Costa Rica: The Congress of Costa Rica approves the sponsorship of alcoholic beverages in sports

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The Congress of Costa Rica approved, on Thursday, November 19, 2020, bill 21.663 that allows the sponsorship of alcoholic beverages in sports and sporting events, which until now was prohibited. This will allow the entry of fresh financial resources to the sports industry, which is expected to positively impact the quality of the sports infrastructure, the development of high-performance athletes, and the quality of sports events for spectators.

The new law establishes that all types of advertising of alcohol brands in sports will be regulated by the Ministry of Health, therefore the guidelines that this body determines at the time must be met, which will apply not only to interested companies in advertising their brands, but also sports teams, clubs, athletes and event organizers. Advertising may be used on billboards, uniforms, means of transportation used for sports competitions, and sporting goods, and the Ministry of Health will receive 10% of sports sponsorship contracts as a fee that will be distributed in various social welfare projects.

In this context, it will be of utmost importance for both alcoholic beverage brands and the sports industry, to comply with all the guidelines determined by the Ministry of Health to avoid non-compliance and sanctions.

At Dentons Muñoz we have all the technical knowledge on regulatory aspects, the sports industry, and sports law, to advise you on each of the following steps concerning the advertising of alcoholic beverages in sports.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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