Gaming arcade; application for a licence to operate

The commercial operation of an amusement arcade or a similar establishment which is used exclusively or predominantly for the installation of gaming machines or the organisation of other games within the meaning of Section 33c(1), first sentence, of the Trade Regulation Act (GewO) or Section 33d(1), first sentence, of the Trade Regulation Act (GewO) is subject to authorisation (Section 33i(1), first sentence, of the Trade Regulation Act (GewO)).

Gaming machines within the meaning of Section 33c(1) sentence 1 of the Trade Regulation Act (GewO) are gaming machines equipped with a technical device that influences the outcome of the game and which offer the possibility of a win (slot machines).

Section 33d of the Trade Regulation Act (GewO) concerns games of skill (not games of chance), i.e. games in which the outcome of winning or losing depends not on chance but on the player’s physical and/or mental abilities.

The term ‘similar business’ in Section 33i(1) sentence 1 of the Trade Regulation Act (GewO) primarily covers so-called casinos, in which other games offering the possibility of a win within the meaning of Section 33d of the Trade Regulation Act (GewO) are generally played.

The amusement arcade licence is tied to a specific person and specific premises.

A prerequisite for the licence to be granted is the applicant’s good character, which is verified by means of a certificate of good conduct and an extract from the Central Trade Register. The premises intended for the operation of the amusement arcade must be suitable in terms of their location and condition, i.e. they must comply with police and building regulations. Furthermore, the operation of the amusement arcade must not give rise to any concern regarding a risk to young people, excessive exploitation of the urge to gamble, harmful environmental impacts or any other unreasonable nuisance to the general public, neighbours or an institution of public interest.

Since 1 July 2012, in addition to a trade licence, a gambling licence in accordance with Section 24(1) of the State Treaty on Gaming (GlüStV) and Article 10 of the Additional State Treaty on Gaming (AGGlüStV) has been required, which is issued by the same authority. The grant of such a licence is subject to the condition that the establishment and operation of the gaming hall do not contravene the objectives of Section 1 of the GlüStV (e.g. preventing the development of gambling addiction, ensuring the protection of young people and players, ensuring the proper conduct of gambling, etc.). Furthermore, compliance must be ensured with the youth protection requirements under Section 4(3) of the GlüStV, the internet ban under Section 4(4) of the GlüStV, the ban on audiovisual or purely visual transmission of slot machine games and participation via the internet under Section 22c(4) of the GlüStV 2021, the advertising restrictions under Section 5 GlüStV, the requirements regarding the social concept under Section 6 GlüStV and the requirements regarding information on addiction risks under Section 7 GlüStV. Furthermore, the gaming hall must not form part of a structural complex with other gaming halls; in particular, it must not be housed in a shared building or building complex with other gaming halls (prohibition on multiple licences) and must maintain a minimum distance of 500 metres or 250 metres (in the case of existing gaming halls or those for which a full application for a gaming licence was submitted by 30 June 2017) from other gaming halls. Exceptions to the minimum distance are possible under certain conditions.