The Federal Court of São Paulo has granted a partial injunction to Stake, ordering authorities to unblock the operator's platform and allow it to resume gambling operations in Brazil until 25 October 2026. The decision, handed down by Federal Judge Cristiane Farias Rodrigues dos Santos, marks the first legal victory for a licensed fixed-odds betting operator following President Luiz Inácio Lula da Silva’s decree banning online gambling in late September.
Court Rationale
The lawsuit, filed by law firm Bichara e Motta, originally requested that Stake be permitted to operate through 31 December 2029, the original expiration date of its license.
While the judge reserved judgment on the long-term claim for the main trial, she granted immediate relief until 25 October. The court ruled that since Provisional Measure No. 1,394/2026 itself specified 25 October as the termination date for existing operator authorizations, the government could not retroactively execute immediate blockades prior to its own stated deadline.
12 Mandated Operating Conditions
The court attached 12 strict regulatory conditions that Stake must maintain during this operational window:
- Prohibition of betting by individuals restricted by law, government programs, or self-exclusion systems.
- Ban on accepting wagers funded by government social welfare programs.
- Strict enforcement of user identification and verification mechanisms.
- Total ban on marketing and advertising aimed at minors.
- Freeze on new promotional campaigns and user-acquisition drives.
- Unrestricted access for players to withdraw their remaining account balances.
- Maintenance of sufficient capital reserves to cover all outstanding user balances.
- Preservation of all registration, financial, and transactional records.
- Continuous submission of required compliance reports to regulatory bodies.
- Strict prohibition against operating via unauthorized web domains.
- Prevention of third parties or clandestine operators from misusing the court ruling or the Stake brand.
- Active enforcement of anti-fraud, anti-counterfeiting, and trademark protection measures.
The issue of the full restoration of rights—based on continued employment through 2029—remains under court consideration within the ongoing lawsuit.
