Entain Faces Australian Class Action Lawsuit Over Fast Code In-Play Betting

A legal storm is brewing in Australia for gambling giant Entain. The company has been ordered by the Supreme Court of Victoria to notify customers about an ongoing class action lawsuit. The case centers on the so-called Fast Code system, utilized by the Ladbrokes and Neds brands. Plaintiffs allege that this method of placing live bets during sporting events was unlawful, as it violated the Interactive Gambling Act 2001 (IGA). While Entain strongly denies these allegations, the pressure on the corporation continues to mount.

The system functioned by allowing customers to select a bet via an app or website, which then generated a code. The user was required to call the operator and read the code aloud to finalize the wager. In Australia, online in-play betting is generally prohibited unless it is conducted entirely through a telephone service. The legal challenge argues that preparing the bet via an app makes the process a prohibited hybrid service that no longer qualifies as a pure telephone betting service.

Numbers and facts

The class action is led by the law firm Maurice Blackburn on behalf of plaintiff Jeremy Bergman. It potentially includes anyone who placed bets using the Fast Code service between March 4, 2019, and March 4, 2025, and suffered losses. The Australian Communications and Media Authority (ACMA) had already noted in December 2023 that Entain and other operators like Bet365 and Sportsbet breached in-play betting rules with similar systems. At that time, ACMA declined further enforcement action after the brands agreed to comply. Now, however, affected players are seeking their money back.

“It is alleged that Entain’s Fast Code service contravened the IGA as it allowed customers to input information about the bet via the Neds or Ladbrokes app and/or website, with the customer then prompted to initiate a call to Entain to place the bet.” - Supreme Court of Victoria Statement

In its defense, Entain argues that the transaction was only finalized during a voice call with a human operator, thus meeting legal requirements. Interestingly, Entain has filed a counterclaim. If the plaintiffs succeed in forcing a refund of losing bets, the operator claims it is legally entitled to take back any winnings previously paid to those same customers. This move could effectively neutralize the financial hopes of many participants in the class action.

Background

Australia is known for having some of the strictest online gambling regulations in the world. The Interactive Gambling Act 2001 serves as the foundation for ACMA's aggressive stance against illegal offerings. Since November 2019, approximately 926 illegal gambling websites have been blocked. More than 220 services have completely withdrawn from the Australian market due to this regulatory pressure. Recently, ACMA ordered the blocking of another 12 sites, including Playzilla and Wazamba, for operating without a license. The authority warns consumers that unlicensed providers offer no player protection and often withhold winnings.

Why it matters for German players

For German bettors, this case serves as a critical warning regarding the legal compliance of betting products. In Germany, the State Treaty on Gambling 2021 (GlüStV 2021) regulates the market with extreme rigor. While live betting is permitted, it is heavily restricted to minimize addiction risks. A system like Fast Code, which attempts to exploit a legal loophole, would immediately attract the attention of the Joint Gambling Authority of the States (GGL). Betting with providers on the official GGL whitelist ensures that players are protected from such legal uncertainties.

Strict limits apply in Germany: a maximum stake of 1 Euro per spin for slots and a cross-provider deposit limit of 1,000 Euro per month, monitored via the LUGAS system. Those playing at MGA or Curacao-licensed casinos not authorized in Germany find themselves in a similar gray area to the Australian Fast Code users. In the event of a dispute, players have little legal recourse against offshore providers as they often lack a legal venue within Germany.

What it means for GGL-licensed casinos

German casinos with a GGL license must have every game format approved in advance. Creative workarounds like the one seen in Australia stand no chance of approval here. The GGL audits software and betting processes in minute detail. For legal operators, the Entain case demonstrates that transparency and strict adherence to national laws are the only insurance against potentially devastating class action lawsuits. While Entain in Australia is arguing that claims before March 4, 2022, are statute-barred, German courts are often more player-friendly regarding the recovery of losses from illegal gambling operations.