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Can I offer contests that involve referral bonuses in North Carolina? What are the requirements?

Based on the documents provided, there are no specific laws or regulations in North Carolina that prohibit offering contests that involve referral bonuses. However, it is important to ensure that such contests comply with general business laws and regulations in the state.

To offer contests that involve referral bonuses in North Carolina, businesses must ensure that they comply with the following requirements:

Requirements for Offering Contests with Referral Bonuses in North Carolina

  1. Compliance with Entry Requirements [3.1]: Any contests must comply with the entry requirements set forth by the North Carolina State Fair Administration. Entry closing dates for each of the competitive departments will be determined by the fair manager and will be posted in the department premium list.
  2. Compliance with Business Laws and Regulations: Businesses must comply with all applicable business laws and regulations in North Carolina, including those related to advertising, consumer protection, and unfair trade practices.
  3. Compliance with Tax Laws: Businesses must comply with all applicable tax laws in North Carolina, including those related to income tax, sales tax, and use tax.
  4. Compliance with Lottery Laws [4.2]: If the contest involves a lottery, businesses must comply with the North Carolina State Lottery Fund laws. All proceeds from the sale of lottery tickets or shares must be deposited in the North Carolina State Lottery Fund.
  5. Compliance with Compensation Increase Limits [4.4]: If the contest involves employee compensation, businesses must comply with the limits on compensation increases set forth by the North Carolina Lottery Commission.
  6. Compliance with Federal Laws: Businesses must also comply with all applicable federal laws and regulations, including those related to advertising, consumer protection, and unfair trade practices.

It is important to note that these requirements are not exhaustive and businesses should consult with legal counsel to ensure full compliance with all applicable laws and regulations.

Therefore, businesses can offer contests that involve referral bonuses in North Carolina as long as they comply with the above requirements.

Source(s):
Jurisdiction

North Carolina