If you are running a trade promotion lottery in NSW, there are several things that you will need to consider. Firstly, does your competition satisfy the requirements of a trade promotion lottery?

Terms and Conditions

Your terms and conditions will need to meet the requirements under the Lotteries and Art Unions Regulation 2014 (NSW). Some of the issues that your trade promotion lottery’s terms and conditions will need to address include who the entries are and are not open to. If you require a permit, then the permit number must be included in the terms and conditions.

When Will You Announce the Winner?

There are requirements as to the types of prizes that can be made available. For example, there are additional requirements for alcohol.Importantly, your terms and conditions need to state when the trade promotion lottery begins and ends. You also need to set out how entrants can submit their entries and where they can submit them. Participants must know the date and time that you will draw the prize as well as the full details and total prize pool value.

If you are conducting your prize draw electronically, you must fulfil the conditions set out by the Lotteries and Art Unions Regulation 2014 and the OLGR forms. Where the prize is over $10,000, you are required to have a scrutineer present, a scrutineer is an independent person who oversees drawing the prize.

After the Competition

You are required to notify the winner of the prize directly within two days of the prize draw. You should set out how you will publish the winners. Where the total prize value is over $500, you must publicly announce the winner. There are also certain periods in which the winner must collect his or her prize. For example, three months unless there is an event that will not make collection practicable. In this instance, you should set out an alternate time and date to redraw another winner, if required.

Maintaining Records

You are required to keep records for up to three months after the prize draw. For multiple lottery permits, you must keep records for up to 12 months after the end of the permit including details of how your business ran the trade promotion lottery.

Conclusion

NSW has regulations concerning trade promotion lotteries that your business needs to comply with. If you have questions about your competition, whether you are required to have a permit and how you can run your competition, please get in touch.

You may also have other legal needs that we can assist you with for example consumer law issues, marketing laws and advertising laws. LegalVision can assist you with any questions you may have in relation to running a trade promotion in NSW. Contact LegalVision on 1300 544 755 to speak to one of our competition lawyers today.

Edith Moss

Ask Edith a Question

If you would like further information on any of the topics mentioned in this article, please get in touch using the form on this page.