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Can I offer contests that involve mobile apps in Texas? What are the requirements?
Based on the provided context documents, it is possible to offer contests that involve mobile apps in Texas. However, there are certain requirements that must be met.
Requirements for Contests Other Than Drawings
Tex. Bus. & Com. Section 621.202 outlines the required records for contests other than drawings. This includes maintaining records of the identity and address of each person responsible for developing, creating, sponsoring, or implementing any part of the advertising plan or program, records that show that the winning numbers have been deposited in the mail or otherwise made available to recipients in accordance with the odds statement provided, a copy of each contest solicitation, and records adequate to determine the name and address of each contestant, the approximate date each contestant was sent the solicitation used in the contest, the number of major prizes awarded, the date each major prize was awarded, the name, brand, type, model number, and manufacturer of each prize offered, the method of computing the retail value of each prize, the method of selecting major prize winners, the name and address of each major prize winner, and the facts on which each representation or disclosure made in connection with the contest was based and from which the validity of the representation or disclosure can be determined.
Requirements for Matched Contests
Tex. Bus. & Com. Section 621.103 outlines the requirements for matched contests. This includes determining the identity and number of major prizes to be awarded before the contest begins and disclosing this information on each entry form distributed. Each major prize identified on an entry form for a matched contest must be awarded. The contest period for a matched contest may not exceed 12 calendar months. If, during the contest period for a matched contest, a winning number is not presented or matched for a major prize, the offeror shall conduct a drawing from the names of those individuals who attended a sales presentation during the contest period. The offeror shall conduct the drawing not later than the 60th day after the date the contest period ends. Each major prize identified on the entry forms distributed during the contest period that was not previously awarded shall be awarded at the time of the drawing.
Required Disclosures Relating to Matched Contests
Tex. Bus. & Com. Section 621.104 outlines the required disclosures relating to matched contests. This includes clearly and conspicuously disclosing in writing in the offer that attendance at a sales presentation is required, the name and street address of the person who is soliciting attendance at a sales presentation, a description of the product or service being sold, each requirement, restriction, qualification, and other condition that must be satisfied for a person to enter the contest, including any deadline by which the person must visit the location or attend the sales presentation to qualify to receive a prize and the approximate duration of the sales presentation, a statement of the odds of winning each prize offered, expressed as a ratio in Arabic numerals, the geographical area or states in which the contest will be conducted, the beginning and ending dates of the contest period, the identity and address of each person responsible for awarding prizes, that all unclaimed prizes will be awarded by a drawing and the date of the drawing, and all other rules and terms of the contest.
Using Game Piece to Convey Information or Offer to Enter
Tex. Bus. & Com. Section 622.105 prohibits using a scratch-off device or any other game piece that suggests an element of chance or luck to convey information about a sweepstakes or an offer to enter the sweepstakes.
Sending Sweepstakes Material That Includes Certain Statements or Implications
Tex. Bus. & Com. Section 622.104 prohibits sending material accompanying or relating to a sweepstakes or an offer to enter the sweepstakes that includes certain statements or implications, such as stating or implying that an individual must comply with a restriction or condition to enter the sweepstakes, unless all individuals entering the sweepstakes are required to comply with the identical restriction or condition, or stating or implying falsely that the individual receiving the material has received special treatment or personal attention from the offeror of the sweepstakes or any officer, employee, or agent of the offeror.
Required Disclosures Relating to Prizes Generally
Tex. Bus. & Com. Section 621.102 requires an offeror who notifies a person that the person has won a prize, will receive a prize, or has a chance to win or receive a prize to clearly and conspicuously disclose that attendance at a sales presentation is required, the approximate duration of the sales presentation, and a description of the product or service being sold.
Conditioning Prize on Purchase Prohibited
Tex. Bus. & Com. Section 621.109 prohibits notifying a person that the person has won a prize, will receive a prize, or has a chance to win or receive a prize if the receipt of the prize is conditioned on the person purchasing a good or service unrelated to the prize.
Based on the above requirements, if a mobile app contest meets these requirements, it can be offered in Texas.
Jurisdiction
Texas