Tennessee Contest and Sweepstakes Laws
Contests and sweepstakes are legal in Tennessee if structured to eliminate either chance or consideration. Full compliance with gambling and consumer protection laws is essential. Long Answer:
In Tennessee, contests and sweepstakes are lawful if they are carefully structured to avoid the legal definition of a lottery. A lottery in Tennessee consists of prize, chance, and consideration. To comply, sweepstakes eliminate consideration by offering a Free Alternative Method of Entry (AMOE), and contests eliminate chance by basing outcomes on skill-based criteria.
Tennessee law requires that all promotions clearly disclose material terms, including eligibility requirements, methods of entry, odds of winning, and prize descriptions. Sweepstakes promotions must not require a payment or purchase to enter or win. Promotions must also comply with the Tennessee Consumer Protection Act, which prohibits misleading, deceptive, or unfair marketing practices.
Charitable gaming, including raffles and bingo, is separately regulated under Tennessee law and often requires special licensing. Private business promotions must ensure that free entry methods are genuinely offered and that all marketing practices are fair, transparent, and compliant with Tennessee gambling and consumer protection statutes. Sources:
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Texas Contest and Sweepstakes Laws
Contests and sweepstakes are legal in Texas if they eliminate either chance or consideration. Promotions must comply with gambling prohibitions and consumer protection standards.