Brazil’s Attorney General’s Office has asked the Supreme Federal Court to suspend Rio Grande do Sul’s betting advertising law. The case challenges a state measure that limits how sports betting platforms can advertise across the region.
The dispute centers on State Law No. 16,508/2026, sanctioned in April. The law sets restrictions on betting ads, sponsorships and marketing, with rules covering minors, warning messages, live broadcasts and digital platforms.
AGU challenges state authority
The AGU argues that Rio Grande do Sul has gone beyond its powers by creating state-level rules for a market already regulated federally. Brazil’s fixed-odds betting framework is overseen by the Ministry of Finance and its betting secretariat.
The case is being reviewed by the Supreme Federal Court after a challenge from the National Association of Games and Lotteries. The association wants the court to suspend the state law and declare it unconstitutional.
The central issue is whether a state can impose its own betting advertising rules when the federal government already regulates the sector. A decision could affect similar state-level proposals in other parts of Brazil.
Rio Grande do Sul law limits ads
The Rio Grande do Sul law requires betting advertisements to carry visible warnings about gambling risks. Those warnings must take up at least 15% of the ad and include information about addiction and support channels.
The law also restricts ads aimed at minors. Operators cannot use mascots, animations, fictional characters or other child-focused elements in betting campaigns. Broadcast rules are also included. Betting ads on television, radio, streaming and video-on-demand services can only run between 9pm and 6am.
Sponsorship and digital rules apply
The law also affects sports sponsorships and digital advertising. Betting brands can appear on professional uniforms only as identification, while stronger limits apply to non-professional and underage categories.
In digital channels, platforms must ensure betting ads are targeted only to adults. State bodies can order irregular ads to be removed and may seek website blocking in cases of non-compliance.
The rule also creates shared responsibility for operators, agencies, media companies and internet providers. Penalties can include warnings, fines, counter-advertising, suspension of activity and cancellation of state registration.
Federal betting rules remain active
Brazil’s national betting market launched in January 2025 after the approval of Law No. 14,790/2023. Licensed operators must meet rules on authorisation, payments, responsible gambling, advertising and anti-money laundering controls.
The Rio Grande do Sul case now tests how far states can go beyond those federal rules. The Supreme Court’s decision could shape whether betting advertising is controlled mainly by Brasília or by a mix of federal and state measures.
