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Can I offer contests that involve merchandise prizes in Indiana? What are the requirements?

Here are the requirements for offering contests that involve merchandise prizes in Indiana:

Disclosure of Prizes

Before a demonstration, seminar, or sales presentation begins, the promoter shall inform the person of the prize, if any, the person will receive [1.1][1.3].

Statement of Verifiable Retail Value of Prizes

The notice must state the verifiable retail value of each prize a participant has been awarded or may have been awarded [1.2].

Substitutions for Unavailable Prizes

If the prize described in this article is not available, the person who is to receive the prize shall be given the option of choosing one (1) of the following: (1) A prize of equal or greater value. (2) The verifiable retail value of the prize in cash or by a valid check. (3) A voucher, certificate, or other evidence of obligation stating that the prize will be shipped to the person within thirty (30) days at no cost to the person [2.1].

Criteria for Alcoholic Beverage Prizes

A qualified organization may give away as a prize for an allowable event an alcoholic beverage that is: (1) purchased by or donated to the qualified organization by a permittee or person described in section 5 of this chapter; (2) in sealed bottles or cases; and (3) provided for consumption off the premises only [3.2].

Donations of Alcoholic Beverages to be Prizes

A qualified organization may purchase or receive donations of alcoholic beverages in sealed bottles or cases from a wholesaler permittee, a retailer permittee, a dealer permittee, a farm winery permittee, a brewer permittee for a brewery that manufactures an aggregate of not more than ninety thousand (90,000) barrels of beer in a calendar year for sale or distribution within Indiana, or an artisan distiller permittee; and receive donations of alcoholic beverages in sealed bottles or cases from persons who are not permittees [3.1].

Alcoholic Beverage Prizes at Allowable Events without an Alcoholic Beverage Permit Permitted

A qualified organization that holds a license under IC 4-32.3-4 may give an alcoholic beverage as a prize at an allowable event without obtaining an alcoholic beverage permit under this title [3.3].

Therefore, you can offer contests that involve merchandise prizes in Indiana, but you must comply with the requirements mentioned above.

Source(s):
Jurisdiction

Indiana