In 2020, Berlin implemented a new gambling law that said that betting shops must be at least 500m walking distance from gaming halls which operate slot machines.

In addition, the regulation also said betting shops run by the same company must be at least 2,000m from each other.

The State Office for Citizens and Regulatory Affairs (LABO) has used the minimum distances requirement as a reason to block the planning permission of many betting venues in Berlin.

Two unnamed betting operators introduced a legal challenge to this rule. In their challenge, the businesses argued that minimum distances do not protect under-18s and players from problem gambling.

The operators also claimed that the regulation was unconstitutional and contrary to European law since it advantaged gaming halls over betting shops.

However, the Fourth Chamber of the Berlin Administrative Court dismissed all complaints made by the plaintiffs, arguing that the regulation was permitted by higher law.

The court ruled that state legislatures have the freedom to choose how to regulate gambling in their region and in any case the regulation did indeed serve to protect against addiction.

Additionally, the court said that the regulation did not violate European law. It used the example of the state legislatures treating different forms of gambling differently as proof of this.

The Berlin court also confirmed the separate rule that shops owned by the same company maintain a 2,000m distance from each other. The judges added the rule worked to prevent local monopolies and protect players from harm.

Berlin minimum distance restrictions

In June 2020, the city implemented the Berliner Spielhallengesetz, the law which set out the minimum distance requirements for gaming halls. The rule was extended to betting shops from 1 October the same year.

The law also said the gaming halls would not be permitted to operate between 11am and 3am, and were limited a maximum of three devices per arcade.

The law faced criticism from industry who characterised it as a boon to the illegal market.


Original article: https://igamingbusiness.com/legal-compliance/court-confirms-berlin-betting-shop-minimum-distance-law/

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