Michigan Contest and Sweepstakes Laws
Michigan's lottery statute, MCL 750.372, makes it a misdemeanor to set up or promote a lottery or gift enterprise for money. The penalty is up to 2 years in prison or a fine of up to $1,000. The statute doesn't define "lottery", so the safest structure is the usual one: no payment for entry, and a free alternative method of entry (AMOE) wherever a purchase could count as consideration. Contests decided on skill, like photo or essay contests, take chance out of the picture.
The statute has an exemption for a promotion that is "clearly occasional and ancillary" to a business's main activity. It excludes promotions that make people pay just for a chance to win, or buy a product or service for substantially more than its fair market value. A one-off giveaway that rewards a free action, like an email signup or a follow, is the standard fit. A weekly paid-ticket draw isn't.
In Gleam, enter your terms in the Terms & Conditions section of the Setup tab, state the Michigan eligibility rules, and keep every paid action paired with a free entry alternative. Our Contest & Sweepstakes Laws by State in the U.S. guide covers the other states.
This isn't legal advice. If your prize is large or entry involves any payment, ask a Michigan attorney.
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Do I Need to Offer a Free Entry Method?
If any way to enter costs money, many countries, including the US, need a free alternative. Gleam adds one once you mark the paid action.