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

Based on the additional context documents, it appears that contests involving skill-based games are not explicitly addressed in North Dakota law. However, there are regulations regarding games of chance and raffles that may be relevant to your question.

Games of Chance

According to NDCC Section 53-06.1-07, games allowed in North Dakota are repealed. Therefore, it is unclear what games are allowed in North Dakota. However, NDCC Section 53-06.1-06 states that only members, volunteers, employees of licensed organizations, or organizations with permits may manage, control, or conduct any game. This suggests that games of chance may only be conducted by licensed organizations or organizations with permits.

Raffles

NDAC Section 99-01.3-05-02 outlines the limitations and requirements for raffles in North Dakota. It states that each raffle ticket is a separate and equal chance to win with all other tickets sold. An organization may sell several tickets or sell tickets in advance of a special event to a person at a discount. A discounted ticket must be specifically designated as a discounted ticket on the ticket and its stub. The number of discounted tickets must be predetermined and separately issued and accounted for when issued to a ticket seller.

An organization may not allow a raffle ticket seller to retain a ticket for free or retain any portion of the price of a ticket as compensation, and may not compensate the seller a certain amount or provide a gift for selling a winning ticket. An organization may provide a raffle ticket seller a fixed amount for selling the most or a certain number of tickets. No raffle ticket can be resold.

A raffle ticket must have a detachable stub that is consecutively numbered. A raffle ticket stub must have a duplicate number corresponding to the number on the ticket and contain the player’s name, address, and telephone number, or email address, except when double roll tickets are used. A ticket must be issued, as a receipt, to a player. For a raffle conducted by a licensed organization, the ticket numbers must be mechanically or electronically imprinted. For a raffle conducted by an organization that has a permit, the ticket may be manually imprinted.

Prize Restrictions and Requirements

NDAC Section 99-01.3-05-03 outlines the prize restrictions and requirements for raffles in North Dakota. It states that prizes must only be cash and must be fifty percent or more of gross proceeds for each single event raffle. However, a single cash prize may not exceed twenty-five thousand dollars and the total cash prizes may not exceed twenty-five thousand dollars during a day. Prize payouts must be based on ticket sales and not on cash retained by sellers.

Requirements for Bars and Organizations

NDAC Section 99-01.3-12.1-04 outlines the requirements for bars and organizations conducting games of chance. It states that a bar or organization employee may pay a winning player a cash or merchandise prize won on a prize board. A bar employee or an employee shall deface a winning number or symbol of a pull tab when it is redeemed. A bar or organization employee shall display the prize board while the board is in play.

Based on the above regulations, it is unclear whether contests involving skill-based games are allowed in North Dakota. It is recommended that you consult with a legal professional to determine the legality of such contests.

Jurisdiction

North Dakota

• Gaming