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US Anti-Gambling Laws violate WTO Rules says EU Commission

Mar 31, 2009 - Brussels

A year long investigation by the European Commission has concluded that US attempts to block European online gambling sites from accepting bets placed by US customers violates World Trade Organisation (WTO) rules for international trade. The commission's report found in summary that "U.S. laws on remote gambling and their enforcement against EU companies constitute a barrier to market access on EU economic interests."

The investigation was launched in March 2008 after complaints that EU companies were being discriminated against. The Commission found that while U.S online operators can freely operate online gambling on horse racing, "European companies and individuals cannot and even face legal action."

EU Trade Commissioner Catherine Ashton stated, "It is for the U.S. to decide how best to regulate Internet gambling in its market, but this must be done in a way that fully respects WTO obligations." Ashton added that she is "hopeful that we can find a swift, negotiated solution to this issue."

Nefeterius McPherson, speaking on behalf the U.S. Trade Representative Office, said both that office and the Department of Justice are reviewing the report and plan to discuss it with the EU.

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