The Spanish Digital Games Association, known as Jdigital, has declared the Supreme Court’s decision to partially uphold its appeal against Royal Decree 958/2020 a positive development for the gaming sector. However, the association also emphasized the need for continued communication with regulatory bodies.
Jdigital expressed a strong sense of optimism regarding the repeal of advertising limitations in Spain, but also urged a cautious approach. On Wednesday, March 10, the Supreme Court partially upheld Jdigital’s appeal, overturning several provisions within Royal Decree 958/2020, which came into effect in November 2020. The Supreme Court determined that several stipulations in the Royal Decree lacked the necessary legal foundation.
Among the measures overturned was Article 13, which addressed targeted advertising directed towards new customers. Operators will now be permitted to market their services to players who have not been associated with them for a period exceeding 30 days. They are also granted the ability to advertise in public spaces and in locations designated for the sale of lottery tickets.
The Supreme Court’s ruling also signifies that celebrities can once again participate in gambling advertisements. Additionally, the prohibition on gambling advertisements on video sharing platforms such as YouTube has been revoked. Operators are now permitted to advertise to all social media users who are 18 years of age or older.
Jdigital applauds the Spanish High Court’s verdict, which it considers vital for the Spanish gaming sector. The court dismissed an appeal to the Constitutional Court in November 2023.
In a statement, Jdigital stated that the High Court’s decision, which overturned several provisions of Royal Decree 958/2020 concerning communications for commercial gambling activities, is a favorable sign for the organization and the online gambling industry.
“The ruling indicates that the previous legislature enforced excessive constraints on advertising in the sector, which did not adhere to safety measures and appropriate legal safeguards, as we argued in the appeal,” the statement said.
Jdigital: Measures “limited in extent”
Jdigital emphasized the beneficial effects of the High Court’s ruling for Spanish operators. However, it also cautioned that some limitations remain in place.
While some measures in the Royal Decree were deemed to lack legal foundation, other restrictions, such as the prohibition on advertising on television and radio between 1 am and 5 am, are mandated by the Audiovisual Communication Law and will therefore persist.
Article 12 on sports sponsorship was not revoked. Operators still cannot promote or utilize their brands in activities, goods, and services that can be observed by minors. Operators still cannot sponsor sporting events or broadcasts.
Support activities connected to athletic venues are still forbidden.
Jdigital cautions that, due to the “narrow extent” of the High Court ruling, “prudence is required.” It mentions the advertising code of conduct being implemented as an illustration, suggesting that promotion remains restricted.
“This self-governing mechanism limits the industry’s commercial communication and was altered in 2019 to enhance consumer protection, for instance, limiting welcome rewards to a maximum of €200, or forbidding celebrities under 25 from appearing in advertising,” Jdigital explains.
Jdigital advocates for improved communication in Spain.
Jdigital’s statement reiterates its desire to encourage stronger interaction between the industry and regulators, collaborating to promote responsible gaming.
Moreover, Jdigital states that it supports efforts to establish a secure structure. It urges its associations to exercise caution, adjusting advertising to strengthen their commitment to consumer protection.
Jdigital adds: “We hope this resolution will help ensure that, in this legislative term, the government can meet the industry’s demands in the regulatory field and promote public-private dialogue.
“We want to provide our expertise to develop proportionate standards to ensure the responsible gaming goals that we jointly uphold and pursue.”
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