Flamengo Considers Amicus Curiae Move on Betting Decree
The club seeks to protect its R$ 268 million deal with Betano without filing an individual direct lawsuit.
Flamengo is unlikely to file an individual direct lawsuit against Brazil's provisional measure on sports betting, but is exploring joining legal proceedings as an amicus curiae. The move aims to provide key documentation and protect the club's record R$ 268 million shirt sponsorship deal with Betano.
Flamengo will not file an individual direct lawsuit to challenge Brazil's provisional measure on sports betting. However, according to reporting from a high-ranking club source, the board is considering acting as an amicus curiae, assisting the court by supplying relevant contractual data and documentation.
Assisting the court and Betano revenue
In the video above, Bernardo Ramos breaks down the legal implications and the Rio de Janeiro club's strategy. The primary goal is to provide courts with concrete documentation, including the primary sponsorship deal with Betano worth R$ 268 million—the largest in Brazilian soccer history. Bernardo believes Flamengo is taking the right approach by avoiding the friction of a solo lawsuit, trusting that this evidentiary backing will help secure injunctions to maintain brand display and cash flow.
Contract stability is vital for the Rubro-Negro's cash flow. Bernardo points to reporting by journalist Diogo Dantas indicating Flamengo has earmarked R$ 40 million annually through 2028 to pay installments for six signings: Paquetá, Plata, Emerson Royal, Samuel Lino, Joaquín Freitas, and Anthony Valencia. A sudden drop in sponsorship income would jeopardize the financial commitments of a management team that structured itself to keep payments current.
Impact on the ecosystem and criticism of state bailouts
According to Bernardo, sports betting sponsorships have built an essential ecosystem for clubs and major media companies alike, citing brands like Superbet, KTO, and Bandbet. He warns that shutting down the regulated market will push users toward illegal operators that pay no federal taxes.
Bernardo also criticizes discussions in Minas Gerais regarding state-backed bailouts for soccer clubs, mentioning Cruzeiro. The journalist compares the concept to a soccer equivalent of PROER—the financial system restructuring program established in 1995 under President Fernando Henrique Cardoso—and views such proposals as purely political maneuvers, stressing that the public sector has no obligation to fund clubs or SAFs.
As the measure moves through Congress, the recommended stance for club president Bap is patience, avoiding rushed contract terminations in the heat of the moment. To clarify the legal concepts, Bernardo noted that he consulted attorney and journalist André Canfí, a columnist for UOL.