iGaming Fox iGamingFox

Stake Wins Temporary Reprieve From Brazil Online Gambling Ban

A São Paulo federal court has allowed Stake to continue operating in Brazil until October 25, while rejecting the operator's request to preserve its licence through 2029.

Stake has secured a partial preliminary injunction allowing it to continue operating in Brazil until October 25 despite the nationwide suspension of licensed online betting and casino activity.

The ruling was issued on October 8 by the 9th Federal Civil Court of São Paulo.

Most previously licensed operators were required to take their websites and applications offline from October 6 under Provisional Measure No. 1,394/2026.

Stake challenged the measure and asked the court to preserve its right to operate until the original expiry of its federal authorisation in 2029. The judge rejected that broader request but granted the company a temporary extension until October 25.

Court Relied on 30-Day Licence Transition

The dispute centres on two different deadlines contained in the provisional measure.

Operators were required to stop making their platforms available to players from October 6, but existing federal authorisations are only extinguished 30 days after the measure entered into force on September 25.

Stake argued that its licence should therefore continue to have legal effect during that transition period.

The court accepted that argument on a limited basis.

The injunction does not invalidate Brazil's gambling prohibition or establish that Stake has a permanent right to remain in the market. Instead, it temporarily protects the operator until the existing authorisation reaches the October 25 deadline established by the measure.

Stake Cannot Launch New Advertising Campaigns

The temporary permission comes with restrictions.

Stake must continue complying with the requirements imposed under the new measure and cannot launch new promotional campaigns during the protected period.

Its Brazilian domain cannot be blocked or redirected while the injunction remains effective, and the operator is protected from sanctions based solely on continuing to operate within the conditions established by the ruling.

That gives Stake a commercial position that is currently different from most of the previously regulated market, which stopped serving Brazilian players from October 6.

The decision does not automatically apply to other licensed operators.

Court Rejects Request to Operate Until 2029

Stake had sought substantially broader protection.

Its federal authorisation was originally valid until the end of 2029, and the operator asked the court to allow it to continue operating for the remainder of that term.

The judge refused to grant that request.

As a result, October 25 remains the key deadline for Stake unless the injunction is changed, another court issues further relief or Brazil's wider regulatory situation changes before then.

The ruling is therefore a temporary extension rather than a restoration of the company's original licence term.

Decision Could Become Test Case for Other Operators

Stake said it believes it is the first federally licensed betting operator to obtain a court decision of this type following the introduction of the ban.

Other companies and industry associations are also challenging the new framework through the courts.

That makes the Stake ruling potentially relevant to operators assessing whether individual legal action could provide temporary protection while broader cases remain unresolved.

However, the decision was issued in Stake's own proceedings and does not reopen Brazil's regulated market as a whole.

The country's gambling framework remains uncertain, with the temporary prohibition still in force and separate legal and legislative challenges continuing.

For Stake, the immediate outcome is narrower: it can continue serving Brazilian customers until October 25 under court protection, but it has not secured the right to operate through the original 2029 licence term.

Comments (0)

No comments yet. Be the first!

More from News