Sea Limited—Brazilian court fined Garena over Free Fire loot boxes marketed to children, ordered age verification and refunds
A Federal District (Brasilia) court ruled on June 17, 2026 that Garena and twelve other gaming and platform companies failed to protect children from 'loot box' randomized-purchase mechanics, in a civil action brought by Brazil's National Association of Child and Adolescent Defense Centers (ANCED). Garena, Sea Limited's gaming subsidiary, was fined R$15 million (~$2.9M) over Free Fire as part of a R$298M (~$58.7M) collective judgment against the named companies. The court ordered Garena, within 90 days, to display explicit randomness warnings, disclose item-drop probabilities, deploy reliable (non-self-declared) age verification blocking minors from loot-box purchases, and provide refunds for loot-box purchases made by minors without parental authorization. The ruling is subject to appeal.
Scoring Impact
| Topic | Direction | Relevance | Contribution |
|---|---|---|---|
| Child Safety | -against | primary | -1.00 |
| Consumer Protection | -against | secondary | -0.50 |
| Overall incident score = | -0.664 | ||
Score = avg(topic contributions) × significance (high ×1.5) × confidence (0.59)
Evidence (1 signal)
Federal District court judgment orders Garena to pay R$15M and implement child-safety measures for Free Fire loot boxes
The June 17, 2026 judgment of Brazil's 1st Child and Youth Court of the Federal District, in a civil action by ANCED, condemned Garena and twelve other companies for failing to protect children from loot-box mechanics, fining Garena R$15 million and ordering age verification, probability disclosure, warnings, and refunds within 90 days.