THE FUTURE FOR AFFILIATES: IN A REGULATED EUROPEAN MARKET


newly regulated European environment...


As the remote gambling industry continues to face up to the challenges posed by the newly regulated European environment, Stephen Ketteley of DLA Piper discusses how affiliates, similarly, need to adapt.

THE EXTRAORDINARY SUCCESS of the remote gambling industry and, by proxy, the various affiliate marketing networks that service it, owes as much to basic online marketing capabilities as to affiliates’ open willingness to provide on-the-ground assistance in jurisdictions where operators would themselves fear to tread.

It is an established principle that where a particular jurisdiction takes issue with the supply of remote gambling services to its citizens, then it follows that the marketing of such services within a jurisdiction is likely to constitute an offence. But as the industry faces up to multi-jurisdictional regulation, the comfort that remoteness of supply provides continues to be eroded.

This article considers the consequences to affiliates of the march towards European regulation.

The on-going conflict between lawyers and ‘marketeers’

Leading up to the implementation, in Great Britain, of the Gambling Act in September 2007, the authorities made it clear that certain marketing messages aimed at drawing attention to certain remote gambling businesses were prohibited if they contained explicit references to money or money’s worth. As such, any mention of bonuses, jackpots and the like were off limits until the law finally came into force.

Always remembering that the remote gambling industry is comfortable with a myriad of local laws and the challenges of applying such laws to their activities offshore, many sought to ignore the aforementioned prohibitions and continued regardless. However, at the time, the mainstream media became quickly aware they may be publishing prohibited advertisements and committing an offence themselves.
 
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