Brazil’s Supreme Court Suspends Municipal Lottery Judgment

Update, 6 November 2026: Brasil: Audiencia Maratónica Sobre Prohibición de Apuestas Sin Decisión Final

Brazil’s Supreme Federal Court (STF) has suspended the judgment of Fundamental Precept Non-Compliance Action (ADPF) 1212 concerning municipal lottery operations. The suspension occurred on November 4 after oral arguments, with no new date yet set for resumption, according to SBC Noticias.

What Happened

The judgment for Fundamental Precept Non-Compliance Action (ADPF) 1212, addressing the operation of municipal lotteries in Brazil, commenced on Wednesday, November 4. Following oral presentations from the parties involved, Minister Edson Fachin, President of the Supreme Federal Court (STF), made the decision to suspend the proceedings. A new date for the judgment’s resumption has not yet been determined, as reported by SBC Noticias.

Prior to this suspension, Minister Nunes Marques, the action’s rapporteur, had already issued an interim measure. This measure provisionally halted municipal lottery regulations and activities, including the accreditation of companies. Arguments against municipal lottery operations were presented by Ivan Cândido de Franco, representing Solidariedade, who contended that municipalities infringe upon the Union’s authority by legislating on lotteries. He also highlighted a lack of federal oversight for companies accredited by municipalities. Isadora Maria Belém Rocha Cartaxo de Arruda, Secretary-General of Litigation and representative of the Attorney General’s Office (AGU), supported this view, stating that the Constitution reserves lottery exploitation competence for the Union, states, and the Federal District, not municipalities. Arruda further raised concerns about decentralized oversight, noting potential increased risks to public health, consumer protection, and family finances, particularly with online betting, according to SBC Noticias.

Key Details

• The STF suspended the ADPF 1212 judgment regarding municipal lotteries on November 4 after hearing oral arguments, with no new date set (SBC Noticias).
• Minister Nunes Marques had previously issued an interim measure suspending municipal lottery rules and company accreditations (SBC Noticias).
• Opponents argue that municipalities exceed their constitutional authority by legislating on lotteries and that municipal operators lack federal oversight (SBC Noticias).
• Proponents of municipal lotteries, including the Municipality of São Paulo, argue they serve local interests and provide resources for public policies (SBC Noticias).

Why It Matters

The ongoing legal challenge and subsequent suspension of ADPF 1212 underscore a critical jurisdictional debate within Brazil’s regulated gambling sector. The core issue revolves around whether municipalities possess the constitutional authority to operate lotteries, a power that the Attorney General’s Office attributes solely to the Union, states, and the Federal District. This dispute has significant implications for the regulatory framework of lotteries and betting, particularly concerning online modalities, which, according to the AGU, could lead to increased risks without federal oversight, as reported by SBC Noticias. Entities such as the National Association of Games and Lotteries (ANJL) have identified irregularities in municipal online betting operations, while other groups, including the National Association for Legal Security of Games and Betting (ANSEJA) and the Brazilian Association of Finance Secretariats of Capitals (ABRASF), defend municipal lotteries as a source of local public funds, provided federal legislation is respected.

What’s Next

A new date for the resumption of the ADPF 1212 judgment has not yet been defined by the Supreme Federal Court (STF), according to SBC Noticias.