Stake Reprieve, Fux Delay Talk Reshape Brazil Betting Ban

Brazil's online betting ban has shifted on three fronts since licensed sites went dark on Oct. 6. A federal judge in São Paulo has temporarily allowed Stake to resume operations. Supreme Court Justice Luiz Fux is reportedly considering holding his ruling until after the presidential runoff. Lawmakers also face an Oct. 13 deadline to propose changes to the ban.

All three developments point toward Oct. 25, which is both the runoff date and the day federal betting licenses expire under Provisional Measure No. 1,394. If Fux waits, Brazil's 85 licensed operators could lose their authorizations before any ruling arrives.

Justice Fux May Delay Betting Ruling Until After Oct. 25 Runoff

Fux is the Supreme Court justice overseeing the industry's challenges to the ban. Brazilian news portal UOL reported that he may hold off on his decision until after the Oct. 25 runoff.

According to the report, Fux told fellow justices that waiting would help avoid accusations of political bias. The runoff pits President Luiz Inácio Lula da Silva against Senator Flávio Bolsonaro, who led the first round. A delay would also mean licenses expire before the court weighs in.

Football clubs and broadcaster-linked associations have pressed Fux to rule this week. The Attorney General's Office has asked him to reject the industry's requests and keep the ban in place.

Federal Judge Lets Stake Operate Until Oct. 25 Under Strict Limits

On Oct. 8, federal Judge Cristiane Farias Rodrigues dos Santos granted Stake a partial injunction. The ruling from São Paulo's 9th Federal Civil Court lets Stake operate until Oct. 25 or until a court decides otherwise.

Stake had asked to keep its license until it expires in 2029, but the judge rejected that request. Her reasoning centered on a gap in the measure's own timeline.

The measure ordered sites offline by Oct. 6 but set licenses to expire 30 days after its publication.

She found that authorities cannot move up that expiry date.

The order bars bonuses, new promotions, and broad advertising. Stake must also block bets from welfare program recipients. The ruling applies only to Stake, and the Attorney General's Office plans to appeal.

Lawmakers File 48 Amendments Ahead of Oct. 13 Deadline

Members of Congress have until 11:59 p.m. Brasília time on Oct. 13 to file amendments to the measure. The original deadline was Oct. 1, but Congress extended it past the first round of voting.

Lawmakers had filed 48 amendments by Oct. 7. Several would exempt sports betting from the ban, while others would partially refund license fees or give football clubs time to wind down sponsorship deals. Federal Deputy Tabata Amaral filed one requiring the public health system to treat people with gambling problems.

Congress has not yet named the chair or rapporteur of the joint committee that will review the measure. The measure expires unless Congress converts it into law within 120 days.