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The Supreme Court of Austria decides: Physician with gambling addiction recovers nearly 2.8 million euros from Bet-at-home

The Austrian Supreme Court (SCH) has decided that a doctor with a gambling addiction is entitled to recover significant gambling losses.

SymClub
Aug 27, 2024
2 min read
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Medical professional to receive reimbursement worth 2.8 million euros from Bet-at-home for incurred...
Medical professional to receive reimbursement worth 2.8 million euros from Bet-at-home for incurred betting losses

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The Supreme Court of Austria decides: Physician with gambling addiction recovers nearly 2.8 million euros from Bet-at-home

The Highest Austrian Court (SCA) has declared that the publicly traded gaming corporation Bet-at-home needs to reimburse a physician, deemed a gambling addict and incapable of managing business affairs, a sum of approximately 2.8 million euros in gaming losses.

Decision Based on Various Reasons

The SCA's ruling that Bet-at-home must refund the physician's losses of around 2.8 million euros can primarily be traced back to a violation of Austrian gambling regulations, as reported by the gaming industry source iGaming Business.

The SCA found that Bet-at-home's online casino, on which the physician lost a large sum between August 2018 and July 2020, was not in compliance with Austrian laws and thus, deemed void retrospectively. It wasn't until 2021 that the company finally withdrew from the Austrian market, operating illegally until then.

The physician himself was reported in the news outlet puls24.at, discussing his severe gambling addiction:

These online games can be incredibly addictive. I played every free minute and lost a fortune over the years. It took me years to overcome my addiction and realize that I had lost millions. – Klaus L., Doctor, Source: puls24.at

Besides operating illegally, Bet-at-home is also responsible for allowing such extensive losses from a clearly addicted player. The court declared the physician incapable, making the refund process more challenging than the accusation of illegal gambling alone.

SCA Examines Bet-at-home's Corporate Structure

The initial verdict, handed down in 2022, targeted Bet-at-Home Entertainment Ltd., based in Malta. The company had already set aside funds for the refunds.

However, the defendant company eventually filed for bankruptcy and entered liquidation. Bet-at-home AG, the parent company, may have hoped that the claims from the judgment would vanish with the company.

However, the SCA has now determined that Bet-at-home AG, in partnership with Bet-at-home Internet Ltd., must accept liability. The rationale provided is that these companies supported the offer and profited from the profits. Consequently, the interconnected companies cannot avoid responsibility.

Challenging Times for Bet-at-home

The hefty fine could considerably impact Bet-at-home's annual earnings. So far, the company had projected earnings of up to 2.5 million euros.

But Bet-at-home is faced with more challenges than just in Austria. In the UK, the license has been suspended, while Switzerland demands millions in taxes after a verdict from the Swiss Federal Court.

Germany may also present concerns. Here, the proceedings are held in abeyance until the European Court of Justice (ECJ) renders a landmark ruling on the taxation of sports betting losses.

The news of the SCA's decision to make Bet-at-home reimburse the physician's gaming losses of approximately 2.8 million euros has sparked widespread discussion in various news outlets.

Despite withdrawing from the Austrian market in 2021, Bet-at-home continues to face legal consequences for its non-compliance with Austrian gambling regulations, as reported by numerous news sources.

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