There are those who argue that betting and gambling are part of life in society. In fact, many countries – including ours – have been legislating on the subject since time immemorial, usually to restrict it or to regulate it in multiple ways. If until now these regulations raised hesitations, with the rise of the Internet the issue – and the problems it poses – exploded: can I prohibit an individual from participating on the Internet from his computer in the bets organized by international electronic platforms on the Internet? Is it permissible to advertise in this regard, either in the traditional media or through the Internet?
The issue was discussed in a ruling by our Supreme Court of Justice (“the SCJ”) regarding an action promoted by none other than the South American Football Confederation, known as “CONMEBOL”. In 2022, within the framework of the TV broadcast of the Copa Libertadores de América and the Copa Sudamericana, CONMEBOL had included advertising from the betting site BETFAIR, sponsor of both competitions, in the broadcast. The advertisement caught the attention of the competent authority – the National Directorate of Lotteries and Pools (“the DNLQ”) – which without further formalities intimated CONMEBOL to cease the advertising carried out and imposed a fine of USD 60,000 (approx.). All this is based on a 2017 law that empowered the Administration to “adopt preventive and punitive measures” to put a stop to e-gambling, that is, unauthorized gambling through the Internet.
CONMEBOL attacked the constitutionality of this rule, arguing that it unduly limited their freedom to work.
Our highest judicial body rejected CONMEBOL’s proposal and endorsed the constitutionality of the rule. In the opinion of the SCJ, the law not only empowered the Executive Branch to adopt preventive and punitive measures to prevent the proliferation of unauthorized gambling through the Internet, but also prohibited the advertising of that same game. In the Court’s view, it was the law itself that clearly established the prohibition of advertising and sponsorship of (previously unauthorized) online gambling. With this starting point, the ruling continued, the regulation attributed to the Administration the material specification of the particular measures to give effect to the aforementioned prohibition; in fact, the law expressly gave the Administration the power to block access to websites as well as to prohibit commercial communications, sponsorship and advertising of unauthorized games.
In short, the Court ruled, the sanctioning powers that the law granted to the Administration are fully within the constitutional powers of the Executive Branch to enforce the laws.
