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Can I offer contests that involve social media promotions in Colorado? What are the requirements?
Contests and Sweepstakes in Colorado
Colorado has specific regulations regarding sweepstakes and contests to protect consumers from deceptive practices. The regulations require that Colorado consumers be provided with all relevant information necessary to make an informed decision concerning sweepstakes and contests [1.1].
Requirements for Advertising and Promotions
All offers and bonuses must include terms and conditions that are full, accurate, clear, concise, transparent, and do not contain misleading information. Advertising materials must include any material terms and conditions for that offer or bonus and have those material terms in close proximity to the headline claim of the offer or bonus and in reasonably prominent size. Offers and bonuses cannot be described as free unless they absolutely are free. If the customer has to risk or lose their own money or has conditions attached to their own money, then the offer or bonus must disclose those terms. Offers and bonuses cannot be described as risk-free if the customer needs to incur any loss or risk their own money to use or withdraw winnings from the risk-free bet. Players that self-exclude shall not, while on the exclusion list, be able to redeem points, bonuses, comps, or free play [3.1][4.1].
Social Media Promotions
There are no specific regulations in Colorado regarding contests that involve social media promotions. However, any promotions must comply with the general regulations regarding sweepstakes and contests and advertising and promotions [1.1][3.1][4.1].
Colorado Lottery Commission
The Colorado Lottery Commission is responsible for regulating the state lottery and ensuring that it is conducted in a fair and transparent manner [2.1]. However, the commission does not regulate contests that involve social media promotions.
Therefore, if you plan to offer contests that involve social media promotions in Colorado, you must ensure that all relevant information is provided to Colorado consumers, and the terms and conditions of the contest are clear, concise, and transparent. Additionally, any advertising materials must include any material terms and conditions for that offer or bonus and have those material terms in close proximity to the headline claim of the offer or bonus and in reasonably prominent size. Offers and bonuses cannot be described as free unless they absolutely are free. If the customer has to risk or lose their own money or has conditions attached to their own money, then the offer or bonus must disclose those terms. Offers and bonuses cannot be described as risk-free if the customer needs to incur any loss or risk their own money to use or withdraw winnings from the risk-free bet. Players that self-exclude shall not, while on the exclusion list, be able to redeem points, bonuses, comps, or free play [1.1][3.1][4.1].
Conclusion
You can offer contests that involve social media promotions in Colorado, but you must ensure that they comply with the general regulations regarding sweepstakes and contests and advertising and promotions. The Colorado Lottery Commission does not regulate contests that involve social media promotions.
Source(s):
- [1.1] Legislative finding, declaration, and intent.
- [2.1] Colorado lottery commission - creation.
- [3.1] Responsible advertising and promotions.
- [4.1] Responsible advertising and promotions.
Jurisdiction
Colorado