The High Court of Kenya has placed a temporary block on the country’s new gambling licensing framework. On Monday, Justice William Musyoka issued a stay order regarding the Gambling Control (Licensing) Regulations 2026, following a lawsuit brought forth by Thomas Buckley Opar Owuor and Ken Brance.
David Sarinke, a partner at McKay Advocates, explained that this ruling effectively halts operations within Kenya’s licensed gambling market since the new regulations were specifically designed for licensed entities.
The case against the regulations raises constitutional concerns, particularly related to the substantial increase in capital requirements for licensees. Sarinke noted that the final figures stipulated in the legislation exceeded those discussed during public consultations.
Under Article 10 of Kenya’s 2010 Constitution, public participation is considered a fundamental national value and principle of governance. "Once a case is filed to contest a law's enactment, the court typically issues orders to suspend its implementation, especially when grounded in constitutional arguments," Sarinke remarked. "The foundation of this case lies in a crucial constitutional principle of public participation. This significantly impacts the likelihood of success, as there were modifications made post-publication that did not undergo public review."
The introduction of the new regulations, along with the significant Gambling Control Act, was viewed positively by many stakeholders in Kenya, marking what they hoped would be a fresh start after years of regulatory challenges. The act replaced laws that dated back to 1966 and shifted oversight from the Betting Control and Licensing Board to the newly created Gambling Regulatory Authority (GRA).
However, Sarinke expresses concern about delays for Kenya’s licensed gambling sector. "This is a major setback since the new law is already in effect," he remarked. "We currently lack a proper licensing framework, and resolving this matter could take months."
Moving forward, Owuor and Brance have 14 days to submit their formal judicial review application after the stay order was issued. They intend to request the complete abolition of the current licensing system, citing worries from numerous operators about their capacity to meet the heightened financial requirements imposed by the new regulations. Some operators are reportedly considering shutting down, which could jeopardize thousands of jobs and lead to a reduction in government tax revenues.
Thomas Buckley Opar Owuor is the owner of the law firm Buckley Owuor & Co. Advocates, located in Nairobi County. He has previously worked as the business development director at SportPesa for nearly three years.
After the substantive motion is filed, relevant stakeholders including the regulator, government officials, and the Association of Gaming Operators Kenya (AGOK) will have another 14 days to respond to the motion. The GRA has yet to issue any public statement regarding the court's ruling.
The case is scheduled for a hearing on September 21st in the High Court, where directions on the proceedings will be provided. Until then, the interim stay remains effective, preventing the implementation of the new licensing regulations.
