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Can I offer contests that involve social media promotions in Iowa? What are the requirements?
Here are the requirements for offering contests that involve social media promotions in Iowa:
Requirements for Social Media Promotions in Iowa
There are no specific regulations in Iowa for social media promotions. However, if the promotion involves a lottery or gambling, then the Iowa Code sections 99G.9(3), 99G.21, and 99G.31 apply. These sections require that the entry must be a legally acquired nonwinning Iowa lottery ticket identified as an entry for the particular promotion. At its discretion, the lottery may include legally obtained winning and nonwinning Iowa lottery online tickets in promotions [1.1].
If the promotion involves internet fantasy sports contests, then the system of entering an internet fantasy sports contest as provided by Iowa Code chapter 99E is legal when conducted by a licensed internet fantasy sports contest service provider as provided in this chapter [3.1]. An applicant for a license to conduct internet fantasy sports contests shall complete and sign an application on the form prescribed and published by the commission. The application shall include such information of the applicant that the commission deems necessary for purposes of issuing a license pursuant to this chapter [3.2].
If the promotion involves bingo equipment and supplies and electronic raffle systems, then a manufacturer or distributor of bingo equipment and supplies and electronic raffle systems, as defined in Iowa Code section 99B.32, shall obtain a license prior to conducting business within the State of Iowa. To obtain a license, the applicant shall complete an application for a license and submit a $1,000 fee. The applicant shall comply with the requirements of Iowa Code chapter 99B, administrative rules of the department and other applicable state or federal laws [2.3].
If the promotion does not involve any of the above, then there are no specific regulations in Iowa for social media promotions.
Therefore, if your social media promotion involves a lottery or gambling, you must follow the requirements outlined in Iowa Code sections 99G.9(3), 99G.21, and 99G.31. If your promotion involves internet fantasy sports contests, you must obtain a license from the commission and comply with the requirements outlined in Iowa Code chapter 99E. If your promotion involves bingo equipment and supplies and electronic raffle systems, you must obtain a license and comply with the requirements outlined in Iowa Code chapter 99B. If your promotion does not involve any of the above, then there are no specific regulations in Iowa for social media promotions.
Note that the Iowa Code section 99G.9(3) authorizes drawings and contests that meet the criteria set forth in this chapter [1.2]. Social gambling requirements are located in Iowa Code sections 99B.41 to 99B.45 [2.1]. Additional requirements for licensure are found in Iowa Code chapter 99B [2.2]. Prohibited practices for sponsors of a prize are listed in IACO 714B.3 [4.1].
I hope this helps!
Source(s):
- [1.1] Entry validation requirements.
- [1.2] Authorization of drawings and contests.
- [2.1] Social gambling.
- [3.1] Internet fantasy sports contests authorized.
- [2.2] Additional requirements for licensure.
- [3.2] Requirements of applicant — fee.
- [2.3] Licensure of manufacturers and distributors of bingo equipment and supplies and electronic raffle systems.
- [4.1] Prohibited practices.
Jurisdiction
Iowa