Brazil: Maranhão and Ceará expand defense and local regulation of betting operations

The Government of Maranhão, a state in Brazil, has formally joined the national debate over Brazil’s betting regulation by filing a request with the Supreme Court to act as amicus curiae in one of the lawsuits challenging the constitutionality of the federal sports betting law.

The request, submitted by the state’s Attorney General’s office, argues that the law provides a “secure and controlled gaming environment” through strict rules on responsible gambling and debt prevention. 

It also highlights the economic benefits of a regulated sector, mentioning job creation, tax revenue and formalization of employment across technology, marketing and customer support.

“The regulation of sports betting brings significant benefits to the economy and society,” the state’s petition reads. “A regulated activity generates substantial tax revenue for the Union, States and Municipalities, strengthening public finances.”

Maranhão’s move is also seen as an effort to protect its recently established state lottery, Lotema, which could be affected if the Supreme Court strikes down the national betting framework. 

“All studies and procedures for implementing the Maranhão State Lottery were carried out with strict criteria,” the Government stated.

The lawsuits before the Court, filed by the National Confederation of Commerce and the Attorney General’s Office, remain pending under Justice Luiz Fux.

Meanwhile, the regulatory landscape continues to evolve at the municipal level. 

The city of Aratuba, in Ceará, has launched a tender to hire a company to manage its own betting platform, joining at least nine other municipalities in the state that have approved similar initiatives. 

Across Brazil, more than 70 Brazilian cities have authorized local lottery projects, a growing trend that federal authorities still consider irregular.

Mark Sullivan

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