Nobody likes to do it, but it is necessary to have the correct legal binding rules. Each state is different, each country is different; therefore, drafting the promotion's rules can be a tricky task.
We can help cover all of the legal bases to ensure the promotion launches without a hitch.
Rules Draft with Legal Review
Winston and Strawn, LLP in Chicago IL is the law firm we use. For the promotions we manufacture, their attorneys are unparalled. Any state, country, promotion, prize legality: they have it covered.
Rules Draft with No Legal Review
You are welcome to use your own attorney. However, if your attorney does not specialize in promotion law it is not recommended.
Another alternative, is to hire us for only the drafting of the rules. And then have your attorney make changes and final approval.
And if you really want to cut costs, ask us to send a rules template, which you can modify and send back. No cost to you.
Having done thousands of promotions over the years, we probably have a rules template for it.
Small simple promotions, the rules can normally be approved or drafted by your own attorney.
National and International Promotions
Our experience has shown that most attorneys are not up to date with promotional law in all 50 states and international law.
For national and international campaigns we strongly suggest the use of our attorneys at Winston and Strawn, LLP.
Normally they can complete modifications within 2 - 3 hours, depending on complexity of promotion.
When the risk is considered, the cost is more than justified:
- National and international corporate reputation
- Millions of dollars in prizes
- Loss of massive marketing clients
- Class-action lawsuits
All game promotions are legal, as long as, the rules comply with state or international laws. Apologies for this overly obvious statement.
The most important component is "removing consideration" so your promotion is not considered an illegal lottery. Removing consideration is a fancy way of saying: "the card must be free to every consumer".
To remove consideration, the promotion marketer provides the game piece free to the consumer. Which is why you will notice on promotions there is always a statement: "No Purchase Necessary - Alternate Means of Entry".
Most states allow you to advertise that the consumer must send in a SASE, self addressed stamped envelope, to receive a free game piece. This limits the number of request to a very few number.
Consumer promotions may be required to register in certain states. Most notably is New York and Florida, their laws for registration are the most strict.
In addition, some state require a surety bonds put in place. A surety bond is basically a written contract stating that the prizes for the promotion are going to be paid out. The contract is between the person running the promotion and the state.
Normally surety bonds are required if the prize pool is over $5,000.
We can help you with any of the details.