The Spanish Digital Games Association (Jdigital) has conveyed contentment with the Supreme Court’s partial backing of their appeal against Royal Decree 958/2020, but also advocated for continued discussions with regulatory bodies.
Jdigital characterized the nullification of advertising limitations in Spain as “highly favorable” but cautioned for prudence.
The Supreme Court partially upheld Jdigital’s appeal on Wednesday (March 10). The decision reversed several stipulations of Royal Decree 958/2020, which came into force in November 2020. The Supreme Court determined that certain provisions within the Royal Decree lacked the required legal foundation.
The overturned provisions encompass Article 13, which addressed targeted advertising to new patrons. Operators will be permitted to market to players who have established accounts for less than 30 days once more. They can also advertise in public areas specifically designated for the sale of lottery games.
The Supreme Court’s decision also implies that celebrities can once again feature in advertisements. Moreover, the prohibition on gambling advertisements on video-sharing platforms such as YouTube has been overturned. Operators can also once again advertise to all social media users aged 18 and above.
Jdigital extends its support for the Spanish Supreme Court’s verdict, which it deems essential for the Spanish gaming sector. The group expressed its approval following the dismissal of its appeal by the Constitutional Court in November 2023.
In a statement, Jdigital declared that the Supreme Court’s judgment was highly favorable, which overturned numerous provisions of Royal Decree 958/2020 concerning the promotion of commercial gambling activities, a positive development for the association and the online gambling industry.
“The decision demonstrates that the regulation of advertising for the industry was excessively restrictive and limiting in the previous legislative period, without upholding safety measures and sufficient legal protection, as we argued in the appeal,” the statement noted.
Jdigital: Measures “Narrow in Scope”
Jdigital emphasized the beneficial effects of the Supreme Court’s ruling for Spanish operators. However, it also cautioned that some of the measures that remain in force are still somewhat limiting.
While certain provisions of the Royal Decree were deemed to lack legal foundation, other restrictions, such as the prohibition on advertising on television and radio between 1:00 a.m. and 5:00 a.m., are covered by the Audiovisual Communication Law and thus remain in place.
Article 12 regarding sports sponsorship was also not revoked. Operators are still prohibited from advertising or using their brands to promote events, products, and services that may be viewed by minors. Operators are still not permitted to sponsor sporting events or broadcasts.
The prohibition on sponsorship activities linked to athletic venues remains in effect.
Jdigital emphasizes that due to the limited scope of the Supreme Court’s decision, a cautious approach is necessary. It highlights that the continued enforcement of the advertising code exemplifies the ongoing restrictions on advertising.
“This self-governing mechanism restricts the industry’s commercial communication and was adjusted in 2019 to enhance consumer protection, such as limiting welcome bonuses to a maximum of €200 or forbidding celebrities under 25 from appearing in advertisements,” Jdigital explained.
Jdigital advocates for improved communication within Spain.
Jdigital’s statement reiterates its commitment to fostering stronger dialogue between the industry and regulatory bodies, collaborating to promote responsible gaming.
Moreover, Jdigital asserts that it supports efforts to establish a secure and dependable framework. It urges its members to exercise caution and modify their advertising to strengthen their dedication to consumer protection.
Jdigital added: “We anticipate that this resolution will ensure that, during this legislative term, the government can address the industry’s demands in the regulatory domain and encourage dialogue between the government and the private sector.
“We aim to provide our expertise to develop proportional standards to guarantee the responsible gambling objectives that we all share and pursue.”
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