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Can I offer contests that involve entry fees in Arkansas? What are the requirements?
Based on the documents provided, it appears that contests involving entry fees are only allowed in Arkansas if they are conducted as bingo or raffle games by authorized organizations [1.1].
Requirements for Authorized Organizations
Authorized organizations must obtain a license from the Department of Finance and Administration to conduct games of bingo and raffles [1.1]. The license is subject to annual renewal and requires a fee of $100 [1.1]. In addition, authorized organizations must comply with certain conditions for eligibility, including maintaining records in accordance with generally accepted accounting practices [1.2].
Exemptions
Certain organizations, including bona fide civic clubs, nonprofit organizations, religious organizations or churches, local government entities or schools, and organizations auxiliary to or affiliated with such entities, are exempt from certain requirements related to bingo and raffles [4.1]. However, it is unclear whether these exemptions apply to contests involving entry fees that are not conducted as bingo or raffle games.
It is important to note that video lotteries by institutions or facilities governed by other wagering laws are prohibited [2.1]. Additionally, there are exemptions for certain types of solicitations and representations, such as the sale or purchase of books, recordings, and similar goods through a membership group or club regulated by the Federal Trade Commission [3.1].
Therefore, it is recommended to consult with a legal professional for further guidance on whether contests involving entry fees that are not conducted as bingo or raffle games are allowed in Arkansas.
Source(s):
- [1.1] License fees — Authorized organizations.
- [2.1] Video lotteries by institution or facility governed by other wagering laws prohibited.
- [3.1] Exemptions.
- [4.1] Exemptions from certain requirements.
- [1.2] Raffle and bingo records.
Jurisdiction
Arkansas