The Gambling Commission issued a warning notice to gambling businesses on Thursday letting them know that it believes some operators have been using non-disclosure agreements (NDAs) when settling disputes with customers and that “some of these agreements may have had the effect of preventing those consumers from reporting regulatory concerns to us.”
As the notice points out, the Commission recognises “in certain commercial contexts, use of NDAs is commonplace and such agreements, when used properly, can benefit both parties.” However, the regulator is “keen to ensure” that, for instance, NDAs do not “result in consumers feeling they are unable to notify the Commission or other regulators or law enforcement agencies of conduct that might otherwise be reported.”
The Commission’s notice appears to be in response to a report by colleague Rob Davies last month that Ladbrokes had paid almost £1m to the victims of a problem gambler who had stolen money from his clients to fund his habit, and then used NDAs in an attempt to stop news of the payments reaching the Gambling Commission. The Commission’s investigation into that case is still ongoing.
Thursday’s note from the regulator focuses primarily on the possible use of NDAs to prevent possible criminal behaviour, or failures in procedures to prevent gambling-related harm, being reported to the Commission. The use of NDAs to suppress details of settlements in betting disputes is not specifically addressed, but bookmakers’ attention should possibly be drawn to a reminder further down the notice, that the Commission expects operators “to conduct their business with integrity” and “have due regard to the interests of consumers and treat them fairly”.
The Independent Betting Adjudication Service (IBAS) is the first port of call for many punters when they have a disputed bet with a bookmaker, but plenty of disputes also lead to a threat of court action each year. How many of these actions are successful, however, remains unclear, because if the two parties reach a settlement, it will, almost inevitably, include an NDA. As a result, punters who have a similar dispute with the operator concerned will be unaware that another customer has been paid, while IBAS may also end up ruling on a dispute without being aware that the operator concerned has settled a similar or identical case out of court.
The Guardian has seen an NDA in a case involving a well-known name in the industry and a punter who threatened court action over a disputed bet. It is clear and explicit: that the existence of the settlement and terms will remain confidential between the two parties, and that any breach of this confidentiality clause will mean that the punter will forfeit the settlement.
The Gambling Commission’s mission statement includes the objective of ensuring that gambling is conducted in “a fair and open way”. This behaviour is, almost by definition, anything but open, but it is also unfair, in that while one customer is paid out on a disputed bet, others who may have the same complaint are kept in the dark. Perhaps the Commission might want to clarify its position on the use of NDAs to prevent disclosure of out-of-court settlements?
Friday’s best bets
The racing action is once again restricted to the all-weather for the fourth day running, but there are three meetings to choose from after Lingfield passed an early inspection.
Cadeau D’Amour (5.15) showed improved form to finish third in a well-run race at Wolverhampton last time out and is only 1lb higher for what looks like a weaker event at Newcastle, and Executive Force (6.15) should have a solid chance as he returns from a near three-month break on the same card. There is some money for him this morning, which is encouraging.
Baby Gal (1.30) and Regular Income (4.10) should both go well at Wolverhampton, while Delicate Kiss (1.45) has obvious claims in the opener at Lingfield.
Wolverhampton 1.00 Secret Glance 1.30 Baby Gal 2.05 Whimsical Dream 2.40 Sosian 3.10 Reggae Runner 3.40 Geordielad 4.10 Regular Income 4.40 Precision Prince
Lingfield Park 1.45 Delicate Kiss (nb) 2.20 Loyalty 2.55 Water’s Edge 3.25 Stargazer 3.55 Key To Power 4.30 Fayez
Newcastle 4.15 Loud And Clear 4.45 Formal Order 5.15 Cadeau D’Amour (nap) 5.45 Playfull Spirit 6.15 Executive Force 6.45 Lion Hearted 7.15 Wise Words 7.45 Foxy Boy