On October 1, a new bill was proposed in Brazil's Chamber of Deputies aimed at mandating refunds for bettors on their net losses. The bill, known as PL 5,502/2026, was introduced by Federal Deputy Ricardo Abrão. It requires betting operators to reimburse customers whose total deposits to their gambling accounts outstrip the money they have withdrawn.
Net loss is calculated by simply subtracting the total funds withdrawn from the total deposits made by players. Once enacted, this law would ensure that operators are obligated to refund the identified amounts, adjusted for inflation from the date of the original deposit. Importantly, these refunds would not incur any fees or deductions.
Article 3 of the bill outlines additional situations that would necessitate reimbursement, including unpaid winnings and instances where bets were accepted from self-excluded players or through unauthorized debits. Crucially, players would not need to show any misconduct on the part of the gambling operator to receive refunds for their net losses.
The bill does not specify any starting or cutoff date, meaning that bets placed before the market's closure could potentially be eligible for refunds under this legislation. Additionally, the term 'operators' is broadly defined and is not restricted to companies licensed in Brazil.
While the proposal addresses several areas, it does leave some practical aspects ambiguous, such as whether refunds will be processed automatically or necessitate a claim from the bettor, and the timeline for the refund calculations. PL 5,502/2026 is now set to move through the legislative process.
