Judgement: Minimum distances for betting shops and gambling halls lawful

A few days ago, Berlin's administrative court confirmed that betting shops in the German capital must keep a minimum distance of 500 metres from gambling halls. In doing so, it dismissed the complaints of several betting companies from Malta. But what are the practical implications of this ruling

There has been a long-standing dispute in Berlin over the minimum distance of 500 metres between betting shops and casinos. The Berlin Administrative Court (VG Berlin) has now confirmed in a ruling dated 13 July 2023 (ref. VG 4 K 468/21) that this regulation is lawful and therefore not objectionable - much to the annoyance of several Maltese betting operators. As recently as March this year, we reported on the overturning of decisions regarding the distance of gaming venues from children and youth facilities.

Berlin office rejects several applications for new betting shops

Since 2022, the State Office for Citizens' and Regulatory Affairs (LABO) has rejected numerous applications from various betting companies. These companies had planned to open more betting shops in Berlin. However, according to the relevant Berlin law implementing the State Treaty on Gambling, betting shops must be at least 500 metres away from gambling halls. This is calculated on the basis of the shortest walking distance, not as the crow flies. As this distance could not be guaranteed in the vast majority of cases in the capital, the applications were rejected.

Betting operators unable to understand official actions

The betting companies concerned argued that the refusal of betting shops was unconstitutional and contrary to European law. In particular, the companies saw themselves as being at a disadvantage compared to existing betting shops. In addition, the minimum distance requirement was not conducive to the protection of players or minors.

Now, however, the 4th Chamber of the Berlin Administrative Court has ruled that the 500-metre regulation should not be adopted. As a result, the appeals of the betting operators in two model complexes have been dismissed. 

The court is convinced that the minimum distances contribute to protecting the population from the dangers of addiction. In addition, the regulation is suitable, necessary and appropriate (= principle of proportionality). However, due to the fundamental importance of the issue, the VG Berlin allowed the appeal to the Higher Administrative Court of Berlin-Brandenburg.

Already in February 2022, an article published on GambleJoe dealt with the fact that the city of Freiburg had closed all gambling halls. However, the city had to accept some of the consequences and was also defeated in court.

Conclusion

It remains to be seen whether the betting companies concerned will appeal to the Higher Administrative Court of Berlin-Brandenburg. The fact is, however, that the VG Berlin has ruled that the existing minimum distances between betting shops and casinos are legal. The number of betting shops in Berlin is therefore likely to remain limited for the time being.

Image source: https://pixabay.com/de/photos/distanz-hände-meter-coronavirus-4917124/