European Gaming Lawyer magazine Autumn 2015 | Page 12

High Court rules UK judgment for gambling debt is unenforceable in Ireland I n Sporting Index Limited v John O’Shea [2015] IEHC 407, the High Court allowed an appeal against an order of the Master of Irish High Court deeming enforceable a judgment, obtained in the County Court in London, in respect of losses arising from the defendant’s online spread betting account in the amount of €118,000. The High Court held that the applicable legislative regime in Ireland, namely the Gaming and Lotteries Act, 1956, prohibits the enforcement of betting contracts as they are manifestly contrary to public policy, and the court was thus prohibited from recognising the order of the London court. Facts The defendant (an Irish resident) opened an online spread betting account with the plaintiff, a U.K. based company specialising in sports spread betting. The defendant placed an unsuccessful bet on a Heineken Cup rugby match, and as a result, his online betting account became overdrawn, resulting in liability for gambling debts. 12 | European Gaming Lawyer | Autumn Issue | 2015 The plaintiff issued legal proceedings against the defendant in London, and obtained two judgments. The first judgment, in the amount of EUR €118,000 related to the defendant’s gambling debts. The second judgment concerned the plaintiff ’s costs in relation to a failed application by the defendant to set aside the first judgment, which was in the sum of STG £17,500. The Master of the Irish High Court made Orders deeming both judgments enforceable in Ireland, and it is these Orders which were appealed in the present case. The defendant alleged that the enforceability of the judgments would be contrary to Section 36(2) of the Gaming and Lotteries Act, 1956 (the 1956 Act), which prohibits the enforcement of betting contracts. The defendant relied on articles 34(1) and 34(3) of the Brussels Regulation (44/2001) as the basis for his assertion that the judgments should not be recognised in Ireland. The Law The Brussels Regulation, which provides for the effective enforceability of judgments in other Member States, allows for certain exceptions to the otherwise harmonious enforcement of judgments. The Regulation was incorporated into Irish law under the Jurisdiction of Courts and Enforcement of Judgments (Amendment) Act, 2012. Article 34(1) of the Brussels Regulation provides that a judgment shall not be recognised: “(1) if such recognition is manifestly contrary to public policy in the Member State in which recognition is sought” or “(3) it is irreconcilable with a judgment given in a dispute between the same parties in HY[X