This is the language and form commonly used by site owners when hosting web site sweepstakes. It covers all necessary areas, including eligibility, how to enter, prizes, determination of winners, notification of winners, and privacy notices.
Rhode Island Official Rules for Online Sweepstakes
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US-DB0814AM
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How to fill out Official Rules For Online Sweepstakes?
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FAQ
Sweepstakes (also known as giveaways) are prize contests where winners are selected randomly from all eligible entrants. Prizes might range from stickers and t-shirts to mansions, automobiles, and vast sums of money. Also, the only requirement is that the award has some monetary value or is a prize pool.
Monetary Consideration refers to the purchase of a product, service or any other entry fee that is required to enter a promotion. Non-Monetary Consideration refers to any substantial time or effort which entrants must expend while entering the promotion, and that benefits the sponsor in some direct way.
General Sweepstakes Law Requirements Consumers must not be required to pay to enter. There must be a free, alternative means of entry (?AMOE?). Eligibility requirements must be spelled out. Odds of winning must be disclosed.
In the United States, every state establishes their own set of rules for contests. Most states have the same basic rules, so most national contests are valid. Rhode Island is unique because the state law actually requires the company to file a legal statement before it can run a contest in that state.
You never have to pay to receive a prize in a sweepstakes. If the prize promotion mailing announces or implies you have won a prize of major value, it is probably untrue. If you have won a prize, it most likely is of low value, not the highest value shown in large print.
Rhode Island is among the states where you must register certain sweepstakes. If the prize is offered through a retailer and is valued at more than $500, you must register with the state. Registration is also needed if entry involves visiting the store to fill out a ballot or make a purchase.
How Much Can You Give Away? There is no legal limit on how much you can give away, but the higher the amount the more complicated it can get. For example, if your prize is worth more than $600, you must file a 1099 form with the IRS.
Abbreviated Rules Examples Here are some examples below: ?NO PURCHASE NECESSARY. A Purchase Will Not Increase Your Chances of Winning a Prize.? abbreviated to ?NO PURCHASE NECESSARY? ?Must be a legal resident of the 50 United States and District of Columbia? abbreviated to ?Legal resident of the U.S.?