Premier Doug Ford’s government is seeking a precedent-setting court ruling on whether regulated online gaming sites in Ontario can legally allow gamblers in the province to play with bettors outside Canada.
Ontario case regarding online poker, DFS player pool will be heard in Toronto courtroom this fall
The case is scheduled to be heard in a Toronto courtroom this fall. This subject became a hot topic when it was prompted by an order-in-council from Ford’s cabinet earlier this year.
According to CBC’s Mike Crawley, the cabinet order asks the Ontario Court of Appeal to rule on this question: “Would legal online gaming and sports betting remain lawful under the Criminal Code if its users were permitted to participate in games and betting involving individuals outside of Canada?”
Ontario and other provinces are missing out on hundreds of millions of dollars in wagers on online poker and daily sports fantasy betting sites. Both cannot legally allow Ontarians to mix with their global pools of players.
“You could see, I think, a significant increase in the poker business in the province,” said Paul Burns, president and CEO of the Canadian Gaming Association (CGA). The CGA represents the industry and is an intervenor in the court case.
Online gaming companies argue that Ontarian poker players skip regulated sites
Furthermore, online gaming companies argue that Ontario poker players are avoiding the regulated sites. Instead, they’re opting for international ones in search of higher stakes games.
The companies say a ruling in favor of allowing Ontario players to mix with non-Canadians would bring those gamblers into the regulated system. As a result, it would bring more revenue to the province.
A spokesperson for Ontario Attorney General Doug Downey says the province is bringing the online gambling reference case to get clarity on whether a model that permits international play would be lawful.
“The federal Criminal Code is not sufficiently clear on whether Ontarians can participate in online gaming with players in other countries,” said Downey’s press secretary Jack Fazzari in an email to CBC News.
“It’s important that we get this right to provide the most legal certainty to operators and players as this new industry grows in Ontario,” Fazzari said.
Model proposed by Ontario would prohibit players from other provinces from participating
Additionally, the model proposed by Ontario would prohibit players from other provinces from participating. It would apply to offshore gamblers as well. This would still be a step in the right direction for bettors.
However, multiple lottery and gaming agencies oppose Ontario’s plan. In a court document, they said it “could lead to the further proliferation of illegal online gambling.”
Those that manage gambling in British Columbia, Saskatchewan, Manitoba, and the four Atlantic provinces oppose Ontario’s measure. Supporters argue that the current system in place drives gamblers to the black market.
Approximately 86 percent of online gamblers in Ontario are currently using regulated sites. This is according to a recent report by the Alcohol and Gaming Commission of Ontario.
Before the launch of iGaming Ontario, the report estimates that 70 percent of online gambling occurred on unregulated sites. It was when the only legal site in the province was Ontario Lottery and Gaming’s PlayOLG.
European countries that allow international participation in online poker include Germany, Sweden, and the U.K. Ontario launched the first regulated sports betting market in Canada on April 4, 2022.
