GGL shifts focus after court ruling on IP blocking

Germany’s Federal Administrative Court (BVerwG) recently delivered a pivotal ruling affirming the limitations on gambling enforcement as outlined in Article 9 of the 2021 State Treaty on Gambling (GlüStV 2021). This landmark decision, issued on March 19, confirms that authorities lack the legal authority to mandate internet service providers (ISPs) to block access to illegal gambling websites, a significant constraint on current enforcement strategies.

### Context of the Ruling
This decision builds upon an earlier determination by the Higher Administrative Court of Koblenz, which similarly contested the legal grounds for imposing IP blocking mechanisms. Such rulings underscore the judiciary’s position on the due process involved in regulating digital gambling and signal a shift toward more sustainable enforcement methods.

### The Role of the Joint Gambling Authority of the Länder (GGL)
In response to this ruling, Germany’s gambling regulatory entity, the Joint Gambling Authority of the Länder (GGL), has clarified that current enforcement practices will remain unaffected. Notably, the GGL had ceased its pursuit of blocking orders against ISPs as of 2022, opting instead for a more effective strategy targeting hosting providers.

### Innovative Enforcement Strategies
The shift to host-based enforcement has proven fruitful for the GGL. To date, the authority has successfully blocked access to over 930 domains associated with illegal gambling operations across Germany. Furthermore, the GGL actively monitors and restricts approximately 60 new sites per month. When previously blocked domains resurface under different hosting arrangements, the GGL promptly reinitiates enforcement actions.

### Collaborative Efforts for Regulatory Reform
In light of preceding court judgments, the GGL is proactively collaborating with both national and regional authorities to reassess and amend the enforcement framework. Proposed amendments seek to enhance regulatory power by including measures to block illegal gambling advertisements and introduce expedited processes akin to those used for payment blocking.

Although these initiatives fall outside the traditional review cycle of the State Treaty, the GGL is advocating for swift legislative action to bolster consumer protection and enhance the tools available for combating unlicensed gambling operators.

### Focus on Responsible Gambling
In addition to regulatory reforms, the GGL is committing resources to improve player safety and addiction prevention. This initiative includes the development of standardized harm indicators and was a focal point of discussion during the late-2024 meeting with state gambling coordinators. Such measures highlight the GGL’s commitment to fostering a safer gambling environment while maintaining robust regulatory oversight in an increasingly digital landscape.

In conclusion, the BVerwG ruling not only redefines the enforcement mechanisms available to the GGL but also exemplifies the evolving landscape of gambling regulation in Germany. As the GGL pivots towards innovative enforcement strategies and collaborative reforms, the overarching aim remains clear: to protect consumers while effectively curbing illegal gambling activities.