Giulio Coraggio, a gaming, privacy, IT and commercial lawyer at DLA Piper, has moved to address his concerns over the Brexit’s impact that could have on companies that operate in the regulated Italian market.
It could be some time until the UK exits the European Union, however, concerns have been raised over the impact the move could have on gambling, including the Italian iGaming market.
Coraggio noted in a blog post on the Gamingtechlaw.com that current Italian law requires both online operators and AWP/VLT licensees to ensure the holder of the licence has a registered office in the European Economic Area (EEA) and that the technical infrastructure, software and hardware is in one of the EEA’s country.
The lawyer said that should the UK complete its exit from the EU, then it is also likely to leave the EEA which will mean that firms established in the UK may not meet the requirements set in Italian law.
Such firms will need to either relocate to a different country within EEA or assign their licence to an EEA company, while the technical infrastructure dedicated to the licence must also be moved to one of the countries within EEA.
“The issue is not relevant only for operators, but also for suppliers,” Coraggio said.
“The requirement to place the technical infrastructure dedicated to the licence in an EEA country might lead to the renegotiation of gaming supply agreements.”
Coraggio also said that there is no immediate panic for those in the Italian market, however, it is time to make a decision on their future.
“With the upcoming award of new betting shop and online gaming licenses, operators might take this opportunity to adopt a long term approach also taking into account the Brexit implications.”
“It might be possible that arrangements will be reached in order to ensure that the UK, or only Gibraltar, remain part of the EEA, but this situation of uncertainty is useful for the adoption a long term approach.”
