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Brazil’s Supreme Court Schedules Hearing on Economic Impact of Betting Ban.

Brazilian Supreme Federal Court (STF) Justice Luiz Fux has scheduled a public hearing for 3 November at 10:00 to examine the economic consequences of Provisional Measure (MP) 1,394/2026, which prohibits fixed-odds betting across Brazil.

Fux is the rapporteur for the legal challenges seeking to overturn the measure. He will hear from 26 participants at the STF’s Second Panel. They include the Attorney General’s Office (AGU), the Ministry of Finance, betting industry associations and the Brazilian Football Confederation (CBF). Ten football clubs will also participate, according to Estado de Minas.

What Brazil’s Betting Ban Entails

President Luiz Inácio Lula da Silva signed MP 1,394/2026 on 25 September. Article 1 prohibits the operation, provision, intermediation and advertising of fixed-odds betting in Brazil. The ban covers online and land-based betting, including services offered by overseas operators. It applies to wagers on real sporting events and online games.

Article 4 states that all federal and state authorisations issued under Law 14,790/2023 expired 30 days after publication. Operators cannot claim refunds of authorisation fees or compensation.

Operators were given 10 days to shut down their websites and applications. They must also cancel unsettled bets and refund customers in full. Companies that fail to secure sufficient refund funds face daily fines of R$200,000.

The measure also bans betting advertising and sponsorship across all media. It prevents banks and payment institutions from processing betting transactions.

The Ministry of Justice can also fine internet platforms and app stores for violations. Penalties can reach 10% of their Brazilian group revenue. However, the maximum fine is R$50 million per infringement.

Industry Groups and Football Clubs to Participate

Several organisations involved in the legal challenges will attend the hearing. These include the National Confederation of Commerce in Goods, Services and Tourism (CNC). Other participants include the Prosecutor General’s Office (PGR) and the National Association of Games and Lotteries (ANJL).

The Brazilian Institute for Responsible Gaming (IBJR) will also participate. Other groups include the National Association for Legal Certainty in Games and Betting (ANSEJA). The National Association of Mayors and Vice-Mayors (ANPV) and Abracopel are also expected to attend. Abracopel represents state lottery concessionaires.

The 10 invited football clubs are Flamengo, Fluminense, Botafogo, Cruzeiro and São Paulo. Corinthians, Ponte Preta, Vitória, Guarani and Portuguesa complete the list.

Other participants include the Brazilian Association of Radio and Television Broadcasters (ABERT). The National Confederation of Industry (CNI) and criminal lawyers’ association ABRACRIM are also expected. The Economic Regulation Lab at the State University of Rio de Janeiro will participate as well.

Read Also: Brazil’s Betting Ban Debate Enters a New Phase After Lula’s Re-election

According to Estado de Minas, the challengers argue that shutting down licensed operators threatens legal certainty. They also warn of potential losses worth billions of reais. Furthermore, they argue that the government is using a provisional measure to bypass Congress.

The AGU represents the government’s position and supports the measure. It has asked the court to dismiss the legal challenges, CNN Brasil reported. In early October, the office also urged Fux to keep the betting ban in force.

Hearing Scheduled After Brazil’s Election

Fux scheduled the hearing after the second round of Brazil’s general election. This was intended to prevent the proceedings from being seen as judicial interference in the vote, CNN Brasil reported.

The parties had requested an urgent review. They cited the measure’s deadlines and its potential financial impact on football clubs and other stakeholders.

The restrictions follow Lula’s April call for a ban on online betting platforms. If upheld, the measure would dismantle Brazil’s federally regulated betting market. The market began operating in January 2025 under Law 14,790/2023.

What Happens Next?

The public hearing will begin at 10:00 on 3 November. It could influence the court’s review of the legal challenges. The proceedings may also affect the future of Brazil’s betting industry.

Under Article 62 of Brazil’s Constitution, a provisional measure expires unless Congress converts it into law within 60 days. The deadline can be extended once for another 60 days.

According to Estado de Minas, the initial 60-day period for MP 1,394/2026 ends on 23 November. The hearing will take place shortly before that deadline. This timing adds urgency to the legal and political debate over the betting ban.

Sources: Supreme Federal Court (STF), Presidency of the Republic of Brazil, Estado de Minas and CNN Brasil.

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