Home / Poker News July 2008 / US vs Antigua and Barbuda: the issue is far from being settled
US vs Antigua and Barbuda: the issue is far from being settled
Posted by: James Carter. - Thu, 2008-07-24 20:00
The deadline for the settling of damage claims by Antigua and Barbuda’s government on account of the online gambling ban unilaterally instituted by the US, has once again been extended. The parties involved were supposed to settle their issues on July 11th, but obviously the deadline came and went without any sort of consensus being reached on the matter.
Antigua and Barbuda’s finance minister said it would probably take an additional three months just to find out whether an agreement was possible at all.
Antigua and Barbuda is already in the position to impose sanctions to the extent of $21 million, as a result of the first complaint they sent to the WTO. According to the Antiguan government, the tiny Caribbean country’s economy had been largely dependent on funds resulting from online gambling, especially on those from the US market-sector. As the US banned online gambling poker and sports betting for its citizens, Antigua and Barbuda’s economy suffered damages worth $3.4 billion - according to finance minister Errol Cort.
After a long and bitter round of negotiations, the WTO granted Antigua and Barbuda the right to impose sanctions worth $21 million against the US, most of which would come in copyright violations. Whether or not this would open the way for piracy is debatable, although it is a general feeling that properly implementing the sanctions will prove extremely difficult. No sanctions have yet been instituted.
After the US has withdrawn its online gambling obligations from under the GATS agreement, clearly discontent with the earlier WTO ruling Antigua and Barbuda - joined by other nations this time – has once again issued a claim for compensation, again worth $3.4 billion. This is the issue that the two countries are now trying to find a compromise on.
WTO arbitration seemed like the route the problem would once again take, but the parties concerned decided to attempt to settle the claims on their own this time. Regardless of how the issue will be settled, one thing is certain: the UIGEA is proving to be a bigger and bigger pain in the neck for the US government.
