The High Court of Kenya has issued a suspension on the country’s new gambling licensing framework. On Monday, Justice William Musyoka signed a stay order concerning the Gambling Control (Licensing) Regulations 2026, following legal action from Thomas Buckley Opar Owuor and Ken Brance.
David Sarinke, a partner at McKay Advocates, a Kenyan law firm, noted that this ruling halts operations within Kenya's licensed gambling market, primarily because the new regulations were designated solely for licensed operators. The case introduces a constitutional argument related to significantly heightened capital requirements for licensees.
Sarinke indicated that the final requirements reflected in the law exceeded those initially presented during the public consultation process. This raises concerns under Article 10 of Kenya’s 2010 Constitution, which emphasizes public participation as a national value.
"Once a case is filed challenging the enactment of a law, the court typically issues orders to prevent its implementation, particularly when the arguments rest on constitutional principles," Sarinke explained. He assessed the case’s grounding in the essential constitutional principle of public participation, suggesting that it strengthens the chances of success in the legal challenge since post-publication changes had not been opened up for public scrutiny.
The new regulations, alongside the pioneering Gambling Control Act, were initially received positively by Kenyan stakeholders after years of instability in the sector. The act replaced laws from as far back as 1966, transferring oversight responsibilities from the Betting Control and Licensing Board to the newly created Gambling Regulatory Authority (GRA).
However, the stay order now raises concerns regarding the timeline for advancing Kenya’s licensed gambling sector. Sarinke characterized this setback as significant, pointing out that, "This is a big blow because the new law has already come into operation. We are now left without a licensing framework, and depending on the duration of this situation, it may take months to make progress."
Moving forward, Owuor and Brance have 14 days to submit a detailed judicial review motion following the issuance of the stay order. In their application, they called for the complete abolishment of the current licensing regime, citing widespread apprehension among operators regarding their capability to meet the elevated financial requirements introduced by the new regulations, with some potentially facing closure.
They argued that the changes put thousands of jobs at risk, threaten investments, and could lead to a decrease in government tax revenue. Owuor is associated with Buckley Owuor & Co. Advocates based in Nairobi County and has a prior tenure as the business development director at Sportpesa for nearly three years.
Subsequently, after the substantive motion is processed, stakeholders including the regulator, the government, and the Association of Gaming Operators Kenya (AGOK) will have 14 days to respond. The GRA has not issued any comments regarding the court ruling. The High Court has scheduled a session for 21 September to determine the next steps in the case. Until a different mandate is issued, the interim stay remains effective, inhibiting the execution of the licensing regulations.
