Can I offer contests that involve cash prizes in Tennessee? What are the requirements?

Yes, it is possible to offer contests with cash prizes in Tennessee, but only if the contest is operated by a nonprofit organization authorized by the general assembly to operate an annual event for such organization, and the contest complies with the annual event application requirements. The ticket, share, chance or other similar record shall bear on its face the name of the nonprofit organization on whose behalf the event is being conducted. All cash prizes or awards exceeding fifty dollars ($50.00) shall be paid by check from a designated account of the organization to a named individual. In the case of non-cash prizes or awards, payment shall be in the form of goods or services and, if applicable, by an appropriate legal instrument including, but not limited to, deeds, titles and gift certificates. Checks or other legal instruments payable to “cash” or “bearer” are expressly prohibited. The maximum prize amount that may be awarded in each individual regular bingo game, progressive jackpot bingo game or special bingo game is $1,000, whether such prize is awarded in cash and/or cash equivalent goods or services ^[2.1][3.1].

Source(s):

• [2.1] BINGO PRIZES
• [3.1] Name of organization on ticket, share, chance or similar record — Method of payment of prizes and awards — Limitations on prices and awards.

Jurisdiction

Tennessee

• Gaming