European Union Claims US owes $100 Billion

Because of the ban on online gambling companies in the United States, online gaming sites in the European Union say that the US owes them about $100 billion in trade concessions. When the Unlawful Internet Gambling Enforcement Act was passed last year European online gaming firms saw a huge dip in market value. So lawyers for the firms are saying the companies should press for compensation.

The United States is home to almost half of the world's online gambling consumers and when UIGEA was passed the European market experienced a $7 billion drop in its estimated value. Another lawyer from the law firm Arnold & Porter said the EU should be demanding at least 20 to 30 times what Antigua and Barbuda is asking for, and that nation is on record claiming $3.4 billion for compensation.

The United States has counter offered Antigua with $500,000 stating that what they are asking for is too high. The European market is larger than Antigua so they may be able to receive more compensation.

"The level of damage is impossible to quantify in a dollar sense," Power said in the Reuters article. "It is clear the EU industry is damaged ... and adequate compensation is now the subject of negotiations."

There are many other nations who are planning on filing claims with the United States regarding trade agreements of online gambling. Costa Rica, India, Japan and also Australia and Canada are among the countries involved. The US has until October 22nd 2007 to agree on a fair compensation for the European Union.