Can I offer contests that involve website promotions in Michigan? What are the requirements?

Offering Contests that Involve Website Promotions in Michigan

Based on the documents provided, it is legal to offer contests that involve website promotions in Michigan as long as certain requirements are met.

Fantasy Contest Operator License

If you are offering fantasy contests in Michigan, you must be a licensed fantasy contest operator, unless you meet certain exceptions ^[1.2].

Restrictions on Offering Contests

There are certain restrictions on offering contests in Michigan. For example, fantasy contests must not be offered on, at, or from a kiosk or machine physically located in a retail business location, bar, restaurant, or other commercial establishment, a place of public accommodation, or a facility owned, operated, or occupied by a private club, association, or similar membership-based organization ^[1.3][1.1].

Advertising Restrictions

There are also restrictions on advertising alcoholic liquor connected with offering a prize or award on the completion of a contest, except upon prior written approval of the commission ^[3.1]. Additionally, licensed fantasy contest operators are prohibited from employing false, deceptive, or misleading advertising, or advertising that is not based on fact ^[1.4].

Payment of Prizes

Payment of any prize drawn may be made to any person pursuant to a voluntary assignment of the right to receive future prize payments, in whole or in part, if the assignment is made to a person or entity designated pursuant to an appropriate judicial order of a court of competent jurisdiction located in either the county in which the assignor resides or the county in which the bureau is located. An order approving the assignment and directing the commissioner to pay the assignee all or a part of future prize payments is properly issued if certain circumstances exist ^[4.3].

Conclusion

As long as the requirements listed above are met, it is legal to offer contests that involve website promotions in Michigan.

Source(s):

• [1.1] Application of Michigan penal code.
• [1.2] Fantasy contest operator license; exception; application; fee.
• [1.3] Offering of fantasy contest; location limitations; exception.
• [3.1] Contests and advertising articles
• [1.4] Use of script; false, deceptive, or misleading advertising; prohibit.
• [4.3] Single payment or installments; right to prize nonassignable; discharge of liability; payment to person pursuant to judicial order; payment to state pursuant to MCL 432.32; death of prizewinner; findings required for judicial order; rights to lottery prize payments; fee; effect of voluntary assignment on federal income tax treatment of prizewinners; disclosure of personal information.

Jurisdiction

Michigan

• Gaming