Casino Enterprises (Pty) Ltd v Gauteng Gambling Board and Others (SCA) [2011] ZASCA 155; 2011 (6) SA 614 (SCA); [2011] 4 All SA 573 (SCA) (28 September 2011)

Casino Enterprises (Pty) Ltd v Gauteng Gambling Board and Others (SCA) [2011] ZASCA 155; 2011 (6) SA 614 (SCA); [2011] 4 All SA 573 (SCA) (28 September 2011)

The court held that gambling takes place where the player is located and initiates the bet, not where the casino's servers are situated. The appellant's internet casino, though operated and licensed in Swaziland, makes gambling available to South Africans in South Africa. The act of placing a stake and activating the game occurs in South Africa, thereby contravening the National Gambling Act and Gauteng Gambling Act, as the appellant is not licensed under either statute. Advertising such gambling activities in South Africa is also unlawful. The court rejected the argument that the statutes do not apply to internet gambling, finding that the legislative intent and statutory language...

Citation
[2011] ZASCA 155
Parties
Appellant: Casino Enterprises (Pty) Ltd; Respondent: Gauteng Gambling Board; Respondent: National Gambling Board; Respondent: Minister of Trade & Industry
Court
Supreme Court of Appeal
Jurisdiction
South Africa
Judgment Date
28 September 2011
Case Number
653/10
Procedural Posture
Civil Appeal / Appeal From North Gauteng High Court (pretoria), Judgment of Tuchten J
Outcome
Appeal dismissed.
Judges
Heher, Ponnan, Seriti, Plasket, Petse
Legal Topics
Internet Gambling, Licensing of Gambling Activities, Extra Territorial Application, Advertising Restrictions, Interactive Gaming, Statutory Interpretation
Commercial and Corporate Land and Property Internet Gambling Licensing of Gambling Activities Extra Territorial Application Advertising Restrictions Interactive Gaming Statutory Interpretation

Case Brief

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Parties

Casino Enterprises (Pty) Ltd

Appellant

Gauteng Gambling Board

Respondent

National Gambling Board

Respondent

Minister of Trade & Industry

Respondent

Procedural Posture

Civil Appeal / Appeal From North Gauteng High Court (pretoria), Judgment of Tuchten J

Legal Issues

  1. 1 Does online gambling conducted by South African residents with a casino based in Swaziland contravene South African gambling laws?
  2. 2 Does the operation of an internet casino from Swaziland constitute making gambling available in South Africa under the National Gambling Act and Gauteng Gambling Act?
  3. 3 Is advertising of such internet casino activities in South Africa unlawful under the relevant statutes?

Ratio Decidendi

The court held that gambling takes place where the player is located and initiates the bet, not where the casino's servers are situated. The appellant's internet casino, though operated and licensed in Swaziland, makes gambling available to South Africans in South Africa. The act of placing a stake and activating the game occurs in South Africa, thereby contravening the National Gambling Act and Gauteng Gambling Act, as the appellant is not licensed under either statute. Advertising such gambling activities in South Africa is also unlawful. The court rejected the argument that the statutes do not apply to internet gambling, finding that the legislative intent and statutory language...

Court Disposition

Appeal dismissed.

Orders

  • The appeal is dismissed.
  • No order as to costs.