January 11, 2016

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Article

Avoid Corporate Gambling

What to Know for Contests, Giveaways and Sweepstakes

By Nettie Downs

January 11, 2016

Removing one of the three elements will likely ensure compliance with applicable law, though it is not guaranteed. Before conducting a promotional activity, companies should review applicable state and federal law, carefully draft “official rules,” comply with applicable registration and/or bonding requirements, and appropriately advertise.

This article highlights key issues, but is not a comprehensive summary of all legal issues. It is not legal advice and readers should consult their legal counsel for their individual circumstances. Lotteries are a form of gambling and, thus, this article interchangeably references both “lotteries” and “gambling.”

Nettie Downs is an associate in the Salt Lake City office of Snell & Wilmer. Her practice focuses on mergers, acquisitions, corporate & securities laws, and advising on legal compliance.

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