Can I offer contests that involve skill-based games in Colorado? What are the requirements?

Yes, you can offer contests that involve skill-based games in Colorado. However, you must comply with the state’s regulations on sweepstakes and contests. According to CORS 6-1-801, the general assembly requires that Colorado consumers be provided with all relevant information necessary to make an informed decision concerning sweepstakes and contests. It is also the intent of the general assembly to prohibit misleading and deceptive prize promotions. The terms of this part 8 shall be construed liberally in order to achieve this purpose. Therefore, you must ensure that your contest is not misleading or deceptive and that all relevant information is provided to participants. Additionally, CORS 18-5-402 prohibits rigging publicly exhibited contests. A person commits a civil infraction if they knowingly engage in, sponsor, produce, judge, or otherwise participate in a publicly exhibited or advertised contest knowing that the contest is not being conducted in compliance with the rules and usages purporting to govern it, by reason of conduct prohibited by this section. There are no specific requirements for skill-based games in Colorado, but you must ensure that your contest complies with these regulations.

In addition to these regulations, there are also validation requirements and payment of prizes regulations that you must follow. For instance, to be a valid winning ticket, all the following conditions must be met: the ticket must be intact and not be mutilated, altered, unreadable, reconstituted, or tampered with in any manner; the ticket must not be counterfeit in any way; the Retailer Validation Code must appear in the Play Area of the Ticket as described in the Instant Scratch Game Guideline; the ticket must have been issued by an authorized Instant Scratch Game Licensee in an authorized manner; the ticket must not have been acquired illegally or appear on any list of omitted Tickets at the Lottery; the ticket must meet all validation requirements in the Instant Scratch Game Guideline; the Validation Number must appear in the validation file; prizes will not be paid twice on tickets with the same Validation Number; no portion of the ticket may be blank and the ticket may not be mis-registered, defective, or printed/produced in error; and the ticket must pass all other confidential security checks of the Lottery ^[2.1].

To claim a prize of $600.00 or more, a prize winner, or their authorized representative shall complete a claim form and submit the completed form and ticket to the Colorado Lottery. The lottery shall pay the prize upon completion of the claim form and validation of the ticket pursuant to instructions on the back of the ticket. If a prize winner has outstanding obligations within the meaning of C.R.S. 44-40-113(6) and 44-40-114, the remaining balance of any prize will not be paid until such obligations are paid. Payment of any prize shall be made to the prize winner of the ticket. Any liability of the State, its officers and employees, and the Commission shall terminate upon payment ^[2.2].

In summary, to offer contests that involve skill-based games in Colorado, you must comply with the state’s regulations on sweepstakes and contests, validation requirements, and payment of prizes regulations.

Source(s):

• [2.1] Validation Requirements
• [2.2] Payment of Prizes

Jurisdiction

Colorado

• Gaming