Spanish Supreme Court Ruling Removes Restrictions on Online Gambling Advertising

The Spanish Digital Games Association (Jdigital) is delighted with the Supreme Court’s ruling to partially invalidate the Royal Decree 958/2020. They view this as a favorable development for the industry, but they also wish to continue discussions with the government regarding regulations.

Jdigital is particularly pleased that the limitations on advertising have been removed. They consider this a “very positive” advancement, but they also want to proceed with caution.

The Supreme Court’s decision signifies that some of the provisions in the Royal Decree are no longer in effect. These provisions were implemented in November 2020. The court determined that some of these provisions lacked proper legal justification.

One of the provisions that was overturned was Article 13, which restricted advertising to new customers. This implies that companies can now advertise to individuals who have been registered for less than 30 days. They can also advertise in public areas and in locations where lottery tickets are sold.

The Supreme Court’s decision also indicates that celebrities can now participate in commercials again. The prohibition on gambling ads on platforms such as YouTube has also been lifted. Companies can now advertise to all social media users who are 18 years of age or older.

Jdigital extends a warm welcome to the Spanish Supreme Court’s decision, which it considers to be vital for the Spanish gaming sector. In November of 2023, the Spanish Constitutional Court turned down a prior appeal.

In a formal statement, Jdigital declared that the organization believes the Supreme Court’s ruling, which revoked several clauses of Royal Decree 958/2020 regarding communications for commercial gambling activities, is a very positive sign for the association and the online gambling industry.

“The decision demonstrates that the previous legislature implemented excessive restrictions on advertising in the industry, without adhering to safety measures and sufficient legal protection, as we argued in the appeal.”

Jdigital: Measures “Limited in Scope”
Jdigital emphasized the positive effects of the Supreme Court’s ruling for Spanish operators. However, the organization also cautioned that the measures still in place remain somewhat restrictive.

While some provisions of the Royal Decree were deemed to lack legal foundation, other limitations, such as the prohibition on advertising on television and radio between 1 a.m. and 5 a.m., are subject to the Audiovisual Communication Law and will therefore still be enforced.

Article 12 concerning sports sponsorship was not repealed. Operators are still prohibited from advertising, or using branding to promote activities, goods and services that can be seen by minors. Operators are still not permitted to sponsor sporting events or broadcasts.

Sporting venue sponsorships remain forbidden.

Jdigital cautions that prudence is required due to the restricted scope of the Supreme Court’s verdict. It highlights that the continued implementation of the advertising code exemplifies how advertising remains limited.

“This self-regulating mechanism restricts commercial communication in the sector and was modified in 2019 to bolster consumer protection, for instance, by limiting welcome bonuses to a maximum of €200 or prohibiting the appearance of celebrities under the age of 25 in advertising,” Jdigital clarified.

Jdigital advocates for enhanced communication in Spain.
Jdigital’s statement reiterates its desire to encourage stronger dialogue between the industry and regulatory bodies, collaborating to promote responsible gambling.

Moreover, Jdigital asserts that it supports efforts to establish a secure structure. It urges its associations to exercise caution, modify advertising, and strengthen their commitment to consumer protection.

Jdigital adds: “We hope that this resolution will ensure that, in this legislative term, the government can address the industry’s demands in the regulatory sphere and foster public-private dialogue.

“We aim to offer our expertise to establish proportionate standards to ensure that we are all defending and pursuing the objectives of responsible gambling.”

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