In a recent development, the Court of Appeal in England and Wales has granted International Game Technology (IGT) permission to discontinue its appeal against a July 2022 High Court decision regarding damages claims against the UK Gambling Commission. The High Court had previously dismissed IGT’s claims for damages, asserting that IGT lacked a case after the Fourth National Lottery license was awarded to Allwyn.
Background:
The legal saga began in early 2022 when the National Lottery announced Allwyn as the preferred applicant for the Fourth National Lottery license, prompting legal action from Camelot, in partnership with IGT. Despite ongoing legal challenges, Allwyn eventually acquired Camelot.
High Court Decision and IGT’s Appeal:
In July 2022, the UK High Court ruled against IGT’s claims for damages, concluding that the company did not have a viable case following the award of the Fourth National Lottery license to Allwyn. In response, IGT sought permission to appeal the decision, filing an application with the Court of Appeal in September.
Recent Development:
Surprisingly, the Court of Appeal has now accepted IGT’s request to discontinue its appeal. This unexpected turn of events raises questions about the future trajectory of the legal dispute and its implications for the Fourth National Lottery license.
Gambling Commission’s Position:
The Gambling Commission maintains its stance, asserting that the competition for the Fourth National Lottery license was fair and conducted in accordance with statutory duties. The Commission emphasizes its commitment to implementing the decision for the benefit of participants and good causes, with the Fourth National Lottery License set to be granted on February 1, 2024.
Impact of Allwyn’s Acquisition of Camelot:
The acquisition of Camelot by Allwyn adds a layer of complexity to the ongoing legal saga. The consolidation of two major players in the lottery industry may have far-reaching implications for the market landscape and regulatory considerations.
Gamesys Fine:
In a separate development, online gaming operator Gamesys has been fined £6 million ($7.6 million) by the Gambling Commission. The penalty is attributed to Gamesys’ shortcomings in social responsibility and anti-money laundering (AML) measures, underscoring the regulatory focus on ensuring operators adhere to responsible gaming practices.
The resolution of IGT’s appeal withdrawal adds a new chapter to the ongoing legal battle surrounding the Fourth National Lottery license. The Gambling Commission’s unwavering commitment to the fairness of the competition and the impending license award on February 1, 2024, will be closely monitored. Additionally, the fine imposed on Gamesys highlights the regulatory scrutiny facing operators in the online gaming sector, emphasizing the importance of robust social responsibility and AML measures. As the industry navigates these legal and regulatory challenges, stakeholders await further developments that could shape the future landscape of the UK lottery and online gaming markets.