Montenegro’s government has firmly decided not to pursue a constitutional review of its New Law on Games of Chance, thus rejecting a challenge spearheaded by NVO, the national suppliers’ association, and Lutrija Crne Gore, the national lottery. This decision is pivotal in demonstrating the government’s commitment to enforce its novel gambling regulations despite intense opposition from industry leaders, who argue these reforms could destabilize the market’s equilibrium.
The crux of the opposition’s challenge rests on what they describe as “acquired rights.” The petitioners contended that Article 106 of the new law jeopardizes rights that were previously guaranteed, alleging that the transitional rules and concession terms could potentially discriminate between operators depending on their contract expiration dates. They also emphasized concerns over the constitutional prohibition against retroactive legislation, cautioning that these reforms might lead to unequal treatment among operators, ultimately stripping them of protections linked to existing concessions.
In response, Prime Minister Milojko Spajić articulated the government’s perspective through a formal communication to lawmakers. He clarified that the legislation is non-retroactive and reiterated that games of chance remain a public interest activity under exclusive state regulation. Thus, operators cannot claim rights that might be infringed by the new legislative framework. Spajić underscored the importance of a 270-day transition period incorporated to afford all license holders adequate time to adapt, ensuring fair treatment and ample opportunity for compliance. Consequently, he maintained that Article 106 does not contravene the constitution or breach international legal norms, negating the need for constitutional court proceedings.
Despite the dismissal of their challenge, mounting criticism from various operators signals persistent discontent with the law. Montenegrobet, the association representing licensed operators, has spotlighted several problematic areas, describing the compliance obligations as unrealistic, the criminal liabilities as disproportionate, and the conditions for license revocation as overly broad. Industry insiders fear that these stipulations could unsettle the legal market, undermining efforts at channelisation, precisely when the government is keen on modernizing the sector. They are urging policymakers to reopen discussions and amend the portions of the law they believe could deter domestic investment.
From the government’s viewpoint, the New Law on Games of Chance, which was enacted in August 2023, aligns with Montenegro’s broader reform agenda aimed at securing full membership in the European Union by 2028. Modernizing gambling regulations is perceived as a critical component of this strategy, with alignment to EU standards expected to be rigorously assessed. As part of this initiative, the Ministry of Finance is actively drafting secondary regulations addressing licensing prerequisites, anti-money laundering controls, and market conduct protocols.
The industry is now intently focused on the law’s implementation phase, particularly how secondary regulations will be enforced and whether the government will engage in dialogue with industry stakeholders before advancing to the subsequent stages of implementation. Some operators remain hopeful, expressing that sustained dialogue could lead to adjustments that take into account practical business realities and foster a more cooperative regulatory environment.
There is also a contingent within the industry that believes the new law, despite its perceived shortcomings, could eventually bring about positive changes. They argue that aligning with EU regulations could attract international investors and increase the sector’s credibility on a global scale. “The key will be in the execution,” some suggest, emphasizing that if the law is implemented with flexibility and fairness, it could ultimately strengthen the market.
Conversely, critics caution that without meaningful adjustments, the law could stifle innovation and competitiveness. They fear the stringent measures might drive some operators out of the market, reducing consumer choice and potentially leading to an increase in unregulated gambling activities. Such an outcome, they warn, could counteract the government’s objective of modernizing the gambling sector and aligning it with EU norms.
In conclusion, the New Law on Games of Chance represents a significant shift in Montenegro’s approach to gambling regulation. While the government remains steadfast in its decision to implement the law without constitutional review, the industry’s concerns highlight the complex dynamics at play. The coming months will be crucial as all parties navigate this new regulatory landscape, balancing the need for modernization with the realities of market sustainability.
Erik Agary is a seasoned writer at True Games Reviews, specializing in gaming, casino games, and interactive entertainment. With a passion for all things digital, Erik dives deep into the latest trends and developments in the gaming world, offering insightful reviews and detailed analysis. His expertise spans across multiple gaming platforms, ensuring comprehensive coverage that resonates with both novice and experienced gamers alike.
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