Stake sponsorship causes legal headache to Sauber F1 team
Sauber’s recent partnership with Stake have run into legal issues in Switzerland with federal gaming authorities.
The Hinwil based team, who rebranded as 'Stake F1' will be dropping Stake from its team name in countries where the gambling brand is to comply with the legalities of various countries.
According to the Switzerland Federal Acts on Money Games, the advertising of Stake on the Swiss F1 team is not permissible as the online casino does not have a license in Switzerland.
The authorities have marked the branding as unauthorised advertising after the team launched its 2024 F1 car, the C44, in green and black colours with Stake branding.
The the Swiss Federal Gaming boad, Eidgenossische Spielbankenkommission (ESBK), is said to be investigating the racing outfit's partnership with Stake ahead of the 2024 season.
A report by Swiss publication SRF quoted Zurich-based Patrick Krauskopf, Head of the Centre for Competition and Commercial Law, saying:
“Sponsorship would be permitted. In this case, however, the Stake and Sauber brands are so closely linked and the term Stake is so strongly imprinted in the minds of viewers that we have probably crossed the red line into unauthorised advertising.”
The ESBK spokesperson spoke to Planet F1, saying:
“The fight against illegal gambling is regulated in the Swiss Gambling Act and is the responsibility of the Swiss Federal Gaming Board (SFGB). Advertising for games of chance that are not authorised in Switzerland is prohibited by law. Anyone who willfully advertises games of chance that are not authorised in Switzerland can be fined up to CHF 500,000. The SFGB has had the “Stake.com” website blocked as it is an online casino that is not authorised in Switzerland. The site has been on the SFGB’s blocking list since June 2021.”
Sauber launched its 2024 F1 challenger at Guildhall in London on Tuesday, February 6. According to various reports, it is understood that the team will be required to comply with the laws in several countries to adjust their branding prior to the 2024 season.
Sauber F1 team will use two names alternatively in different countries
Sauber F1 team representative Alunni Bravi has clarified the controversy surrounding their sponsorship, saying that the team will run two names in 2024.
Due to gambling partner Stake’s branding being banned in several countries, the Hinwil based team will be using their alternate title sponsor Kick’s branding and will run as Kick Sauber in some countries.
Speaking to Motorsport Network and on-site media at the launch of their car, Bravi said:
“As you know, last year we alternated two different names according to the different countries where we go racing. We will be fully complying with all the local applicable laws and where Stake is prohibited, so gambling advertising is prohibited, we will use a different name. As last year, we have Kick as one of our most important partners – our chassis name is a Kick Sauber – so where we are not going to race as Stake F1 Team, we will use a second team name.”
In its last season as an independent team, Sauber will run as customer team before it becomes Audi's factory team for 2025 and beyond. The iconic privateer team is in a transition before it becomes an engine manufacturer for the new engine era of the sport from 2026 and beyond.