Dutch Gambling Authority vs Electronic Arts, and the future of loot boxes
Ren Otto
Monday 25th April 2022
After more than four years of discussion, there finally seems to be clarity about whether the FIFA Packs should be seen as gambling under Dutch legislation.
The Administrative Jurisdiction Division of the Dutch State Council ruled last month that FIFA's card packs do not qualify as a game of chance, because they form an 'inseparable part' of a game of skill: the FIFA Ultimate team mode.
As this court is the highest administrative court in the Netherlands, lodging an appeal is not an option for the Dutch Gambling Authority and this ruling is a landmark case for the treatment of loot boxes under Dutch gambling legislation.
This article takes a closer look at the ruling and its possible consequences for the global video games industry.
First, it is necessary to outline the Dutch legal framework.
The Dutch gambling laws are codified in the Dutch Gambling Act ("Wet op de Kansspelen").
Under this law it is prohibited to offer a game of chance to a person on Dutch territory, except in case the company that offers this game has received a permit of the Dutch Gambling Authority ("de Nederlandse Kansspelautoriteit").
René Otto, Van Iersel Luchtman
The Dutch legal definition of a 'game of chance' contains two criteria that have to be met:
The criterium that the participant has an opportunity to win a 'prize or premium' means that the participant should be able to obtain something of economic value in case that he/she/they wins. This could either be money or an item of economic worth.
The criterium that the outcome of the game is determined by chance means that the participant cannot influence the outcome of the game by his/her/their own actions.
One can imagine that there could be quite a few scenarios
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