Rio de Janeiro takes legal action against 43 online betting companies

Rio de Janeiro takes legal action against 43 online betting companies

The state claims that responsible gambling disclaimers are insufficient and proposes more specific and visible measures.

Brazil.- The Public Defender’s Office of Rio de Janeiro has filed a civil legal action against 43 online betting companies. The lawsuit, distributed to the 6th Business Court of the Capital District seeks R$300 million (€51m) in damages and demands that platforms display clear warnings about the risks of addiction and indebtedness.

The suit, which lists operators such as Betano, Betfair, Bet365, Superbet and Stake, argues that existing responsible gambling disclaimers like “bet responsibly” are insufficient and put the onus on players. It seeks to ban generic disclaimers in favour of warnings about specific dangers.

The suit also calls for the imposition of mandatory 10-second full-screen warnings, pop-up alerts, session tracking and visible loss reports. Under the proposed rules, the use of the phrase “play responsibly” in isolation could land operators with daily fines of R$10,000 (€1,500). A failure to display warning messages in pop-up or full screen for at least 10 seconds with no option of immediate closure would carry a fine of R$30,000.

In addition, the Ombudsman’s Office has requested that platforms implement consumer protection mechanisms, such as alerts in case of repeated or high-value bets, especially at night, temporary blocks in situations of risk, easily accessible self-exclusion tools and information panel with balance, time of use and accumulated losses.

The damages requested are based on estimates from the central bank that Brazilians spent roughly BR30bn per month on online betting in 2024. If granted, they would be directed to a national addiction prevention fund.

Government extends operation of GTI-Bets

Meanwhile, a joint ordinance of the Brazilian gambling regulator, the SPA and the Federal Revenue Service (RFB) has extended until September the operation of the GTI-Bets Intersecretarial Working Group. GTI-Bets focuses on monitoring tax compliance and compliance by authorised operators, in addition to assisting in the identification of companies that operate illegally in Brazil.

Initially scheduled to operate for six months, the group may have further extensions by decision of the secretaries. At the end of its operation, GTI-Bets must present a report with proposals.

Last month, the Senate’s Inquiry Commission (CPI) on online gambling proposed a series of new measures following its hearings on the new market for regulated online sports betting in Brazil. Senators made 16 recommendations, including proposals for tighter restrictions on advertising and marketing.

Meanwhile, Google confirmed it had removed its restriction on gambling apps in Brazil. It will now allow operators with Brazilian gambling licences to offer apps in the Play Store for Android devices. The move applies to lottery, horse racing, betting tips and daily fantasy games.

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