German Gamblers May Seek Loss Reimbursement From Operators

Recent court decisions in Germany and the EU indicate that German gamblers may be able to claim back losses from gambling companies that operated without a German license. This development could lead to numerous civil lawsuits, impacting operators active during the period when online gambling was prohibited.

What Happened

A German court, in alignment with a European Court of Justice (ECJ) ruling, has determined that gamblers can pursue compensation from gambling companies for losses incurred when online casinos and fruit machines were illegal in Germany. This finding enables individuals to seek restitution if they lost money to operators that lacked proper German licensing during the period of prohibition (DW (English)).

The precedent began to emerge in September 2025, when the Higher Regional Court Stuttgart sided with a plaintiff in Baden-Württemberg who sued Malta-based online betting company Tipico Games. The plaintiff had lost approximately €10,000 between 2020 and 2022. The court concluded that since online gambling was prohibited in Germany until 2021, the operator had received these funds without a legal basis and was therefore obligated to return them (DW (English)).

Tipico Games subsequently appealed to the Federal Court of Justice (BGH), Germany’s highest civil and criminal court. During an initial verbal hearing in mid-September, the BGH supported the plaintiffs’ core argument: gamblers possess the right to reclaim losses if the companies lacked a German license at the time the losses occurred. A final decision on this specific case is anticipated in January 2027 (DW (English)).

Key Details

• Online casinos and fruit machines were prohibited in Germany from 2008 to 2021, yet some operators, holding licenses from other EU countries, remained active (DW (English)).
• In April, the European Court of Justice ruled that EU law does not prevent a member state from prohibiting specific services or attaching civil consequences to such prohibitions, clarifying that a gambling license from one EU member state does not override national gambling laws in another (DW (English)).
• Thomas Dünchheim, a business lawyer specializing in gambling law at Greenberg Traurig, reported that law firms are actively gathering clients, including through the use of AI tools, to prepare for potential collective lawsuits against gambling companies (DW (English)).

Why It Matters

These judicial decisions could have substantial implications for gambling operators that conducted business in Germany without a valid domestic license during the prohibition period. The potential for numerous civil lawsuits could result in significant financial liabilities for these companies, as indicated by attorney Thomas Dünchheim, who compared the situation to the “Dieselgate lawsuits against VW” (DW (English)).

For individuals struggling with gambling issues, these rulings may offer a pathway to financial recovery, potentially providing relief for those who incurred substantial losses. However, psychologist Tobias Hayer, from Bremen University, noted an ambivalent attitude towards the situation, recognizing the relief it could offer but also highlighting the risk of recidivism if individuals receive large sums without addressing underlying problems (DW (English)). The legal landscape for gambling companies is undergoing a re-evaluation of past operational practices in unregulated or ‘gray zone’ markets (DW (English)).

What’s Next

A final decision by the Federal Court of Justice on the Tipico Games case is expected in January 2027 (DW (English)). This upcoming ruling will further define the legal framework for compensation claims. Law firms are currently in the process of accumulating clients for potential mass litigation, suggesting an increase in civil lawsuits against gambling companies that operated in Germany without proper licensing during the prohibition period (DW (English)).

Originally reported by DW (English)·Published 15 Oct 2026, 10:50