Conducting trade promotion lotteries

Trade promotion lottery conditions

The following are conditions for conduct of trade promotion lotteries:

• cost per entry must not exceed the gazetted amount (currently $1 including GST)
  
• it must not be a condition of entry that an entrant:
  
  • has played a gaming machine, or
    
  • took part in a loyalty scheme requiring them to play a gaming machine.
    
• you must get written consent from the person whose trade or business is to be promoted by the lottery
  
• the lottery must primarily benefit the trade or business being promoted
  
• information used to promote the lottery (and any scratch and win cards) must include:
  
  • the lottery's closing date
  • where and when the lottery will be drawn (if applicable)
  • the name and date of publication where winners' names will be published
  • any entry requirements
    
• winners of all prizes over $1000 must have names published by one of the following methods:
  
  • in a newspaper circulating generally in Victoria
  • on the internet, for a minimum period of 28 days
  • in the publication where that lottery was solely advertised (e.g. trade journal, promotional magazine or similar)
    
• certain records must be kept for a 3-year period after the lottery is finalised. The records must provide accurate:
  • financial accounting of the lottery
  • accounting for all entries
  • reporting of the distribution of prizes
    
• prize winners must be advised in writing
  
• the method of the trade promotion lottery draw must allow each ticket a random and equal chance of being drawn
  
• prize winners must not incur a cost to accept a prize (other than a trivial cost)
  
• it must be stated in the conditions of entry if information about entrants will be used for a purpose other than the lottery
  
• a person who conducts a trade promotion must not use entrants' information except for purposes stated in the condition of entry
  
• a person who conducts a trade promotion lottery must get written agreement from the business that they will not use the entrants' information except for purposes stated in the conditions of entry
  
• entrants do not need to be present at the drawing of the lottery to be eligible for a prize. When the entry and draw occur on the same day and in the same place, entrants are exempt
  
• the prize must be paid or transferred to the winner within 28 days after the draw
  
• the prize winner may only be substituted via a second draw, if the conditions of entry allow it, and if reasonable efforts to identify a winner is unsuccessful
• if a trade promotion lottery is conducted with scratch and win cards, the conditions of entry must disclose the:
  • maximum number of cards to be distributed
  • the total number of the prizes
  • their individual value
    
• printing errors and quality control matters on scratch and win cards must not be used as a reason for refusing prize payment
  
• a trade promotion lottery must be conducted in a manner that is not offensive, and not contrary to the public interest
  
• a prize may only be substituted if:
  
  • the substituted prize is of the same or greater value than the original prize, and the winner agrees in writing, or
  • the original prize is unavailable due to circumstances beyond the control of the trade promotion lottery custodian and attempts for agreement with the winner are unsuccessful.