Supreme Court probes Ontario’s cross-border igaming plan
Justices pressed Ontario on how it would enforce its rules against players abroad, and one said the appeal ruling looked backwards.
Key Takeaways
- Canada’s Supreme Court heard arguments on October 7 over whether Ontario can let online gamblers play against users abroad through iGaming Ontario. Atlantic Lottery Corporation, representing a coalition of provincial governments and lottery operators, is challenging the model, arguing it could infringe on their markets and exceed provincial powers.
- The proposal would use “pooled liquidity,” lifting the current restriction that keeps players and funds within Ontario, for games such as poker and fantasy leagues.
- The case turns on Section 207(1)(a) of the Criminal Code, which lets provinces conduct and manage lottery schemes within their jurisdictions.
Canada.- Canada’s Supreme Court heard arguments on Wednesday, October 7, over whether Ontario can legally allow online gamblers in the province to play against users abroad through its igaming platform. The Atlantic Lottery Corporation, representing a coalition of provincial governments and lottery operators, is challenging the model on the grounds that it could infringe on their markets and exceed the powers granted to provinces under federal law.
Ontario introduced iGaming Ontario in 2022, allowing licensed private companies to offer online casino games and sports betting in a regulated market. The province later proposed opening certain games, including poker and fantasy leagues, to international players through a system known as “pooled liquidity,” which would remove the current restriction keeping players and funds within Ontario.
Ontario maintains that the model complies with the law because the provincial agency would continue to oversee the gambling system and determine which companies can participate. Attorney Ananthan Sinnadurai told the court that the province would retain control over the experience offered to local players.
“We choose who we partner with. We still run the system in this province, and fundamentally we control the experience of people in Ontario, because that’s the concern,” Sinnadurai said. “Here, we’re conducting and overseeing the lottery that Ontarians experience.”
The case turns on the interpretation of Section 207(1)(a) of Canada’s Criminal Code, which allows provincial governments to conduct and manage lottery schemes within their jurisdictions. In November 2025, Ontario’s Court of Appeal upheld the proposed international model, reasoning that federal law did not expressly prohibit such participation.
Matthew Milne-Smith, an attorney for the Atlantic Lottery Corporation, challenged that interpretation before the Supreme Court. “The decision relied on a lack of express prohibition of international play in section 207(1)(a), and with respect, this is backwards,” he said, arguing that gambling is prohibited unless specifically authorised by law.
The appeal court’s Justice Katherine van Rensburg had dissented from the ruling, arguing that the international model would be unlawful because parts of the gambling operation would not be conducted and managed by Ontario. Supreme Court justices similarly questioned how the province could enforce its rules against international participants.
