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A Little Recap: 4

The Department of Justice seems wholly focused on enforcing the UIGEA against European companies. That fact has caused a bit of an uproar in the European Union and after the EU online casino gambling companies petitioned the EU for an investigation into the US’s policies, the EU ruled that the US government is not only unfairly targeting European internet gambling companies, but that the UIGEA is in direct violation of international trade agreements. This conclusion is actually not a new one, right after the UIGEA passed into law the World Trade Organization investigated the case at the bequest of Antigua and Barbuda and found that the UIGEA was illegal according to the 1994 GATS Treaty.

The US Trade Representatives have almost wholly denied the situation and claim that US is acting fully within its rights. Most recently though the EU has announced that it will begin negotiations with the US in hopes of a resolution in the form of new and less protectionist US online casino gambling regulations. But if that doesn’t work, the EU plans to take the case to the WTO and launch a formal case against the US government for the implementation and enforcement of the UIGEA.

One interesting thing to note about the US and EU relationship over the online casino gambling issue –they have been markedly tense. The two nations negotiated a close settlement not long after the UIGEA came into effect, but those trade compensations went to benefit the EU as a whole, the EU registered internet gambling companies want their own form of payment for the damage that the UIGEA specifically has done to the internet gambling groups and industry affiliated companies.