German court rulings could open the door to refund claims over losses at unlicensed online casinos

German players who lost money at unlicensed online casinos and slot sites may be in a stronger position to recover it, following a series of court decisions that could expose operators to large numbers of compensation claims.

The best-known case involves Malta-based Tipico Games. In September 2025, the Higher Regional Court of Stuttgart ruled for a player who had lost about EUR 10,000 between 2020 and 2022. The court found that the operator had received the money without a valid legal basis, because online gambling was prohibited or restricted under the rules in force at the time. Tipico appealed to the Federal Court of Justice (BGH). At an initial oral hearing in September 2026, the court appeared to back a central argument of the player, namely that losses may be recoverable where the operator lacked the required German licence. A final decision may not come until January 2027.

The dispute relates to Germany's restrictions on online gambling before a new regulatory framework took effect in 2021. Some operators held licences from other European Union states, but these did not automatically authorise them to offer services in Germany. In April, the European Court of Justice ruled that EU law does not stop member states from banning certain gambling services or attaching civil-law consequences to breaches of those bans, which reinforced the legal basis for refund claims.

Thomas Dünchheim, a gambling law specialist at Greenberg Traurig, told DW that lawyers are already gathering potential claimants, some of whom lost tens of thousands of euros. He likened the situation to mass compensation cases in other sectors and suggested that litigation funders could bundle individual claims into larger proceedings. He also noted that operators may argue that players who knowingly took part in unlawful gambling should not be able to recover their losses, a point that could become a major source of dispute.

The prospect of refunds has also prompted comment on player harm. Tobias Hayer, a psychologist at the University of Bremen, said online gambling is especially risky because it is anonymous, available around the clock, uses frictionless cashless payments and allows high-frequency play. Refunds could bring relief to people who experienced harm, he said, but a large payout without treatment of the underlying addiction could raise the risk of relapse.

The financial impact on operators remains uncertain. German courts are still working out the legal principles for such claims, and recent rulings do not guarantee that every claimant will be compensated.