Svenska Spel Loses Legal Battle to ATG Over Naming Rights

Svenska Spel, the Swedish gaming company, faced a setback in its legal battle against ATG regarding the use of the phrase “Trav och Galopp” in a racing product. The Patent and Market Court of Appeal ruled that this use constituted an infringement on ATG’s company name. This ruling marks a significant development in the ongoing dispute.

The legal tussle began in December 2020, following a public exchange of words between ATG's CEO, Hasse Lord Skarplöth, and Svenska Spel's counterpart, Patrik Hofbauer. ATG initiated a trademark lawsuit, alleging trademark infringement by Svenska Spel. With this recent ruling, ATG solidifies its stance on protecting its company name and reputation.

This legal defeat adds to Svenska Spel's challenges as it recently announced the closure of its Casino Cosmopol venues in Gothenburg and Malmö. The decision was driven by the need to limit losses, as online casinos have negatively impacted the venues' visitor numbers. Approximately 200 jobs may be affected by these closures, leaving Stockholm's Casino Cosmopol as the only remaining land-based casino in Sweden.

While ATG celebrates its legal victory and financial success, there's uncertainty on the horizon for all gaming companies operating in Sweden. The government plans to increase the gambling tax rate from 18% to 22% of gross gaming revenue, effective from July 1, 2024. This proposal has faced resistance from industry players, including ATG, which advocates for a differentiated gaming tax, favoring sports betting over online casinos.

ATG's CEO, Hasse Lord Skarplöth, emphasized the need for fair taxation and hopes that their efforts will lead to a reconsideration of the proposed tax hike. This debate over taxation adds another layer of complexity to the evolving gaming landscape in Sweden.

The outcome of this legal battle and the impending tax changes will likely continue to shape the gaming industry in Sweden, with both Svenska Spel and ATG closely monitoring the developments.