With more and more international jurisdictions studying the viability of regulating Internet gambling, the timing couldn't be better for the Swiss Institute of Comparative Law's upcoming
conference.
On Feb. 12 and 13, the institute will explore the various approaches toward Internet gambling policy at its conference, "Law of Internet Gambling: From National Regulations to Global Solutions," in Lausanne, Switzerland. The event will also include an invitation-only session in which Swiss regulators will meet with speakers to discuss I-gaming policy options in Switzerland.
Prof. Bertil Cottier, the deputy director for the institute and organizer of the event, said the idea behind the conference was to give officials an informal place to discuss the challenges and ideas that other countries have in dealing with the Internet gaming industry. Top regulators from all over Europe are already scheduled to attend.
"Many of these issues aren't specific to e-gaming," Cottier said. "Many of them are e-commerce-wide, but there are still many issues that are very specific to Internet gambling and there is an
equal amount of different approaches on how to best handle each issue."
Cottier stressed that the goal of the conference isn't to propose any global, or even European-wide, method of regulating the industry, rather it's simply to show countries as many options as
possible.
One of those options is the free-market approach, in which government has no vested interest in the running of casinos or gaming operation but puts regulatory codes and practices in place to
monitor the industry.
In the European community, the United Kingdom is leading the way in this area. When England completes the overhaul of its gaming policy, the government will ease its restrictions and open up the market to new operators. Internet casinos will likely be part of the new regime, and the UK Department for Culture, Media and Sport is overseeing the transition.
Clive Hawkswood, an official with the DCMS, will brief seminar attendees on the overall process and discuss why they chose the free-market approach.
"It is more complex than just a free market, but I guess in terms of simplification that is what it is," he said. "We just feel that with the Internet, you are dealing with a global marketplace, not just people within your borders. It is the best approach for us; that doesn't mean it is the best approach for everyone else."
At the other end of the spectrum is Denmark, which has actively taken a protectionist approach. Peter Sehestedt from the Danish Ministry of Finance will be present to lay out the Danish position.
Cottier said it will be interesting to have advocates of polar-opposite approaches to the industry speaking in the same forum.
Also on the agenda is a special seminar on the cross-border legal issues faced by operators and regulators. Highlighting the special track will be French lawyer Thibault Verbiest, who will focus on advertising laws and regulations that affect how cross-border business is conducted. One of Cottier's contemporaries at the institute, Martin Sychold, will additionally discuss the challenges of enacting a global approach without cross-border player protection standards.
The institute is hoping for more than 100 regulators and industry officials at the event. Cottier said it will be the first conference to deal exclusively with the legal and regulatory issues arising out of Internet gambling.
Some of the most important issues of Internet law and technology affecting cross-border operations will be addressed by internationally recognized experts, Cottier said. He predicts as more and more First World jurisdictions enact regulations for Internet gambling, many of the offshore jurisdictions that currently dominate the industry will be pushed out.
"The consumers will want to go with the jurisdictions where they know their money is safe and the operators are accountable for their actions," he said. "Likewise the operators will return because of technology advantages and tax structures that may match what is offered to them at the offshore jurisdiction."
Cottier also pointed out that if a transnational online gambling industry is to thrive in the face of diverse regulatory, ethical and social concerns, the negotiation of some form of international agreement will have to be seriously considered for the reconciliation of conflicting national laws. The upcoming conference aims to get the ball rolling for such a process.
"It might kick something off but it might not," he said. "We aren't going to force anything, but I think demand might be such that it is a natural outcome of the conference. Many believe it is just a matter of time before there is a global approach."