Italian court rules gambling ad fines are disproportionate
Italy’s Constitutional Court has ruled that authorities must be allowed to impose fines below €50,000 for gambling advertising violations where the statutory minimum would be manifestly disproportionate.
The decision, published on October 20, changes the penalty framework established under Italy’s 2018 Dignity Decree, which introduced a broad prohibition on gambling advertising and sponsorship.
Under the existing legislation, violations attracted penalties equivalent to 20% of the value of the advertising or sponsorship arrangement, subject to a minimum of €50,000 for each infringement.
The constitutional challenge arose from a case involving an individual fined €157,000 by communications regulator AGCOM for promoting online gambling through YouTube and Twitch channels.
Court documents indicated that the individual had earned approximately €1,000 from the activity, raising questions about the proportionality of the financial penalties.
The Constitutional Court concluded that the mandatory minimum could produce excessive punishment in less serious cases.
Regulators must now be able to consider the seriousness of the violation, efforts to limit its consequences and the offender’s personal and financial circumstances when deciding whether a lower penalty is justified.
The ruling does not overturn Italy’s gambling advertising ban, which remains in force.
However, it gives individuals and businesses facing enforcement action a potential basis for challenging penalties that are excessive relative to their conduct.
The judgment could have particular significance for smaller publishers, affiliates and content creators subject to Italy’s advertising restrictions.
