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STF to rule on betting law in the first half of 2025

 
STF to rule on betting law in the first half of 2025
The rapporteur for the action, Minister Luiz Fux, said that he will evaluate the adoption of an urgent measure after concluding the public hearing.
From the Editors
 
Tuesday, November 12, 2024
 
Updated at 08:41
 
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Minister Luiz Fux during the public hearing on the betting law. 
 
 
Bets
CNC takes action against the betting law due to risk to financial health
The entity argues that the legalization of online sports betting, without the adoption of efficient public policies to combat gambling addiction, has led to an uncontrolled increase in debt among the population.
From the Editors
 
Wednesday, September 25, 2024
 
Updated at 08:09
 
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The CNC - National Confederation of Commerce of Goods, Services and Tourism filed a lawsuit with the STF, questioning the constitutionality of law 14.790/23 , known as the betting law, which regulates fixed-odds sports betting in Brazil. The entity requests the precautionary suspension of the effectiveness of the rule until the merits of the lawsuit are judged, claiming that the legislation contributes to the increase in debt of Brazilian families and negatively affects the retail sector.
 
In its petition, the CNC argues that the legalization of online sports betting, without the adoption of efficient public policies to combat gambling addiction, has led to an uncontrolled increase in debt among the population, especially among the most financially vulnerable. According to the data presented, more than 33 million Brazilians in vulnerable situations have already placed bets, with 22 million betting monthly, compromising 20% ​​of the family budget.
 
The confederation also highlights that the practice of betting has generated a significant reduction in the consumption of essential goods and services, such as food and health, directly affecting the retail trade. Estimates indicate that, between 2023 and 2024, the sector suffered a loss of up to R$117 billion in revenue, which represents an 11.2% drop in revenue. In the first half of this year alone, retail lost R$1.1 billion due to the diversion of resources to online betting.
 
CNC takes action against the betting law due to risk to financial health. 
In addition to the economic impacts, the CNC questions the lack of measures aimed at protecting the mental health of gamblers. The entity claims that the betting law would violate article 196 of the Federal Constitution, which establishes as the duty of the State to adopt policies to guarantee the health of the population. According to the petition, the law exposes gamblers to the risk of psychological disorders, such as pathological gambling, without providing effective prevention mechanisms.
 
Another point raised by the confederation is the violation of the constitutional principle of free enterprise, provided for in article 170 of the Constitution. The CNC states that the proliferation of online betting, encouraged by the law, has negatively impacted economic development, harming the trade of goods and services and discouraging new investments. The document also highlights that the decrease in essential consumption has led to the closure of small businesses and the reduction of jobs in the retail sector.
 
 7,721 was distributed to Minister Luiz Fux, who is already the rapporteur of another action related to the betting law, 7,640, filed by governors of seven states and the Federal District. The governors' action questions provisions that limit the activities of economic groups in the lottery sector in different states.
 
Finally, the CNC requests the suspension of the law until the final judgment on its merits, arguing that, if kept in force, the legislation could cause irreversible damage to the domestic economy and retail trade, in addition to worsening the debt situation of Brazilian families.
 
 link: https://www.migalhas.com.br/quentes/419758/stf-deve-julgar-lei-das-bets-no-primeiro-semestre-de-2025
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ALESSANDRO ALVES JACOB

Mr. Alessandro Jacob speaking about Brazilian Law on "International Bar Association" conference

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