The High Court of Kenya has put a hold on the new gambling licensing framework. Justice William Musyoka issued a stay order on Monday against the Gambling Control (Licensing) Regulations 2026, following a legal challenge by Thomas Buckley Opar Owuor and Ken Brance. Owuor, who operates the law firm Buckley Owuor & Co Advocates in Nairobi County, has experience as a former business development director for Sportpesa.
David Sarinke, a partner at McKay Advocates, explained that this stay effectively halts the functioning of the licensed gambling market in Kenya, as the new regulations were applicable only to licensed operators. The legal case presented several constitutional concerns, primarily focused on the increased capital requirements imposed on licensees.
The final financial criteria outlined in the legislation were reported to be significantly higher than those initially put forth during public consultations. Under Article 10 of Kenya’s 2010 Constitution, public participation is deemed a national value and principle of governance.
"When a case is filed to contest a law before it comes into effect, the court typically issues orders to halt its implementation, especially when the basis for the challenge involves constitutional principles," Sarinke stated.
He emphasized that the case’s grounding on constitutional principles of public participation could strongly influence its outcome, as it argued that amendments made after publication were not subjected to public review.
The new regulations were part of a larger legislative overhaul, including the Gambling Control Act, which supporters had seen as a positive shift for the industry after a prolonged period of instability. This act replaced legislation that dated back to 1966 and restructured oversight, transferring authority from the Betting Control and Licensing Board to the newly established Gambling Regulatory Authority (GRA).
However, Sarinke expressed concern regarding the timeline for progress in Kenya’s licensed gambling sector. "This is a significant setback because the new law is already in effect. Without a licensing framework, it may take several months to move forward, depending on how the case unfolds," he remarked.
As for the case, with the stay order now in effect, Owuor and Brance are required to submit their formal judicial review motion within 14 days. They have called for a complete repeal of the current licensing regime, citing widespread anxiety among operators regarding their ability to meet the heightened financial requirements, with some considering shutting down their businesses.
Their claim notes that this situation could jeopardize thousands of jobs, harm investments, and diminish government tax revenue.
Once the substantive motion is filed, stakeholders, including the regulator, the government, and the Association of Gaming Operators Kenya (AGOK), will have a further 14 days to respond. The High Court has scheduled a hearing for September 21 to provide guidance on the progression of the case. As of now, there has been no public comment from the GRA regarding the court's decision. The interim stay will remain in effect until the court orders otherwise, thus barring the implementation of the new licensing regulations.
