Ask Reggi Your Question Now

Reggi is the free generative AI assistance for regulatory compliance
Ask a Question

Can I offer contests that involve VIP programs in Colorado? What are the requirements?

Offering Contests with VIP Programs in Colorado

Yes, it is possible to offer contests that involve VIP programs in Colorado. However, there are requirements that must be met to ensure compliance with the law.

According to CORS 6-1-803, there are several prohibited practices and required disclosures that must be followed when offering contests in Colorado. These include:

  • No sponsor shall require a person to pay the sponsor money or any other consideration as a condition of awarding the person a prize, or as a condition of allowing the person to receive, use, compete for, or obtain a prize or information about a prize. [1.2]
  • No sponsor shall represent that a person has won or unconditionally will be the winner of a prize or use language that may lead a person to believe he or she has won a prize, unless certain conditions are met. [1.2]
  • If a sponsor offers one or more items of the same or substantially the same value to all or substantially all of the recipients of a prize notice, the sponsor shall not represent that such items are prizes or that the process by which such items are to be distributed is a sweepstakes or contest, or otherwise represent that such process involves a distribution by chance. [1.2]
  • No sponsor shall represent that a person may be or may become a winner of a prize, characterize the person as a possible winner of a prize, or represent that the person will, upon the satisfaction of some condition or the occurrence of some event or other contingency, become the winner of a prize, unless certain conditions are met. [1.2]
  • All material conditions necessary to make a representation truthful and not misleading, including but not limited to the conditions that must be satisfied in order for the person to be determined as the winner, shall be clearly and conspicuously disclosed. [1.2]

Colorado Lottery Commission

It is important to note that the Colorado Lottery Commission regulates lotteries and games of chance in Colorado [2.1]. If your contest involves a lottery or game of chance, you may need to comply with additional regulations and requirements set forth by the Colorado Lottery Commission.

Conclusion

In summary, it is possible to offer contests that involve VIP programs in Colorado, but it is important to comply with the requirements outlined in CORS 6-1-803 to avoid violating the law. Additionally, if your contest involves a lottery or game of chance, you may need to comply with additional regulations and requirements set forth by the Colorado Lottery Commission.

Source(s):
Jurisdiction

Colorado