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#2135973 - 06/27/17 01:47 PM Giveaway
Cracked Egg Offline
Joined: Sep 2013
Posts: 50
Marketing is trying to expand our Facebook footprint. They want to run a giveaway in which you have to Like/Comment/Share to be automatically entered.

State Statues defines a Lottery as:
KRS 528.10
(6) "Lottery and gift enterprise" means:
(a) A gambling scheme in which:
1. The players pay or agree to pay something of value for chances, represented and differentiated by numbers or by combinations of numbers or by some other media, one (1) or more of which are to be designated the winning ones; and
2. The ultimate winner is to be determined by a drawing or by some other
method based upon the element of chance; and
3. The holders of the winning chances are to receive something of value;

"Something of Value" is defined as:
(11) "Something of value" means any money or property, any token, object, or article exchangeable for money or property, or any form of credit or promise directly or indirectly contemplating transfer of money or property or of any interest therein, or involving extension of a service, entertainment, or a privilege of playing at a game or scheme without charge.

Am I correct in interpreting the above to mean, a Like/Comment/Share on Facebook would not be considered "Something of Value" and would therefore not make this giveaway a lottery?

Secondly, what disclosures/comments need to accompany this giveaway post?

Thanks for your help.
"Do or do not ... There is no try"

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#2136128 - 06/27/17 08:50 PM Re: Giveaway Cracked Egg
Irishguy Offline
Platinum Poster
Joined: Aug 2008
Posts: 571
I believe many of the gurus here would opine that a like or a share or a comment could be seen as "consideration" or as you put it a thing of value. And if a court viewed it as consideration, you have an illegal lottery on your hands.

Now, if you spend any time on Facebook, you will see plenty of examples of banks running lotteries like this. I don't know if they don't understand the concept of consideration or if their compliance person has just deemed the risk to be so low that they are willing to take a chance.

You may be able to get around the lottery classification by:

1. Opening up the drawing to the entire world with no strings attached;and
2. Providing an alternate form of entry

You would also need to establish some official rules for your giveaway and be sure to check out Facebook's requirements for giveaways.

Good luck!!!

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