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Can I offer contests that involve non-cash prizes in Montana? What are the requirements?
Based on the documents provided, it is legal to offer contests that involve non-cash prizes in Montana. However, there are certain requirements that must be followed.
Requirements for Offering Contests with Non-Cash Prizes in Montana
- The contest must not be a form of credit gambling and sales may not be made by credit card [4.1].
- The value of the prize awarded for an individual ticket may not exceed $5,000 [1.1].
- The contest must comply with Montana statutes and regulations, including ARM 23.16.2602, as well as all other applicable state and federal statutes and regulations [4.1].
- The contest terms must be made available to the public prior to the sale of any tickets. The terms may include the name and contact information of the sponsor, persons eligible or ineligible to purchase tickets, locations where sales are known to be prohibited, cost of tickets, a complete description of the prize(s) and its value, an estimated number of tickets to be sold, the date ticket sales close, and the method of drawing winning ticket(s) [4.2].
- The selection process used to determine the winner(s) must be reasonably assured of being random and is not connected to an event that has its own intrinsic significance (e.g., a sports event, game of chance, contest) [4.2].
Additionally, unclaimed prizes must be forfeited and paid into the state lottery fund after 6 months [2.1][3.1].
Conclusion
In summary, it is legal to offer contests that involve non-cash prizes in Montana as long as the requirements listed above are followed. Unclaimed prizes must be forfeited and paid into the state lottery fund after 6 months.
Source(s):
- [1.1] Raffle prizes – investigations – rulemaking
- [2.1] Drawings for and payment of prizes – unclaimed prizes
- [3.1] PRIZES
- [4.1] AUTHORITY TO OFFER 50/50 RAFFLES, 50/50 RAFFLE PROCESSING SYSTEM RESTRICTIONS
- [4.2] RAFFLE GENERAL REQUIREMENTS, AUTHORIZED RANDOM SELECTION PROCESSES, AND RECORD KEEPING REQUIREMENTS
Jurisdiction
Montana