Second mass claim against online casinos: gamblers demand millions in return
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30 Sep 2024 •
Reading time: 3 minutes Online casinos in the Netherlands are in trouble again. After a series of individual lawsuits against gambling companies, a second major mass claim is now coming. This time, it is big names such as Unibet, Bwin and PokerStars that have to defend themselves. Gokverliesterug, an advocacy organization, announced last Wednesday that it would start a collective lawsuit, which makes it increasingly likely that gamblers will get their lost money back.
Summary
- A second class action lawsuit is in the works against online gambling companies.
- The gambling companies may have to pay back a lot of money to gamblers who suffered losses before the legalization of the online gambling market.
- However, the lawsuits could still take years.
Gamblers want money back from before legalization
In the past two years, lawyer Benzi Loonstein in particular has won a number of lawsuits for people who want their lost money back from before the legalization of the online gambling market in October 2021. Major foreign gambling companies such as Unibet and PokerStars offered their services without a license, which was illegal. As a result, some judges ruled that the agreements between gamblers and these gambling sites are invalid, and that the lost amounts must be repaid.
The most notable case so far was a ruling against Unibet, in which the court in Overijssel forced the gambling company to pay back €676,224 to a gambler. This has opened the door to more claims, as an estimated million Dutch people gambled at illegal casinos before legalisation. If all losses have to be repaid, the amount could increase considerably.
Gokverliesterug starts new mass claim
Now that Gokverliesterug is preparing a second mass claim, even more gamblers can join. The organisation, founded by the British Dan Banton and Rob Ridge, is working together with the Dutch law firm Finch. Their plan is to hold gambling companies such as Unibet and PokerStars responsible for the losses of gamblers who gambled illegally before 2021. Because several courts have already ruled that the agreements between gamblers and these illegal sites are invalid, they now mainly want to determine how much money must be repaid.
Lawyer Koen Rutten of Finch explains that this process can be faster than usual. “Normally, the first phase of a lawsuit takes a long time because a lot still needs to be determined, but in this case, several judges have already ruled that gamblers are right,” says Rutten. “Now we just want to calculate how much money needs to be repaid.”
Supreme Court must make decisions
However, the outcome of the lawsuits is not yet certain. Some courts, such as the Breda court, have ruled differently. They decided in a case against Bwin that the gambling company does not have to pay. As a result, the courts of Amsterdam and Haarlem have asked the Supreme Court to make a final ruling. This ruling will determine whether the gambling companies are obliged to repay all losses.
Lawyer Rutten is positive about the outcome. “We trust that the Supreme Court will decide that gamblers should get their lost money back,” he says. But not everyone agrees. Justin Franssen, the lawyer representing the gambling companies, warns that it could take a long time. “Even if the Supreme Court rules in favor of the gamblers, that does not mean that the case is over. It could even end up at the European Court of Justice, and then it could take years.”
Fortunately, Gokverliesterug has a litigation funder behind it. This means that the interest group has enough money to fight the long legal battle. “It is almost impossible for an individual to hold out against large gambling companies that continue to resist,” says Rutten. “But with a litigation funder we can continue, even to the European Court if necessary.”