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March 25, 2004 

WTO rules that US Ban of Web-based Gambling Violates Global Trade Pacts

The WTO has made a preliminary ruling that a U.S. ban on Internet gambling violates the General Agreement on Trade in Services (GATS). The action was filed in the WTP last year by Antigua and Barbuda, who contended that the U.S. ban on Internet gambling, both at the state and federal level, violated the United States’ obligations under GATS since it prohibits all supply of gambling and betting services outside the United States.

The United States has stated that it will appeal the ruling. Under Article 17 of the WTO’s Dispute Settlement Procedures, the losing side of a preliminary ruling may appeal to the seven-member appellate body.


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