Brazil’s regulated betting market is facing a new legal challenge after the country’s Attorney General’s Office (AGU) asked the Supreme Federal Court to declare key parts of the sector’s legal framework unconstitutional.
The move targets Laws 13.756/2018 and 14.790/2023, which form the foundation of Brazil’s regulated betting system. The AGU argues that the legislation fails to provide adequate protection against the potential social, health and economic harm linked to gambling.
AGU Questions Protections Under Betting Laws
In its submission to the Supreme Federal Court (STF), the AGU raised concerns over several areas, including household debt, gambling risks among children and teenagers and potential consequences for Brazil’s formal economy.
The office also pointed to a reported 140% increase in treatment provided through Brazil’s Unified Health System (SUS) for people experiencing gambling-related disorders.
According to the AGU, the existing framework was not sufficiently designed to protect fundamental rights, including public health, human dignity and minimum living standards.
The submission therefore places the regulatory model itself under scrutiny, rather than focusing only on individual betting rules or operators.
Challenge Comes Amid Wider Betting Legal Battle
The constitutional challenge adds another layer to an already uncertain legal situation for Brazil’s gambling industry.
The Supreme Court is separately examining President Luiz Inácio Lula da Silva’s 25 September provisional measure seeking to prohibit betting in Brazil.
STF Minister Luiz Fux, who is overseeing the proceedings, has requested information from the government as part of the case and gave the AGU 72 hours to respond.
The AGU had previously sought the same 72-hour period after the first legal challenge against the betting ban was filed.
During the proceedings, the government body also submitted a separate action containing changes to elements of its legal arguments.
Brazil’s Betting Market Faces Further Uncertainty
The latest submission leaves Brazil’s betting sector facing questions on two fronts: whether the country’s existing regulated framework can withstand constitutional scrutiny and what will happen to the government’s proposed betting prohibition.
With both issues now before the Supreme Court, the future structure of Brazil’s betting market remains subject to further legal consideration.