Ask Reggi Your Question Now

Reggi is the free generative AI assistance for regulatory compliance
Ask a Question

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

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

Requirements for Chance-Based Games

Any chance-based game offered in South Dakota must be licensed by the South Dakota Lottery and authorized by the commission [1.1]. The game must also meet certain requirements, including:

  • The game may not have any means of manipulation that affects the random probabilities of winning [1.1].
  • The game must have mechanisms that prevent obtaining credits without paying by stringing, slamming, drilling, or other means [1.1].
  • The game must have nonresettable meters that keep a permanent record of all cash and ticket vouchers inserted into the machine, all refunds of winnings made by the machine’s printer, credits played for video lottery games, and credits won by video lottery players [1.1].
  • The game must be capable of printing a ticket voucher stating the value of the prize for the player at the completion of each game [1.1].
  • The game must have accounting software that keeps an electronic record of all transactions [1.1].
  • The game must be linked under a central communications system to provide auditing program information as approved by the commission [1.1].

Licensing Requirements

Any person or entity that wants to offer chance-based games in South Dakota must be licensed by the executive director of the South Dakota Lottery [1.6]. This includes video lottery machine manufacturers, distributors, operators, and licensed establishments [1.6]. Each license is renewable annually unless sooner cancelled or terminated [1.6].

Conclusion

In summary, it is legal to offer contests that involve chance-based games in South Dakota, but the game must be licensed by the South Dakota Lottery and authorized by the commission. Additionally, there are specific requirements that must be met, and any person or entity that wants to offer chance-based games must be licensed by the executive director of the South Dakota Lottery.

Source(s):
Jurisdiction

South Dakota