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Can I offer contests that involve skill-based games in Vermont? What are the requirements?
Yes, you can offer skill-based contests in Vermont as long as they do not require participants to venture money or other valuable things. However, there are certain requirements that must be met.
Requirements for Skill-Based Contests in Vermont
According to 13 VTST 2143b, a person may organize, execute, or participate in a contest or game of chance, including a sweepstakes, provided that persons who enter the contest or game of chance are not required to venture money or other valuable things. The cost of mailing an entry shall not be considered a venture of money or other valuable things. This section shall not be construed to prohibit a person from organizing, executing, or participating in a contest that is not a contest of chance.
Therefore, skill-based contests that do not require participants to venture money or other valuable things are allowed in Vermont. However, it is important to note that this section only applies to contests that are not contests of chance.
Additionally, it is an unfair and deceptive trade act and practice in commerce under 9 V.S.A. Section 2453 (a) for any person to solicit any other person to engage in any kind of a game of skill, contest, sweepstakes, giveaway or other promotion which: a) is deceptive or misleading as to chances of winning, the number of winners, the value of the prizes, or the availability of the prize; b) requires any kind of entry fee, service charge, purchase or similar consideration in order to enter or to continue to remain eligible; or, c) uses publications, literature, written or verbal promotion that is false, deceptive or misleading [2.1].
If you are a fantasy sports operator offering a fantasy sports contest to consumers in Vermont, you must file an annual registration with the Secretary of State on a form adopted for that purpose and pay an annual registration fee of $5,000.00 [9 VTST 4189].
Conclusion
In summary, it is possible to offer skill-based contests in Vermont as long as they do not require participants to venture money or other valuable things. However, it is important to ensure that the contest is not deceptive or misleading and does not require any kind of entry fee, service charge, purchase or similar consideration in order to enter or to continue to remain eligible. If you are a fantasy sports operator, you must also file an annual registration and pay a fee.
Source(s):
- [2.1] Contests
Jurisdiction
Vermont