Legal Clash: Lawyer Criticizes Dutch Regulator for Inaction Against Meta Ads

Tensions are rising in the Dutch gambling sector as licensed operators express growing frustration with the national regulator, Kansspelautoriteit (KSA). While legal businesses pay substantial fees to maintain their licenses and ensure compliance, they feel abandoned in the fight against a booming illegal market. A leading legal expert has now publicly charged the KSA with failing to utilize existing laws to stop social media platforms from hosting prohibited gambling advertisements. This perceived inaction has pushed the industry to take matters into its own hands by suing Meta.

During a panel at the SBC Summit in October, Justin Franssen, partner at Franssen Tolboom Attorneys at Law, delivered a scathing assessment of the regulator's performance. He stated that it was incomprehensible for a well-funded authority to complain about a lack of enforcement capabilities while failing to act on clear legal provisions. Franssen pointed out that Dutch law was specifically expanded to cover not just the act of advertising, but also the facilitation of illegal gambling. In his view, the services provided by Meta and similar platforms constitute pure facilitation, making them liable under current statutes.

Numbers and facts

The legal battle has already moved to the courts. VNLOK, the Dutch online gambling trade association, has served a summons at the Amsterdam District Court, seeking to compel Meta to comply with the EU Digital Services Act (DSA). The industry's proactive stance follows successful civil actions by the Nederlandse Loterij, which targeted illegal sites like Lalabet in March 2025 and Qbet in April 2026. A victory against Lalabet was secured in June, proving that legal avenues are viable even if the regulator remains hesitant. Despite these precedents, the KSA continues to state that cooperation with Meta is more effective in the long run.

“To me it’s absolutely incomprehensible that we have a regulator that is paid a serious amount of money by the operators and continues to complain that it doesn’t have enough enforcement capabilities.” - Justin Franssen, Partner at Franssen Tolboom Attorneys at Law

The situation is further complicated by the rapid advancement of Artificial Intelligence. A Dutch study published recently highlighted how AI assistants, including Meta AI, are inadvertently promoting the black market. Every one of the ten leading AI tools tested suggested at least one unlicensed operator to users. Microsoft Copilot went as far as generating a list of "Top 50 legal casinos" that included numerous brands without a KSA license, presenting them as fully regulated entities.

Background

The Dutch situation reflects a broader European struggle. Björn Fuchs, chairman of VNLOK, revealed that attempts to engage Meta in meaningful dialogue were met with nothing but automated responses. This left the association with no choice but to pursue litigation. Fuchs noted that the political tide is turning against big tech, citing lawsuits in the US regarding social media addiction and court rulings in Germany and France that have already held Meta liable for illegal gambling advertisements.

“It was really astonishing to read the gambling authority state in a national newspaper that it would rather talk and cooperate with Meta because that would be more effective in the long term. We’ve seen the last five years; it doesn’t add up.” - Björn Fuchs, Chairman of VNLOK

The industry argues that legislation typically lags about three years behind the technological reality. Illegal operators use sophisticated methods like cloaking and temporary ads to bypass filters, operating similarly to criminal organizations. Fuchs emphasized the need for national regulators to join forces and share insights, a practice VNLOK already maintains with counterparts in Germany, Denmark, Sweden, and the UK. He believes that only a unified European approach, possibly involving agencies like Interpol, can effectively curb the offshore market.

Why it matters for German players

For players in Germany, this dispute serves as a warning about the persistence of illegal gambling visibility online. The German State Treaty on Gambling 2021 (GlüStV 2021) establishes a strict framework designed to protect consumers, yet illegal ads often bypass these safeguards on social media. Players must remain vigilant and verify any platform against the official GGL whitelist. Using unregulated sites means forfeiting essential protections such as the 1,000 Euro monthly deposit limit monitored by LUGAS and the 1 Euro per spin limit on slots. Without these safeguards, which are only guaranteed at GGL-licensed casinos, players face significant risks of financial loss and lack of consumer protection.

What it means for GGL-licensed casinos

Casinos licensed by the GGL face the same uneven playing field as their Dutch counterparts. They invest heavily in compliance and social responsibility while competing against offshore sites that ignore German law. If regulators fail to hold facilitators like Meta accountable, the integrity of the regulated market is compromised. However, GGL-licensed operators can leverage their status as safe, legal alternatives connected to the OASIS player ban system. The push for a stronger European regulatory response, as advocated by Dutch industry leaders, is crucial for maintaining the long-term viability of the legal German gambling market against unlicensed competitors.