The Malta Gaming Authority (MGA) has once again defended Article 56A of its gaming regulation – formerly known as Bill 55 – after the European Commission launched infringement proceedings against Malta over the clause.
The MGA has consistently rejected the main criticism of the clause, which is that only Maltese courts can enforce judgements against Maltese gambling companies.
As reported by the Times of Malta, the European Commission has issued a formal notice to Malta – and an accompanying letter to the Maltese government - over the “Bad Application of Regulation (EU) No 1215/2012 on jurisdiction and the recognition of enforcement of judgements in civil and commercial matters.”
The notice alleges that Malta has failed to adhere to European Union law by ensuring its courts cannot recognise and enforce foreign judgements against Maltese gaming companies.
The Commission added that Malta is shunning those who believe they have a claim from taking legal action.
The German gambling regulator, for example, was a vocal critic of Article 56A in 2023.
But in its latest defence, the MGA reiterated its view that the clause “does not impose a blanket ban on enforcing European judgments against Maltese-licensed gaming companies, nor does it shield them from legal action in other EU courts.”
“Rather, Article 56A confirms Malta’s long-standing public policy on online gaming and reflects existing rules under EU law – specifically the ordre public exception in the Brussels I Recast Regulation. It does not introduce new or separate grounds to reject foreign judgments.”
The MGA said its licensing framework allows operators to offer their services on a cross-border basis, “provided they have a justifiable legal basis for doing so and that they continue to comply with the Maltese regulatory framework.”
“As a Member State operating within the framework of EU law, Malta has consistently maintained the position that its gaming regulatory framework is in line with the principles established by the Court of Justice of the European Union (CJEU) and the fundamental freedoms enshrined in the Treaty on the Functioning of the European Union (TFEU), specifically the freedom to provide services and the freedom of establishment,” the regulator added.
“Malta’s public policy in the gaming sector is shaped by, and grounded in, these same principles.”
