European Gaming Lawyer magazine Spring 2014 | Page 10

Revised Dutch remote gaming bill notified to Brussels ahead of parliamentary process By Frank Tolboom and Dr Alan Littler, Kalff Katz & Franssen attorneys at law, Amsterdam, The Netherlands S Frank Tolboom Dr Alan Littler ooner than expected the Dutch government notified, on 5 March 2014, a revised version of the remote gaming bill (“notified bill”) to the European Commission (“EC”). The standstill period ends on 6 June 2014, although given the legislative process ahead the bill will not be adopted before this date anyway. It is expected that the bill will enter into the political arena in The Hague just before the summer and plenary debates will follow later this year or even in the beginning of next year. At the time of writing the EC has not made an English translation available of the 170+ page bill and the accompanying explanatory memorandum. Therefore, this article will set out some of the key features and changes as incorporated by the Ministry of Security and Justice (“Ministry”) following the consultation period which resulted in almost 90 submissions from various stakeholders. On a final note, we will have a look into our crystal ball and discuss next steps, including an estimated legislative timetable until licensing commences. Background Although the Netherlands tends to be quite liberal in certain areas such as its soft drugs policy and strives to be the frontrunner in Europe in other areas such as innovation, technology and digitalisation, it is one of the last boys in class when it comes to regulating remote gaming. Currently, legislation, the Wet op de kansspelen (Betting and Gaming Act, “Act”), which dates back to 1964, maintains a ‘prohibited unless licensed’ approach to all forms of gaming, subject to some minor exceptions, and at present there is still no legal basis for remote gaming licences to be awarded by the Gaming Authority (“Kansspelautoriteit”). Therefore there is no true remote gaming offering available in the Netherlands which is lawful under Dutch law. The current government is finally driving the introduction of a remote gaming licensing regime 10 | European Gaming Lawyer | Spring Issue | 2014 and in May 2013 the Ministry, along with colleagues in Finance, published a draft bill for consultation (“consultation text”). It is important to note that the bill does not seek to introduce a new law to repeal and replace the existing Act but rather to amend it so that remote gaming can be regulated and licensed in the Netherlands, as of 2015. The bill will also introduce changes to the Betting and Gaming Tax Act. The bill will introduce a regulatory framework with many details being fleshed out in forthcoming secondary legislation. In the months after the consultation process, the Ministry digested some 90 consultation submissions from various stakeholders and revised the draft bill where it deemed necessary. We will discuss these changes below. The revised version of the bill was approved by the Council of Ministers (“Ministersraad”) on 14 February 2014 and subsequently has been sent to the advisory body of the government, the Council of State (“Raad van State”), to be reviewed. Once the Council of State has delivered its advice, the bill may be amended again and subsequently, with the accompanying advice, will then go to the House of Representatives (“Tweede Kamer”). The Ministry already took a procedural hurdle through notifying the bill to the EC on 5 March 2014; at this stage the notified bill entered into the public domain. In the transitional period until regulation and licensing the Gaming Authority has publically stated that it is prioritising its enforcement efforts. The Gaming Authority is focussing on operators who are crossing the so-called three “red lines” and seeks to take enforcement measures against entities offering remote gaming in the Netherlands where they: i) offer remote gaming via a website in the Dutch language; and/or ii) offer remote gaming via a website using a .nl extension, and/or; iii) advertise their services via radio, television or print media advertising directed towards the Netherlands. Further to pressure from incumbent operators and increased political scrutiny on whether this policy should not just be perceived as a policy of