To operate in various gambling markets, particularly in Europe, operators require appropriate licensing. One jurisdiction renowned for its stringent gambling regulations is Norway. The nation’s gambling sector is tightly controlled by its governing bodies. In 2019, the domestic watchdog, Lottstift, challenged Trannel International Limited, a subsidiary of one of the globe’s largest gambling entities, Kindred Group, to cease its services to Norwegian customers.
Trannel, which operates the Unibet, Mariacasino, Storspiller, and Bingo brands, disputed this directive and sought an appeal. However, both the Ministry of Culture and Equality and the Lottery Board dismissed this appeal in January and March 2020, respectively. Subsequently, in February 2022, Lottstift handed Trannel a compulsory fine. By June of the same year, Oslo District Court validated the Authority’s decision to impose a suspension on Trannel.
Consequently, Lottstift enforced a compulsory fine of NOK 1.2 million (equivalent to $108,600) per day on Trannel. The regulatory authority clarified that this penalty will remain applicable until Trannel terminates its “unauthorized gambling services in Norway.” Predictably, Trannel launched an opposition to the penalty, which both the Ministry of Culture and Equality and the Lottery Board rejected. Now, the Borgarting Court of Appeal has also dismissed Trannel’s appeal, coinciding with the Lottery Authority’s stance, thereby effectively closing the chapter on this protracted legal dispute.
Lottstift Impels the Firm to Leave Norway
The Borgarting Court of Appeal’s decision, recently announced, validates Lottstift’s original directive for the company to retract from the Norwegian gambling industry. According to Anette Trettebergstuen, Norway’s Minister for Culture and Equality, this latest court ruling vindicates that “the Norwegian exclusive rights model aligns with European Economic Area (EEA) law.” She spoke candidly about the litigation outcomes, declaring that the results were expected.
“The outcome isn’t exactly unexpected, as this lawsuit extends the trend of the state consistently receiving unwavering support in previous legal disputes in the gambling sector.”
Anette Trettebergstuen, Norway’s Culture and Equality Minister
The latest court ruling also garnered remarks from the director of the Lotteries and Foundations Authority, Atle Hamar. He emphasized that the court decision underscores the Authority’s justified imposition of a suspension on Trannel. Reflecting on the court’s verdict, Lottstift expects to witness the company’s full retreat from the Norwegian market, concluded Hamar.
