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Can I offer contests that involve social media promotions in Tennessee? What are the requirements?

Yes, you can offer contests that involve social media promotions in Tennessee. However, there are specific requirements that you need to comply with.

According to TNCO 47-25-803, the Tennessee Coupon Sales Promotion Act of 1980, no promoter shall sell, offer for sale, or otherwise publish or distribute any coupon without a prior contract or agreement in writing with the coupon sponsor. The contract shall set forth all terms and conditions under which coupons obligating the sponsor may be published, distributed, or sold. The contract shall include a specific description of the goods, services, or discount privileges which the sponsor will provide in exchange for each coupon presented for redemption, the hours during each day and the days during each week when the coupon will be accepted for redemption by the sponsor, the expiration date of the coupon, and all purchases required of a coupon holder as a condition of redemption and any other restrictions or limitations imposed on the redemption of the coupons by the sponsor [2.1].

Additionally, TNCO 47-25-805 restricts the number, distribution, and terms of coupons. The total number of coupons sold, offered for sale, or otherwise distributed shall not exceed the total number specified in the contract between the promoter and sponsor. No coupon may be published, sold, distributed, or represented contrary to the terms of the agreement between the promoter and the sponsor, or obligate the sponsor to provide goods, services, or discount privileges other than those specified in the agreement. No individual coupon shall be redeemable at more than one place of business, unless all places of business at which it is redeemable are owned or operated by the same sponsor. No coupon may be sold, offered for sale, or otherwise distributed prior to the promotion beginning date or after the promotion ending date specified in the contract between the promoter and sponsor [2.5].

It is important to note that the Tennessee Coupon Sales Promotion Act of 1980 does not specifically mention social media promotions. Therefore, it is recommended that you consult with a legal professional or contact the Tennessee Department of Tourist Development for further guidance on the specific requirements for contests involving social media promotions in Tennessee.

Source(s):
Jurisdiction

Tennessee