LAW AND REGULATION IN NIGERIA
3. Uncertainty on the regulation of online gaming : The regulation of online gaming and the potential inter-state jurisdictional conflicts they may create remains unresolved. It is not currently clear whether a single state lottery license would permit an operator to offer online gaming/lottery markets to customers residing in other states outside the territory of the license issuing state. This area is likely to be subject to further regulatory or judicial pronouncements, as online gaming, accessible across state borders, is extremely prevalent and presents unique challenges that may lead to additional legal disputes and regulatory complexities. Additionally, it would be difficult for the other state regulators to restrict the online gaming operator from offering their markets to their residents, especially since individual states in Nigeria do not regulate access to the internet. 4. Current status of the NLRC: The status of the National Lottery Regulatory Commission (the “NLRC”), in the light of the Court’s decision, remains unclear. A school of thought posits that it would now automatically operate as a domestic lottery regulator for the Federal Capital Territory (the “FCT”). This view is premised on the fact that the National Assembly serves as the domestic law making body for the FCT. 22 Thus, the National Lottery Act will now be deemed to be domestic legislation for the FCT. Another school of thought posits that the NLRC has been rendered defunct, as the nullification of the National Lottery Act (NLA) invalidates the NLRC, which was established under and derived its authority from the NLA. Consequently, the NLRC no longer has the legislative authority to issue national or domestic licenses to lottery
operators or regulate lottery activities across the federation, including the FCT. This position is premised on the argument that the now-nullified NLA, enacted in 2005 by the National Assembly, was intended to function as a federal law across all states of the federation and did not contemplate any limitation only to the FCT. According to the proponents of this school of thought, following the decision of the apex court, until such a new law is enacted, lottery in the FCT is unregulated. 5. Status of states without domestic lottery law, regulation or regulator: While some states already have laws regulating lottery activities, the nullification of the NLA creates a legislative gap in other states. Lottery activities in states without established regulatory frameworks will lack oversight until relevant laws are enacted by their respective State Houses of Assembly. Conclusion The legality of any law is relational to its conformity to the provisions of the Constitution. There has been controversy over the issue of exclusive powers to legislate on lottery matters. This has been resolved by the Supreme Court’s decision. The Court’s decision is the current position of the law with regard to the regulation of lottery in Nigeria. This position of the law can only change through a constitutional amendment. This can be said to be the appropriate interpretation of the Constitution. It remains to be seen how lottery and gaming operators that operate in multiple states in Nigeria will adapt to the current regulatory framework. This may require some form of restructuring of their operations.
OBINNA AKPUCHUKWU Founding Partner, Allen & Marylebone, Nigeria For information contact
+2349067158192 o.akpuchukwu@
allen-marylebone.com
DEINSO ABIO GEORGE Associate, Allen & Marylebone, Nigeria
22 Section 299 CFRN
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IMGL MAGAZINE | MARCH 2025
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