Vending Machine Installation – Legal Fundamentals and Requirements
Die Vending Machine Installation refers to the commercial provision of vending machines in publicly accessible locations or business premises. Typical areas of use include slot machines, vending machines (e.g., beverage or snack machines), entertainment, and service machines (e.g., music or parking meters). The installation of vending machines is extensively regulated in Germany and is subject to various legal conditions, depending on the type of machine and installation location. This article examines the legal aspects of vending machine installation with special attention to industry-relevant regulations.
Definition and Distinctions
Machines in the legal sense are technical devices that, after inserting money or similar activation, offer goods, services, or games. The legal definition varies depending on the area of application, for example, within the context of the Interstate Gambling Treaty, the Trade Regulation Act (GewO), or the Food Information Regulation.
Merchandise and Service Vending Machines
Merchandise vending machines include, for example, cigarette, beverage, and snack machines. Service vending machines are technical systems that provide a service for a fee, such as copiers or washing machines.
Slot Machines and Amusement Machines
Slot machines are devices that offer the possibility of winning money in exchange for a bet. Amusement machines, on the other hand, only allow playing without the possibility of winning (so-called ‘fun games’). Different regulations apply to both groups.
Trade Law Requirements
The legal requirements for installing vending machines are mainly derived from the Trade Regulation Act as well as special regulations, depending on the type of machine.
Permit Requirement under the Trade Regulation Act (GewO)
For the installation of slot machines, § 33c GewO requires an official permit. This permit is tied to various prerequisites, such as the applicant’s personal reliability and compliance with relevant youth protection regulations.
Reliability Check
The competent authority checks whether the installing person possesses the reliability required for vending machine installation. This includes, in particular, police clearance certificates and a report from the Central Trade Register. Lack of reliability can lead to the denial or revocation of the permit.
Requirements for Installation Sites
According to § 33c Sec. 3 GewO, gaming machines with the possibility of winning may only be installed in approved business types such as arcades, restaurants, or betting shops. The number of devices that can be installed is legally limited.
Distance Regulations
Many federal states prescribe minimum distances between arcades and facilities for children and adolescents. These regulations are specified in the state regulations implementing the Interstate Gambling Treaty (GlüStV).
Notification and Approval Requirements
In addition to the permit requirement, the commencement or alteration of a vending machine installation must be reported to the trade office (§ 14 GewO). As part of the notification, type-specific information about the machine must be provided.
Legal Provisions on Gambling
For the installation of slot machines, the provisions of the Interstate Gambling Treaty (GlüStV) and the respective implementing laws of the federal states apply.
Permit under the Interstate Gambling Treaty
A slot machine is a game of chance within the meaning of § 3 Sec. 1 GlüStV if the participant’s stake is decisive for the possibility of winning. Therefore, an additional gambling permit is required for the installation of such machines, which must be applied for in conjunction with the trade permit.
Technical Approval and Inspections
The approval and supervision of gambling machines is the responsibility of the Physikalisch-Technische Bundesanstalt (PTB). Only machines approved under § 12 of the Gaming Ordinance (SpielV) may be installed.
Ban and Player Exclusion Systems
Since the GlüNeuRStV (2021) came into force, arcades are obliged to connect to the central OASIS exclusion system to protect persons at risk of addiction.
Tax Law Aspects
The installation of vending machines is relevant for tax purposes.
Value Added Tax
Revenues from vending machines are generally subject to value added tax (VAT), unless an exception such as the reduced tax rate for certain goods applies.
Amusement Tax
Many municipalities levy an amusement tax on the installation of certain machines, especially slot machines. The assessment varies depending on the city, usually based on the number and type of machines or the machine’s takings.
Other Legal Framework Conditions
Vending machine installation may be subject to further legal requirements.
Youth Protection
According to § 6 of the Interstate Treaty on the Protection of Minors in the Media (JMStV) and § 3 of the Youth Protection Act (JuSchG), it is prohibited to install devices with content harmful to minors or gambling offers for minors.
Data Protection for Vending Machines
For machines that process personal data, such as those verifying IDs for cigarette vending machines, the provisions of the General Data Protection Regulation (GDPR) must be observed. In particular, data minimization, transparency, and technical protective measures must be ensured.
Food Law Aspects
Machines that offer food are subject to the provisions of the Food Hygiene Ordinance (LMHV) and the Food Information Regulation (LMIV), including labeling requirements for ingredients and allergens.
Obligations of the Installer
Companies installing machines have comprehensive obligations regarding proper maintenance, operation, supervision, and compliance with legal regulations. These include:
- Checking the function and safety of the machines
- Compliance with maintenance intervals and hygiene standards
- Implementation of youth protection (age verification)
- Reporting and rectifying technical faults or manipulations
- Documentation and evidence obligation to authorities
Sanctions and Consequences in Case of Violations
Violations of legal requirements for vending machine installation can have various consequences. These range from fines under the Administrative Offences Act (OWiG) to the revocation of the installation permit under § 35 GewO in the case of serious breaches.
Summary
Die Vending Machine Installation is a business that is extensively regulated, with various legal requirements ranging from trade, gambling, tax, youth, and data protection legislation to food law regulations. Anyone wishing to operate vending machines commercially must thoroughly familiarize themselves with the relevant legal bases in advance and ensure their ongoing compliance. The legal requirements serve to protect the general public, in particular consumer and youth protection, as well as combat money laundering and gambling addiction.
Frequently Asked Questions
What legal requirements must be met to install vending machines?
The legal requirements for the installation of vending machines depend primarily on the type of machine. For slot machines and other gambling devices, a special permit pursuant to § 33c of the Trade Regulation Act (GewO) is required, which is issued by the Trade Register. In addition, the regulations of the Youth Protection Act must be observed to prevent access by minors. Machines that offer goods or services (e.g., snack machines) generally do not require a special permit, but are subject to general trade regulations, including a business registration and compliance with hygiene and product safety regulations. Furthermore, for all machines, compliance with building regulations, data protection (in case of video surveillance or processing of personal data at the machine), and, if applicable, accessibility guidelines must be ensured.
What role do site permits and building regulations play in vending machine installation?
Before a machine can be installed, it must be checked whether the planned location is permissible under building law. The state building codes of the federal states prescribe different requirements depending on the type of machine. In particular, for slot machines, requirements regarding minimum distances to schools, youth facilities, or other sensitive institutions must be observed. Often, room sizes, privacy screens, or special access restrictions are also required, for example, in restaurants or arcades. In certain urban planning contexts, a building permit may be required if structural alterations are necessary for the installation of machines. Therefore, consulting the relevant building authority is also mandatory.
What trade law obligations apply to vending machine operators?
Vending machine operators are subject to extensive trade law obligations. The business must be properly registered with the competent trade office; the type and number of machines installed as well as their locations must be specified. Changes such as changes in location or new machines must be reported immediately. In addition, all relevant certificates must be presented, such as certificates of good conduct, a tax clearance certificate from the tax office if applicable, and police clearance certificates in accordance with § 33c GewO. Furthermore, vending machine operators must document regular maintenance and inspections according to technical rules (for example, Technical Guideline TR 5 for slot machines) and present these to authorities upon request. Failure to comply with these obligations can lead to administrative offence proceedings and revocation of the installation permit.
What tax law requirements must be observed?
Any income from operating vending machines is generally subject to value added tax, which must be declared monthly or quarterly. For certain machine types, such as slot machines, an additional amusement tax applies, which is a municipal levy and varies widely depending on the city or municipality. Vending machine operators are required to record revenues correctly, keep cash reports and accounting documents available for audit at any time, and present them to authorities upon request. Manipulating meter readings or concealing revenues can result in high tax back payments, fines, and criminal prosecution.
What must be considered for vending machines from a youth protection perspective?
Depending on whether the machine offers goods, services, or games of chance, different requirements for youth protection apply. In particular, for slot machines and tobacco vending machines, there are strict age verification requirements (typically access or use permitted only from age 18). Operators must ensure that either automatic identification systems are installed (e.g., EC card, ID card, or driver’s license checks) or that staff on site actively ensures compliance with youth protection. Violations of youth protection requirements are punished with heavy fines and lead to the revocation of the operating license.
What liability and safety obligations apply to vending machine operators?
The vending machine operator is responsible for the technical safety and proper operation of the machine. The legal basis for this includes, among others, the Product Safety Act (ProdSG) and the Operational Safety Ordinance. Machines must be regularly maintained and checked for function and electrical safety. Defects or faults must be rectified immediately. Damages caused by defective or poorly maintained machines can lead to civil liability for the operator. In the case of personal injury resulting from unsafe machines, claims for damages as well as criminal consequences are threatened. Insurance against such risks is strongly recommended but does not replace legal obligations.
What data protection requirements must vending machine operators consider?
As soon as a vending machine processes personal data, the provisions of the General Data Protection Regulation (GDPR) and the Federal Data Protection Act (BDSG) apply. This concerns, for example, machines with customer cards, electronic payment functions, or video surveillance. Operators must provide transparent information, ensure data minimization and purpose limitation, implement appropriate technical and organizational measures to protect the data, and report to supervisory authorities in case of data breaches. Data protection violations can be sanctioned with heavy fines and claims for damages; therefore, it is advisable to consider data protection from the outset when selecting and implementing vending machines (Privacy by Design).
