Home Gambling RegulationsBrazil Files R$1 Billion Lawsuit Against 17 Betting Operators

Brazil Files R$1 Billion Lawsuit Against 17 Betting Operators

by Sienna Marques
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Brazil Files R$1 Billion Lawsuit Against 17 Betting Operators

The Brazilian federal government has initiated a lawsuit against 17 licensed betting operators, claiming R$1 billion (approximately $190 million) in collective moral damages. A federal judge has provided a timeframe of 30 days for the government to clarify the basis of the lawsuit and detail how the operators' actions contributed to healthcare expenses.

The lawsuit includes a list of 20 brands under scrutiny: Betano, Bet365, Superbet, Sportingbet, Esportes da Sorte, Onabet, Blaze, Betnacional, Estrelabet, 7K and Cassino, 7Games, Betão, Vaidebet, H2 Bet, Pixbet, Novibet, Bullsbet, Betfair, and KTO, all of which operate under licenses granted by the Ministry of Finance.

In addition to the significant R$1 billion claim for collective damages, the Attorney General’s Office (AGU) is pursuing reimbursement from these companies for the costs incurred by the Unified Health System (SUS) related to gambling-related health issues over the past five years. The exact amount to be paid will be determined in a subsequent liquidation phase.

The AGU is also requesting that the court annul wagers placed by players diagnosed with gambling disorders, enforce double restitution of their expenditures, and invalidate clauses in contracts that limit reimbursement rights. This legal action is grounded in Brazil’s strict liability principles articulated in the Civil Code and the Consumer Protection Code (CPC), which hold businesses in high-risk industries accountable for damages arising from their operations. The AGU's complaint references statistics indicating that 28 million Brazilians are currently engaged in online betting, with approximately 10.9 million experiencing gambling-related issues.

Judge Helio Silvio Ourem Campos has mandated the AGU to specify the health conditions included in the claim, outline how patients are identified, and detail the data sources and administrative records utilized to verify associated costs.

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