Brazil Betting Operators Reach Final Deadline as They Await Fux Decision at Supreme Court

Betting companies in Brazil have come to the end of a month-long deadline set by the federal government to remove their websites and to cease advertising fixed-odds betting, waiting for a verdict from the Supreme Federal Court (STF) on the decision that will outlaw the practice. This deadline is valid until 11:59 PM, and those operators need to comply with the provisions of Provisional Measure No. 1,394/2026.

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Meanwhile, companies and industry associations are calling for judicial action by STF Justice Luiz Fux, who is handling the constitutional actions invalidating the measure. During the weekend of the elections, lawyers acting for the sector filed further petitions asking for an injunction to set aside the provisional measure.

ANJL and IBJR Challenge Government Redirect

A federal government procedure that forces betting websites to send players to a government portal has also had its opposition voiced by the National Association of Games and Lotteries (ANJL) and the Brazilian Institute of Responsible Gaming (IBJR). The instruction, provided by the National Secretariat for Digital Rights of the Ministry of Justice, provides as a destination www.brasilsembets.gov.br.

The document states that “the redirect requested herein must be implemented directly by the companies holding the domains.” ANJL and IBJR argue that the measure amounts to a technical form of blocking because users would be taken to an information page rather than receiving an access error.

The associations say the government has no specific legal authority to do this with private domains. Redirecting is a technical term for blocking, except that the user is not directed to an error message, but to a warning page indicating the service was not available, the entities said.

Industry Questions Use of Private Domains

ANJL and IBJR also raised concerns about the side effects that may arise from traffic being diverted from the betting operators to the government website. Their petition seems to suggest that transferring a massive user base to a government channel would be possible because there was no compensation or specific legislation to give them permission to do so.

“One effect of this would be a true appropriation of private traffic, and this would require an express legal provision, which does not exist,” the associations argued. They estimated that the redirected domains could potentially generate around 100 million daily visits to the government portal.

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The entities further claimed that “the audience built by operators over years would, overnight, be transferred to a government channel, without compensation and without legal provision.” They also argued that the measure does not authorize the conversion of private domains into government communication or advertising channels.

Sixteen Clubs Reinforce STF Challenge

The Supreme Court has also been put under pressure by football clubs. On Sunday’s election day, 16 clubs, including Fluminense and Cruzeiro, have made a fresh request to Fux to set aside the effects of PM 1394/2026.

The clubs requested “the suspension of the effectiveness of Provisional Measure No. 1,394/2026, until the conclusion of its consideration by the National Congress or until a decision on the merits of this action.” They also asked the Supreme Court to schedule a public hearing on the issue.

The hearing would give the court information to evaluate the effects of the betting ban on football in Brazil, the clubs said. The request is coming amid a loss of betting sponsorships and other commercial deals as the government announced the end of regulation of the betting market.

However, with the deadline for consideration of operators to withdraw their platforms nearing its deadline, the industry continues to rely on the next actions of the STF. Whether a Fux decision will keep the prohibition in place during the Congress debate on the measure and the constitutional challenges continues depends on that ruling.

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Source: iGaming Brasil