The Notion of Skill Games in Germany

1. Legislative framework in Germany

i. A relatively recent legalization of the gaming’s field The precedent founding the distinction between skill game and game of chance in Germany consists of a court decision of the German Reichsgericht in 1906 . The Reichsgericht, lacking detailed reasoning, found that poker must be classified as a game of chance because chance plays a predominant role in the game's outcome.

The gaming laws have nevertheless experienced a great deal of turbulence in recent times. Adding to the confusion, each state (Lander) has the competence to regulate gambling. In fact, gambling law in Germany is traditionally considered to be linked to the public order and is therefore regulated at state level, i.e. by each of the federal states (‘Laender’) of Germany. Generally, gambling is a matter of state law and executed by the respective authorities in each of the 16 German federal states. As an example, land-based casinos in many states are licensed and supervised by the respective Ministries of the Interior whereas slot machine gambling in local gaming halls is supervised by the municipal offices . Some forms of betting are allowed in some states while others are banned in others. It's also appears that newly elected governors are not afraid to totally modify the gaming laws enacted by their predecessors. Until 2008, gambling was unregulated in Germany. The laws at the time didn't address the internet in any way. Things changed when the Glücksspielstaatsvertrag was passed in 2008 (Interstate Treaty on Gambling). In order to protect consumers from gambling addiction, and to avoid fraud and analogous infractions, this Treaty effectively prohibited all types of online gambling other than sports betting and horse racing offered by state-owned entities. According to the Treaty, gambling licenses are only granted to institutions or companies that are under control of the German Federal State. There were no provisions for online gambling regulation.