Colombia court freezes Coljuegos’ online betting ad rules pending legal review
Colombia court freezes Coljuegos’ online betting ad rules pending legal review
Colombia’s Council of State has provisionally suspended key provisions of Resolution 20231000019054 of 2023, a regulatory framework issued by Coljuegos governing advertising by online betting operators.
The decision temporarily removes limits on advertising expenditure, as well as associated sanctions, fines, and clauses allowing unilateral termination of concession contracts for non-compliance with advertising rules. The court noted that the case does not yet resolve the substance of the dispute, but that it temporarily halts a significant part of the regulatory scheme.
The precautionary measure was adopted while the Council of State reviews a nullity claim filed by Bogotá-based law firm Sora Lawyers, which challenges the legality of several articles of the resolution.
The claim argues that Coljuegos exceeded its regulatory authority in areas affecting both contractual relationships and the scope of operators’ commercial freedom.
In a statement Sora Lawyers described the ruling as an important step towards strengthening legal certainty in the sector and ensuring a better balance between public oversight and operators’ rights.
Among the provisions suspended is the article that set strict caps on operators’ advertising spend. The rule limited marketing investment to either 20 per cent of a revenue-based metric or a ceiling equal to 11,000 statutory minimum monthly wages. The court also froze obligations requiring operators to file detailed advertising investment plans with Coljuegos and to provide extensive documentation supporting their marketing expenditure.
The ruling even goes further by suspending provisions that allowed the denial or early termination of concession contracts on the basis of branding issues, advertising practices, or relationships with certain suppliers linked to operators.
Sora Lawyers, said that although the order is provisional, the suspension of such a substantial part of the regulation already stands out as one of the most significant legal milestones for the sector in recent years.
Online gambling represents a substantial segment of Colombia’s gaming industry, with annual betting volumes estimated at approximately COP 45 trillion, accounting for nearly half of total gambling revenues in the country. The outcome of the case could therefore have significant implications for both regulatory policy and market dynamics in the sector.
