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Can I offer contests that involve chance-based games in Pennsylvania? What are the requirements?

Based on the documents provided, it is possible to offer contests that involve chance-based games in Pennsylvania, but there are specific requirements that must be met.

Requirements for Games of Chance

According to [1.1], licensed eligible organizations may conduct games of chance for the purpose of raising funds for public interest purposes. However, a game of chance may not be conducted in which a participant who purchases a chance in the game can control, effect, or choose the winning chance or prizes. Additionally, games of chance proceeds must be used exclusively for public interest purposes or for the purchase of games of chance permitted by the act or this part.

Prohibition Against Promotional Use of Games of Chance

Games of chance may not be used as part of promotional or advertising methods, according to [1.2].

Special Raffle Permit Application

If you wish to conduct a special raffle, you must apply for a special raffle permit from the licensing authority. The application must include specific information, such as the licensed eligible organization’s name, the location of the drawing, the number of chances to be sold, the price per chance, and the cash value of the prizes to be awarded, among other things. The certified statement that this part, including the advertising prohibition, will be obeyed must also be included in the application, according to [1.3].

Requirements for Fantasy Contests

According to [2.1] and [2.2], a fantasy contest license holder may conduct fantasy contests in Pennsylvania in accordance with 4 Pa.C.S. Chapter 3 and the relevant subpart.

Manufacturer Registration and Game Approval

If you wish to sell or otherwise furnish games of chance to licensed distributors within Pennsylvania, you must be registered with the Department and possess a manufacturer’s registration certificate. Additionally, a registered manufacturer may not sell a game of chance in Pennsylvania to a licensed distributor until the Department has approved it. If a registered manufacturer modifies an approved game of chance in any substantial way, the game of chance must be considered a new game of chance and submitted for approval, according to [1.4].

Prohibition Against Participant Control of Winning Chances or Prizes

A game of chance may not be manufactured for sale and use in Pennsylvania in which a participant who purchases a chance in the game can control, effect, or choose the winning chance or prizes, according to [1.5].

Application Review and Processing

If you wish to apply for a fantasy contest license, you must submit an application under the relevant subpart. The Board will review applications submitted to ensure compliance with 4 Pa.C.S. Chapter 3 and Board regulations. If an applicant fails to include any required documentation or information, the applicant will be notified and given an opportunity to cure the deficiency. Upon a determination that the prerequisites for filing have been met, the application will be accepted for filing, and Board staff will obtain information as may be necessary to determine the qualifications of the applicant and any matter relating to the application. An application submitted under this subpart and information obtained by Board staff relating to the application will be part of the evidentiary record to be utilized by the Board when deciding to approve, condition, issue, or deny a fantasy contest license. A determination as to the merit of the applicant to receive a fantasy contest license will be made within 120 days. If the license is not approved, the Board will provide the applicant with the justification for not issuing the fantasy contest license, according to [2.3] and [2.4].

In summary, it is possible to offer contests that involve chance-based games in Pennsylvania, but there are specific requirements that must be met. These requirements include obtaining a special raffle permit, complying with regulations related to games of chance, and obtaining a fantasy contest license.

Source(s):
Jurisdiction

Pennsylvania