The Attorney General of the Republic, Paulo Gonet Branco, sent a direct action of unconstitutionality (ADI) to the Federal Supreme Court (STF) against Laws No. 14,790/2023 and No. 13,756/2018 last Monday (11).
Gonet argues that these standards do not meet the minimum requirements to preserve constitutional values. The laws in question allow the indiscriminate exploitation and dissemination of virtual betting systems based on sporting events (sports betting or bets) and online gaming events (virtual bookmakers).
In addition to federal laws, the action questions the set of ordinances from the Ministry of Treasury that regulate fixed-odd betting. This modality defines, at the time of the bet, how much the bettor can win in case of a hit.
Arguments and concerns
According to the Attorney General of the Republic, “the legislation is insufficient to protect the fundamental rights of consumers, given the predatory nature of the virtual betting market.” He adds that the instrument provided by law to admit the exploitation of lotteries by the State is constitutionally inappropriate.
Gonet argues that betting legislation harms:
- Social rights to health and food
- Consumer rights
- Property right
- Rights of children and adolescents, the elderly and people with disabilities
Furthermore, the attorney general highlights that the legislation:
- Conflicts with principles of the economic order and the internal market
- Ignores the State’s duty to protect the family unit
- Disregards the constitutional requirement to grant public services by concession or permission, through bidding
- It deviates from constitutional restrictions on the advertising of products that pose a high risk to health
Legal context
Law No. 13,756/2018 established the new betting modality and provided for the allocation of part of the resources, but did not regulate online betting. Therefore, this resulted in a new market without criteria to protect users and the national market.
Therefore, the situation is aggravated by the fact that many websites and operators are based in other countries, making it difficult to control, supervise and tax the activity. Law No. 14,790/2023 attempted to reduce the negative social impacts of the new market, but, according to Gonet, it was not enough.
Requests for action from the Attorney General of the Republic
In the direct action of unconstitutionality (ADI), the attorney general requests:
- The unconstitutionality of the provisions of Law No. 14,790/2023 that deal with fixed odds bets
- The unconstitutionality of articles 29 to 33 of Law No. 13,756/2018, which established the new betting modality
- A precautionary request (provisional injunction) to suspend the effectiveness of the questioned rules, prohibiting bets
In summary, Gonet emphasizes that he does not intend, in the ADI, for the Federal Supreme Court to act as a positive legislator.