França: Jogos de fortuna ou azar em França: visão geral

General definition

Traditionally, French law classifies gambling contracts into the “random contracts” category, which are defined as mutually agreed contracts with consequences (being profits or losses for one or both parties) depending on an uncertain event. The random contracts category includes (Article 1964, Civil Code):

For games or wagers, the uncertainty relies on the chance of winning or on the risk of bearing a loss.

The legal criterion that distinguishes gambling from other random contracts is the existence of a wager on chance (the fact that a party bets money on the chance of the other party). In other random contracts, the money put at “risk” is the consideration for a service.

However, recent changes in French law have tended to blur the lines and skill games have entered the scope of the prohibition against gambling products.

The French legislator has aligned and codified the definitions for both online and land-based gambling products (Articles L.322-2 and L.322-2-1, Security Code). Games of chance include “any operation offered to public participation, regardless of the designation it may receive, in order to trigger the hope of a gain which would be acquired, even partially, through chance and for which the operator requires from participants a financial contribution” (Article L.322-2, Security Code). This definition covers “games which functioning relies on the know-how of the player”, particularly skill games (Article L.322-2-1, Security Code).

Online gambling

The definition of online gambling and betting is “any gambling game or betting performed exclusively through a service of online communication to the public” (Article 10, Online Gaming Law). The law further defines online gambling operators as persons offering to the public, on a regular basis, online gambling or betting services with stakes having a monetary value and under terms and conditions that constitute a standard membership agreement.

The Online Gaming Law only refers to sports betting, horse betting and club games. Nevertheless, the only club game authorised is poker. To date, there are no other gambling activities authorised under the Online Gaming Law.

Land-based gambling

There is no specific definition of land-based gambling. The law only contains a prohibition on holding a “gambling house open to the public” (Article L. 324-1, Security Code) and “the importation or manufacturing of any machine which functioning is based on hazard and which offers the possibility, potentially through the display of signs, in exchange for a stake to gain a direct or indirect advantage of any nature whatsoever” (Article L324-2, Security Code).

Casinos and gaming clubs benefit from specific exceptions to these prohibitions.

The regulation of gambling is carried out by different governmental authorities or bodies depending on whether it is land-based gambling or online gambling.

Land-based gambling

Land-based gambling activities are centrally supervised by the Ministry of Home Affairs at national level. Depending on the nature of the game, various governmental or state representatives can intervene at different levels during either the licence application process or the enforcement process. Interventions are mainly carried out by the Préfet (state prefect), but can also be performed by national commissions or federations that have regulatory powers. All land-based gaming licences are issued by the Ministry of Home Affairs.

Online gambling

Online gambling is regulated by a single governmental authority, the Autorité de Régulation des Jeux en Ligne (ARJEL), which was created when the French online gambling market opened in 2010. ARJEL has full competence to issue licences, enforce online gambling regulations and fight against illegal gambling websites.

See box, The regulatory authorities.

Poker

Poker is currently classified as a game of chance (Online Gaming Law). Poker can be offered by gaming clubs, casinos and online gambling operators and it is the most popular game in France.

Poker in casinos. Casinos can offer six different types of poker:

An Order details the rules applying to each category under which poker can be played in casinos in the form of cash games or tournaments (Order dated 14 May 2007 on the regulation applicable to games in casinos).

Casinos are strictly regulated venues. They must provide three different activities (entertainment, catering and games) and are not allowed to offer all casino games without limitation. They can only offer the types of games for which they hold a licence.

Poker in gaming clubs. Licensed gaming clubs can offer club games (Ministerial instruction of 15 July 1947). Since poker is defined in the Tax Code as a “club card game” it counts as one of the few card games authorised in gaming clubs and houses.

Online poker. Online poker is authorised and subject to a “club game” licence for online gambling operators from the online regulatory authority ARJEL (Online Gaming Law).

There are specific rules, separate from the rules applicable to poker in casinos, on the types of poker that can be operated online (Decree 2010-723 on the categories of club games mentioned in Article 14 of the Online Gaming Law and the principles governing their technical rules). As the scope of the Decree is very strict, only the following types of poker are authorised:

These types of poker can be offered as cash games or tournaments.

Betting

Forms of betting. Apart from sports betting, the only authorised forms of betting in France are horse and greyhound betting. Greyhound betting is almost anecdotal so only horse betting (which can be provided both as land-based and online services) will be covered.

Horse racing companies can organise bets on their races and these are managed by Pari Mutuel Urbain (PMU). PMU is a special legal entity created by horse racing companies to manage their betting activities and all horse racing companies authorised to organise bets are members of the PMU. Horse betting organised by PMU is regulated (Order dated 13 September 1985 on the rules of urban pooled betting and hippodromes).

Land-based horse betting. This is a pooled betting system under which all the stakes on a certain type of bet are pooled and redistributed among the players. There are specific rules covering each type of bet (simple bets, coupled bets, first three horses, first four horses, first five horses) (Order of 13 September 1985). As part of the general rules, minors are not allowed to place bets. Bets can be placed at the appropriate counters located in the hippodromes, in establishments located outside hippodromes but authorised for that purpose, by telephone (subject to conditions), or through an interactive terminal.

Online horse betting. This is regulated by Decree 2010-498 dated 17 May 2010 on the definition of horse races on which online bets can be offered, and subject to the general principles applicable to pooled betting.

Online horse betting operators can offer horse betting on races organised in France or abroad, provided that the races are listed on the official list approved each year by the Minister of Agriculture. The list, available from ARJEL, indicates all the bets that are authorised, including simple and complex bets. Complex bets are defined as bets for which players must designate the horses ranked in the five first positions (without needing to find the right finishing order).

Online bets on horse racing can only be offered on the official results of one or several authorised horse races. The official result of a race is defined as horses ranked in the positions to receive prizes (limited to the five first positions).

Sports betting

Land-based sports betting. La Française des Jeux can offer betting games (Decree 85-390 relating to the organisation and operation of sport forecasts games). Originally, the Decree created a game called “loto foot” which was halfway between a lottery and a pure betting game, but now it authorises forecast games on all sports and competitions.

The forecast games offered by La Française des Jeux are similar to a lottery and include several variants. Participants must fill in a grid and forecast the results of games. Nowadays, there are three different forecast games offered: loto foot, Match of the day and 1N2, all of which are odds betting games. Players can only play at licensed points of sale and also online on the Française des Jeux website.

Online sports betting. Online sport betting is regulated by Decree 2010-483 of 12 May 2010 on competitions and types of sports results defined by the online gambling regulatory authority.

Bets can only be made on certain sports, competitions and types of results, determined by ARJEL following consultation with the sport federations. The official list is available on ARJEL’s website and ARJEL can decide from time to time to add new competitions or new types of results.

Under French law, organisers of sports competitions have rights over the competitions they organise. Consequently, sports betting operators can only offer bets on the competitions for which they have entered into an agreement with the organiser of each competition. Any licensed operator requesting one must be offered the possibility to sign a contract if the operator meets the general conditions set by the organiser (Decree 2010-614 dated 7 June 2010 on the conditions applicable to market the rights to organise bets in relation to a sports competition or event). These contracts are reviewed by ARJEL and the French Competition Authority (Autorité de la concurrence) and must offer similar terms to all operators.

A decision from the French Administrative Supreme Court (14 October 2014, 381192) confirmed ARJEL’s decision prohibiting bets on the result of a game as an even or uneven number.

Casino games

The scope of authorised games is strictly limited by the Security Code, which allows casinos to offer slot machines and the following games (which can be provided electronically):

Casinos are limited by the scope of their licence, which determines in particular the:

In addition, the Minister of Home Affairs can authorise a casino to provide, for experimentation purposes, new types of games of chance or new technical devices.

Furthermore, gaming clubs or houses can offer, subject to authorisation from the Minister of Home Affairs, the following games of chance:

Slot and other machine gaming

Importing or manufacturing slot machines is prohibited under the Security Code. However, by way of exception, casinos can offer slot machines and other machines offering games of chance (together “slot machines” because their regulation is the same) if they offer at least one of the casino games mentioned in Article D.321-13. Slot machines are also regulated by the Order on the regulation of games in casinos (Order of 14 May 2007).

The return rate to players applicable to slot machines cannot be less than 85% (Article R. 321-17, Security Code). The value of each unitary credit wagered in a slot machine is determined by the operator of the casino and communicated to the Minister of Home Affairs at least 15 days before the slot machine is made available to the public. Any modification of the return rate to players or the value of each unitary credit wagered must be communicated to the Minister of Home Affairs at least 15 days before implementing the modification.

In addition, the law sets out a limit on the credit that can be inserted in a slot machine. The limit is equal to the maximum amount that a machine can pay without human intervention.

The configuration of gaming devices is constantly evolving, with French gaming authorities taking into account (for licensing) cloud-based gaming devices, provided that a sufficient level of data security and reporting is ensured.

Terminal-based gaming

Casino games can be provided electronically in casinos.

Bingo

Bingo is authorised as a casino game (see above, Casino games).

Lottery

As a general principle, lotteries are prohibited. Prohibited lotteries are defined as “the sales of estate, goods or merchandise which are realised through chance, or to which have been added bonus or other benefits, due, even partially, to chance and, more generally, any operation offered to public participation, regardless of the designation it may receive, in order to trigger the hope of a gain which would be acquired, even partially, through chance and for which the operator requires from participants a financial contribution” (Article L.322-2, Security Code).

Recent changes have been made to the regulation of lotteries. The 2014 Consumer Rights Law extended the list of prohibited lotteries to similarly organised skill games and therefore restricts the scope of lotteries that can be organised in France (both as gambling products and as promotional media). Indeed, the (absolute) ban on lotteries is extended to all games which meet the following criteria:

However, the general prohibition on lotteries will not apply in relation to:

National lottery. The operation of the national lottery is granted to La Française des Jeux, which is structured as a semi-public company with regulatory powers. The CEO of La Française des Jeux will (Article 21, Decree 78-1067):

Lotteries organised as promotional campaigns. A specific regulatory regime applies to lotteries organised as promotional campaigns (Article L. 121-36, French Consumer Code).

The law aims to cover “trade practices implemented by professionals/businesses in the form of promotional operations leading to the attribution of a gain or an advantage of any nature, through a draw, whatever the modalities for the draw, or through the intervention of chance” (Article L. 121-20, French Consumer Code).

Such promotional lotteries are valid as long as they do not constitute an unfair commercial practice as construed under French law further to the implementation of Directive 2005/29/EC concerning unfair business-to-consumer commercial practices in the internal market.

Available licences

The following gambling land-based products can be offered:

• Horse and greyhound betting.
• Sports betting.
• Lotteries.
• Casino games, poker and slot machines (in casinos).
• Club card games (including poker) and games of chance (pool, baccarat) (in gaming clubs).

Sports betting and most lotteries fall under the monopoly of a state-owned corporation, La Française des Jeux. Therefore, the licensing regime of these products will not be discussed further.

The organisation of horse betting is limited to mutual betting, completely managed by Pari Mutuel Urbain (PMU), which has a monopoly. The rest of this section will focus on the licensing regime for casinos and clubs. Some general restrictions exist about the geographic area in which some gambling products can be offered. The main geographic restriction is that a gaming club cannot be opened in the same city where there is a casino (Article 13, Order dated 15 July 1947 on the regulation of games in clubs).

Eligibility

Casinos. Authorisations for casinos are granted for the single establishment where games are played by the public, regardless of the entity operating it. A single entity can theoretically operate several casinos in different places.

There is no requirement on the form of incorporation of a casino operator and the law even allows casinos to be owned by individuals.

Casinos can be authorised in sea, thermal, climatic and tourist resorts and on certain ships (Articles L.321-1 to L.321-3, Security Code). The authorisation process is slightly different for casinos located on ships.

Gaming clubs. To be licensed, gaming clubs must be operated by a non-profit association. The gaming activity offered must remain a side activity to other social, cultural or charitable activities of the club.

The creation of the non-profit association is undertaken by filing a notification to the Préfet before commencing any gaming activities. If the notification complies with the legal requirements, notice of its creation is published in the Official Journal, after which it will have legal capacity.

Clubs can hire whoever they want, but all employees, regardless of their function, must be licensed before they start working. A similar licence application to the one for casino employees is required for gaming club employees (Articles 21 and 22, Order dated 15 July 1947 on the regulation of games in clubs).

Authorisation from the Minister of Home Affairs is required for most gaming clubs (Article 1, Decree n°47-798 of 5 May 1947 on regulation of games in clubs; Article 47, Law of 30 June 1923 on the public budget for year 1923), except for gaming clubs that only offer club card games (jeux de commerce). The qualification of “jeux de commerce” is a tax sub-category for gambling products and is very specific and limited in scope. These clubs need only file a notification with the Préfet of the county in which they are established. This declaration must be accompanied by similar information as for a request for authorisation.

Application procedure

Casinos. Obtaining a licence for a land-based casino is a long and complicated process.

A casino must conclude an agreement with the city in which it will be located and be authorised by the Ministry of Home Affairs to begin operating. This authorisation is granted in the form of a delegation of public service (similar to a concession). The authorisation is temporary and subject to permanent control by various administrations. There are reporting duties and the authorisation process is partly carried out by calling for tenders.

The operator of a casino must obtain a global licence for the whole activity conducted in one place (a single licence for a single casino operator in a single place). There is no distinct licence for the premises or the type of games that are offered. Everything must be described in the authorisation submission. In addition to the “main” licence for the casino operator, the casino’s employees and suppliers must also be licensed. To obtain its licence, the casino operator must also conclude an agreement with the city in which the casino will be set up.

Any additional licence required from a casino operator will relate to selling alcohol but will not relate to gaming activities per se.

If no response is received to an application within four months of applying, this is deemed to be a denial of the authorisation (Article R. 321-6, Security Code).

Gaming clubs. Under similar rules as those applying to casinos, gaming clubs require a single licence for the whole scope of their activity in a single place. This licence will describe the authorised scope of activity of the gaming club.

The authorisation request must be made by the manager of the club in two copies and filed with the local Préfet. The Préfet then transmits one copy to the Ministry of Home Affairs which rules on the request after receiving the opinion of the Commission Consultative des Jeux de Cercle et de Casinos (Consultative Commission on Club Games and Casinos), which is tasked with reviewing authorisation requests and investigating measures that will be implemented by the operator to prevent excessive gambling. The request itself can be made by letter in which the club provides that it will:

• Comply with the applicable regulations and abide by any control or inspection.
• Dedicate a specific percentage of the gross gaming revenue to fulfilling the purpose of the association (for example, subsidising an activity falling under the purpose of the association).
• Be independent from any restaurant, hotel, bar, café or nightclub located in the same building or in an immediately neighbouring one, and will have a separate entrance.

The full list of supporting documentation required is set out in Article 8 of the Ministerial Order dated 15 July 1947 on the regulation of games in clubs.

If no response is received from the Ministry of Home Affairs application within four months of applying, this is deemed to be a denial of the authorisation (Article 1-1, Decree 47-798 of 5 May 1947 on regulation of games in clubs).

The authorisation is strictly personal to the club and cannot be used, transferred or assigned in any way to another club or any other entity. Any failure to comply with this exclusivity is cause for the authorisation to be withdrawn.

Any modification of the name, headquarters of the club, or any change in the members of its board of directors, is interpreted by French law as the creation of a new club, requiring a new request for authorisation.

Depending on the type of games that these clubs want to offer their members, more specific formalities may be necessary. For example, if electronic machines are used within the club, specific authorisation must be obtained through either (Article 1, Decree 47-798 of 5 May 1947 on regulation of games in clubs):

• An explicit mention in the main authorisation.
• A distinct and detailed authorisation.

Duration of licence and cost

Casinos. The agreement with the city lasts for a maximum of 20 years. The law does not specify the duration of casino licences or their cost but only states that such licences are temporary and that their duration is set in the decision granting the licence.

Gaming clubs. Gaming club licences are granted for a renewable one-year term.

Prohibitions

Minors are prohibited from participating in any gambling activities, except for certain types of lotteries (lotteries exclusively for charitable acts, encouragement of arts or financing non-profit activities, lotteries in fair ground and traditional bingo). Gambling operators must prevent minors, even emancipated minors, from participating in their gambling activities.

Restrictions

All land-based gambling operators must prevent players from participating in gambling activities if they are on the list of persons prohibited from gambling. People can be listed voluntarily for three years, or involuntarily (people that were criminally sentenced and excluded by a judge from gambling facilities or people whose conduct is likely to disturb the proper execution of the games or the tranquillity and order of the facilities).

Gaming clubs can only allow members of the club to enter.

Anti-money laundering legislation

Land-based gambling operators must implement measures to (Article L. 562-1, Security Code):

Prohibitions

Minors are prohibited from participating in online gambling, and online gambling operators must prevent minors (even emancipated minors) from participating in their gambling activities. In addition, licensed online operators must display a warning on their website stating that minors cannot participate in gambling activities. The licensed operator must require the input of a player’s age when the player subscribes and visits its websites.

Restrictions

Licensed online operators must prevent anyone who is on the list of persons prohibited from gambling from subscribing to its gambling platform and must terminate the account of any player who gets on to the prohibited list.

Licensed operators must also offer self-exclusion mechanisms enabling players to seek temporary (decided by the player with a minimum of seven days) or definitive exclusion from the games. Definitive exclusions cause the termination of the players’ account and prevent them from subscribing again for the next three years.

Licensed operators must also require that players, as soon as they open their account, set a weekly limit on:

Licensed operators must display on their website information on the possibility for players to voluntarily put themselves on the list of persons prohibited from gambling, as well as information on the assistance that is available for players to prevent pathologic gambling.

Anti-money laundering legislation

Land-based gambling operators must implement measures to (Article L. 562-1, Security Code):

In addition, licensed online operators must comply with any asset-freeze measure issued by the government over the funds of specific individuals or organisations.

Licensed operators’ compliance with the anti-money laundering legislation is controlled by ARJEL.

Business to business (B2B) operations are absent from the scope of the Online Gaming Law. ARJEL regulates online gambling operators and only answers to operators and not to players or providers of technical solutions (such as providers of gambling software). In this particular aspect, there is a noticeable difference between French law and English law (which has created a specific licence for the providers of technical solutions).

This has raised a lot of issues in the French online gambling industry. As part of ARJEL’s monitoring and controlling powers, all operators must perform certification audits. These include one technical audit of their Front End (see Question 7, Application procedure) six months following the launch of their platform and one yearly legal and financial certification audit each year on the anniversary date of the licence. Although most elements to be audited are in the hands of the platform providers, only the operator has the certification obligation. Therefore, a number of difficulties are often encountered in the certification process.

As for white labelling, only operators providing the white label websites (that is, websites produced by one company under the brand of another company) are liable for the services provided. In addition, all domain names (even for the websites operated under a white label) must be listed in the licence application or later authorised by an ARJEL decision and are therefore assimilated to one operator. The trade mark owner has no direct relationship with ARJEL.

According to the Decree 2011-2122 of 30 December 2011, the President of the Tribunal de Grande Instance of Paris can order an ISP blocking measure. In addition, the Minister of Budget can, on a proposal from ARJEL, ban any movement or transfer of funds from unlicensed operator accounts (for a renewable period of six months) (Article L. 563-2, Monetary and Financial Code).

The Online Gaming Law was designed to cover internet gambling in general, so mobile gambling and interactive gambling on television are not specifically addressed in this law. However, some online licensed gambling operators have developed mobile gambling and interactive gambling offers. These offers have not been deemed illegal by ARJEL, which has simply requested that the operators concerned submit their software for new approval in relation to the additional services.

There is no specific social gaming regulation in France. Social gaming is nonetheless subject to the general prohibitions on lotteries (see Question 4, Lottery).

Considering that the skill of a player is not a relevant criterion anymore, any social game offered to the public can constitute a prohibited lottery if both:

Virtual currencies used in social games can lead the game to be considered as a prohibited lottery. In fact, requiring payment in a virtual currency can potentially constitute a financial sacrifice and granting prizes in virtual currencies can potentially constitute a prize with a monetary value, especially if the virtual currency can be purchased with real money or can be exchanged for prizes with a monetary value.

Gambling or betting debts are not enforceable (Article 1965, Civil Code).

There is, however, an exception to this prohibition if a client purchases casino chips with a cheque that is not supported by sufficient funds. The casino can demand payment of this specific debt.

For both land-based and online gambling, different taxes apply depending on the betting and gambling activities. Taxation can either be based on the wagers or on the gross gambling revenue.

Land-based gambling

Casinos. First, the state receives a progressive tax on a casino’s gross gambling revenue (a 25% deduction first being made from the gross gambling revenue before applying the tax), and then 10% of that tax is paid back to the local authorities.

The following illustrates the gross gambling revenue and the tax bracket applicable to it:

Added to this tax is a tax imposed by the city in which the casino is established, defined in the agreement between the town and the casino and which cannot exceed 15% of the gross gambling revenue.

Finally, casinos are also subject to the following social contributions:

Gaming clubs. Special tax rules apply to gaming clubs. The revenues of gaming clubs are gathered in the form of a pot (cagnotte) that is composed of the gross gaming revenue generated by the clubs.

The taxation of gaming clubs is progressive and the following rates apply:

Lottery. The tax for the National Centre for Sports applies. It amounts to 1.8% of wagers (limited to EUR163.450 million per year). A 0.3% tax (limited to EUR27.6 million per year in 2016 and EUR17.7 million per year in 2017) applies until 2017.

A social contribution of 6.9% must also be paid. It is calculated on the basis of 25.5% of wagers.

Horse betting. The tax contribution for horse betting is 5.3% of wagers. The social security contribution is 1.8% of wagers.

In addition, there is a 12% tax on the commission received by companies organising horse races for bets made from abroad but regrouped in France, which is due through Pari Mutuel Urbain (PMU).

Sports betting. The tax contribution for sports betting is 5.3% of wagers. The social security contribution is 1.8% of wagers and the tax for the National Centre for Sports is 1.8% of the wagers (limited to EUR32.3 million a year).

Online gambling

Online sports betting. The taxes are the same as for land-based sports betting (see above, Land-based gaming: Sports betting).

Online poker. The tax contribution for online poker is 1.8% of wagers. The social security contribution is 0.2% of wagers.

Online horse betting. The tax contribution for online horse betting is 5.3% of wagers. The social security contribution is 1.8% of wagers and the tax for the companies organising the races is 6.3% of wagers.

Land-based gambling

Any form of advertising for a house providing games of chance (maison de jeux de hasard) without proper authorisation is prohibited. Therefore, advertising is authorised for all other establishments or websites licensed or authorised under the applicable legislation. However, many rules restrict advertising games of chance, in particular in relation to the protection of minors or the fight against addiction.

Online gambling

Advertising online gambling websites must be identified as such and contain written or verbal warning messages depending on the platform on which the advertising is offered. If the advertising is offered online, the warning message must contain a link to a website dedicated to the fight against addiction. Such advertising cannot be offered on websites that appear to be mainly targeting minors. In addition, any advertising for online gambling websites through radio or television is forbidden 30 minutes before and after the broadcasting of programmes specifically targeting minors.

Land-based gambling

There have been no significant changes to the rules on land-based gambling in recent years. The latest changes were related to casino regulation, but were not significant. These changes were implemented by the Decree of 6 December 2013 amending the provisions of the Order dated 14 May 2007. This Order provided for various measures to modernise the regulation of games in casinos, by for example:

In addition, new casino games were added in 2014 and 2015. These included:

Online gambling

The Consumer Rights Law has made some changes to the Online Gaming Law, including:

One of the recent substantial modifications to the legal status of online operators is the amendment to Article L.322-2-1 of the Security Code. This states that online skill games requiring a financial contribution from the player and triggering the hope of a gain are de facto illegal because they cannot be licensed by ARJEL. The main purpose of this amendment is to prevent gambling offers getting around the applicable regulations and banning what were considered to be abusive practices. The amendment created confusion between gambling offers with intrinsic dangers that justify a strict regulatory framework and other types of games that are purely entertainment.

More recently, the rules on opening and closing player accounts with online gambling operators were modified (Decree 2015-620 dated 5 June 2015).

“Fantasy games” were not (until recently) clearly covered by French regulation. They were added as a type of sport betting in the technical documentation for licensed operators by an ARJEL decision dated 14 April 2016.

Land-based gambling

Gaming clubs have been under heavy scrutiny from the authorities, leading many of them to be closed. There are now only two gaming clubs in France, both of which are located in Paris.

While authorities were reducing the number of gaming clubs, discussions were initiated about closing all gaming clubs and opening casinos in Paris instead. A 2015 report on the subject recommended either authorising casinos in Paris or reforming the legal framework of gaming clubs. The report highlighted that numerous stakeholders were not keen on the idea of authorising casinos in Paris, fearing that it could negatively impact the image of the city and cause surrounding cities to fear loss of affluence and revenue.

Due to these mixed opinions, the report recommended as an alternative, a reform that terminated the current legal framework of gaming clubs. The current framework is seen as obsolete and not transparent enough. Under the new framework, gaming clubs would be commercial companies instead of associations.

The Ministry of Home Affairs has declared in favour of reforming the gaming club framework. However, no action has yet been taken to reform them and the possibility of having casinos in Paris cannot be excluded yet.

Online gambling

The bill for a digital republic, which has been adopted by the French Parliament and is expected to be promulgated shortly in 2016, contains provisions on online gambling. One of the main additions to the bill is the possibility for licensed operators to pool players with other licensed operators in Europe, provided that an agreement is concluded between ARJEL and the relevant foreign national gambling authority. The bill also authorises ARJEL to send a copy of the cease and desist letters sent to non-licensed operators to the host, and to enjoin the host in the measures necessary to prevent public access to the website of the non-licensed operator.

Also expected at a later stage are tax changes and potentially an extension of the scope of the law to new games. More specifically, taxation (currently based on the overall amount of stakes placed by players) could instead be based on the gross gambling revenue generated by operators. This in particular responds to a request from operators who regularly claim that the tax is too high and not calculated on the right basis.

Social gaming

The regulation of social gaming is not being currently debated in France.