bet365 has contacted iGB to clarify it was not active in the Netherlands prior to regulation.
Gokverliesterug states operators allowed hundreds of thousands of Dutch people to gamble prior to the legal market opening, which left many consumers without sufficient supervision and protection against problem gambling behaviours.
Gokverliesterug said it has chosen to act now following several recent rulings from Dutch judges over existing online gambling activities. In April the Netherlands’ Court of Overijssel ordered two unnamed operators to repay customer net losses of up to €200,000.
The court ruled the gambling agreement between the operators and the players was null and void due to them operating illegally and violating the Gambling Act.
Online operators “ignored Dutch rules”
Koen Rutten of law firm Finch, which represents Gokverliesterug, said operators that ignored existing rules in the Netherlands needed to be held to accountable.
“Many foreign online casinos had ignored the Dutch rules for a long time, assuming enforcement would not be that bad,” Rutten said. “They have to account for that period, even though they now have a licence.
“It is not without reason that online casinos are being subjected to stricter regulations. At home behind their laptop or smartphone, people have proven to be able to lose enormous amounts of money in a short period of time. In that environment, social control is completely absent.
“Illegal gambling providers are aware of this. They pull out all the stops to keep people playing as long as possible with promotions and bonuses. With our action we want to ensure the perpetrators are presented with the bill for these kinds of illegal practices.”
Lawsuit aims to replicate cases in Germany and Austria
Player losses lawsuits have plagued operators in the neighbouring markets of Germany and Austria. Typically courts have ruled in favour of the player, although a recent case in Austria ordered one customer to pay back part of their winnings to the operator in question.
Rutten believes a collective litigation will be more effective in court. “Few people have the patience, money and knowledge to conduct a lengthy procedure against large gambling companies themselves,” he said.
Payment processors may also face charges
Gokverliesterug is willing to take the case higher to the European Court, should it fail in the Netherlands.
“We hope for a quick settlement of the case,” Rutten said. “But thanks to a litigation funder, we have sufficient clout to conduct a lengthy procedure up to the European Court. In doing so, we have paid extra attention for the role of parties that have facilitated illegal casinos for years, such as banks and payment processors.”
