Antigua-US Gambling Clash: WTO Dispute Drags On

Imagine a World Trade Organisation ruling favoring a tiny Caribbean nation against the United States, yet no resolution emerges for decades.

That’s exactly the predicament facing Antigua and Barbuda, locked in a drawn-out dispute over online gambling.

Picture millions of dollars owed, a frustrated Caribbean country, and an unyielding superpower—leading to a standstill that could last “another generation.”

Keep reading to learn how this high-stakes trade conflict shapes Antigua’s gaming future, the US’s response, and the role of the WTO.

Antigua’s Decades-Long Gambling Dispute with US May Take “Another Generation” to Resolve

3 Key Points

1. WTO sided with Antigua, allowing annual sanctions worth $21m in US intellectual property rights.
2. Despite attempts at settlement, no compensation has materialized for losses estimated at $315m.
3. Antigua expects a resolution could be decades away, citing the US’s reluctance to fully comply.

Antigua and Barbuda remains at an impasse with the United States over a longstanding WTO dispute involving online gambling. Ambassador Lionel ‘Max’ Hurst warns it might take “another generation” to find closure. Indeed, for nearly two decades, the Caribbean nation has tried—unsuccessfully—to secure what the WTO determined was rightful compensation.

The Original Dispute

The conflict started in 2003, when the US took action against Antigua and Barbuda for offering online gambling services to American players. The US government cited concerns over money laundering, fraud, and underage gambling. It labeled such services a violation of its laws, initiating legal proceedings against Antigua-based online gambling suppliers.

In response, Antigua turned to the WTO, arguing that prohibiting these iGaming services violated the General Agreement on Trade in Services (GATS). The WTO ultimately ruled in Antigua’s favor, granting it the right to withhold $21m annually in US intellectual property—compensation for losses endured under the US blockade. However, that sum never materialized into actual payments.

Failed Attempts at Resolution

Ambassador Lionel ‘Max’ Hurst and others have persistently negotiated with US officials. But as Hurst noted, no progress has materialized, with the US rejecting or ignoring settlement proposals. At one point, Sir Ronald Sanders, Antigua’s US ambassador, stated the island had lost $315m by 2018. This dwarfs the formal $21m per annum settlement.

The US, for its part, contends that monetary compensation was never guaranteed under the WTO framework. Former US ambassador to the WTO, Dennis Shea, labeled Antigua’s demands “excessive,” claiming the US had made multiple offers. Antigua refutes the idea that any proposals approached even 1% of incurred damages.

Implications for Both Sides

Meanwhile, Antigua and Barbuda struggles with lost iGaming revenues and potential knock-on effects on the local economy. Despite the US stance, the small nation sees itself battered by an unfair playing field, where a large power can choose non-compliance without immediate sanction. Even so, Hurst stresses the US remains Antigua’s “most important trading partner,” and the island aims to preserve this vital relationship.

The WTO’s Role

Critics say the WTO system is designed to protect smaller states from being ignored by bigger members. However, Antigua’s predicament proves that enforcement can be tenuous. Although the WTO authorized Antigua to impose trade sanctions or withdraw IP protections, implementing such measures has proven fraught with difficulties.

Antigua and Barbuda remains entangled in a WTO dispute with the United States over online gambling operations. Despite an official ruling favoring Antigua, no genuine resolution has emerged. Negotiations and partial proposals all faltered, culminating in ambassador Hurst’s bleak prediction that a deal may lie generations away. Still, Antigua hopes that continued diplomacy—balancing strategic patience with persistent advocacy—will eventually yield the compensation it has long sought.