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Can I offer contests that involve entry fees in California? What are the requirements?
Yes, you can offer contests that involve entry fees in California, but the requirements may vary depending on the type of contest.
For raffles that involve entry fees, eligible organizations must register with the Department of Justice (DOJ) in the Nonprofit Raffle Program before conducting any raffle in California [4.2]. The registration application must be submitted on the Application for Registration/Nonprofit Raffle Program form prescribed by DOJ, which shall contain all of the information required, including a statement signed by a responsible fiduciary of the eligible organization attesting that the information provided is true and correct [4.2]. The registration fee for the Major League Sports Raffle Program is $14,400 [3.2]([4.2]:). The minimum age for raffle players is 18 years old [3.1]. The electronic raffle system used for the sale of raffle tickets by an eligible organization at a registered event must be certified by an independent gaming test laboratory and must meet standards no less stringent than GLI-31 [3.4].
For other types of contests that involve entry fees, such as skill-based competitions or sweepstakes, the requirements may vary. However, it is important to note that California law prohibits certain types of contests, such as those that require participants to make a purchase in order to enter [1.1]([3.1]:). Additionally, any contest that involves chance and offers a prize must comply with California’s gambling laws [1.1]([3.1]:).
It is recommended that you consult with a legal professional to ensure that your contest complies with all applicable laws and regulations.
Source(s):
- [1.1] Market Access Fee for Wagers Placed by a California Resident.
- [3.1] Raffle Tickets — Limitations; Requirements; Information on Raffle Tickets.
- [3.2] Eligible Organization Registration.
- [4.2] Conduct of Raffles.
- [3.4] Electronic Raffle Equipment Standards.
Jurisdiction
California