Brazil’s Betting Ban Complicates Legal Challenge to Minas Gerais Ad Restrictions
Brazil.- 23 October 2026 | www.zonadeazar.com The Government of Minas Gerais and Brazil’s Ministry of Sport have told the Federal Supreme Court (STF) that the nationwide gambling prohibition has substantially changed the legal circumstances surrounding a challenge to state-level advertising restrictions.
The dispute concerns Direct Action of Unconstitutionality (ADI) No. 8,014, filed by the National Association of Games and Lotteries (ANJL).
Both authorities argue that Provisional Measure No. 1,394/2026, which prohibits fixed-odds betting in Brazil, has reduced the practical relevance of continuing the proceedings.
However, the Supreme Court has not yet ruled that the case has become moot.
Minas Gerais Advertising Restrictions
The dispute began following the introduction of Decree No. 49,279/2026, adopted by the Government of Minas Gerais in August.
The legislation prohibits gambling advertising, commercial promotions and sponsorships involving betting operators across:
- State-owned property and public facilities.
- Events organised or supported by the state executive.
- Institutional communications and public infrastructure.
- Activities involving state funding.
The prohibition also covers adult-content platforms.
The Minas Gerais Government maintains that the decree governs the use of state property and resources rather than imposing a general ban on gambling advertising throughout the state.
ANJL Challenges the Decree’s Constitutionality
The National Association of Games and Lotteries filed proceedings before the STF, arguing that the decree interferes with powers reserved for the federal government.
According to the association, Brazil’s Constitution grants the Union exclusive legislative authority over lotteries and commercial advertising.
The ANJL also raises concerns relating to:
- The principle of legality.
- Free competition.
- Equal treatment of operators.
- Federal regulatory authority.
The association maintains that state-level rules cannot introduce restrictions that conflict with the federal legal framework.
Provisional Measure Changes the Legal Context
On 25 September 2026, Brazil’s federal government introduced Provisional Measure No. 1,394, establishing a nationwide prohibition on fixed-odds betting.
According to the Ministry of Sport, the measure changes the foundations of the legal challenge because the federal prohibition is broader than the advertising restrictions introduced by Minas Gerais.
The ministry argues that concerns about unequal treatment between federally and state-authorised operators have consequently become less relevant.
However, it also acknowledged that the provisional measure still requires approval by the National Congress and could cease to have effect.
The constitutional dispute therefore remains unresolved.
Supreme Court Previously Rejected an Injunction
On 21 September 2026, STF Justice Flávio Dino rejected an ANJL request to provisionally suspend the decree.
At that stage, the justice considered that the restrictions concerned the management of state-owned property and public resources.
However, that decision did not provide a final ruling on the decree’s constitutionality.
The substantive legal questions remain before the court.
Minas Gerais Also Questions ANJL’s Standing
In its October submission, the Minas Gerais Government introduced additional arguments questioning the ANJL’s legal standing to bring the case.
State authorities highlighted alleged discrepancies between the number of companies identified in the original petition and the association’s supporting membership documentation.
They also questioned whether the organisation represents a sufficiently consistent category of businesses with nationwide coverage.
Meanwhile, the Ministry of Sport argued that state administrative autonomy may justify certain restrictions, provided they do not create general economic prohibitions or interfere with federal legislative powers.
Next Steps and Industry Impact
The decision on whether proceedings should continue rests with the Federal Supreme Court, under Justice Flávio Dino.
The court must determine whether the nationwide prohibition renders the case moot or whether the constitutional challenge should continue.
The progress of Provisional Measure No. 1,394/2026 through the National Congress will also be decisive.
For the iGaming industry, the dispute highlights legal uncertainty arising from the interaction between state regulations, federal powers and new nationwide restrictions on betting activities.
Editó: @fonta
