Hello, I would like to start a website that is a raffle. Essentially, you buy raffle tickets, and a random winner will be picked to win the prize. I will make it so that there are more raffle tickets needing to be purchased than the actual value of the prize, this is how I would make money.
Before I even go to a legal person to ask about all this, I want to ask all of you first. I found one thread on the matter that makes me think I can not do it
However, that is in direct conflict with this site www.macraffle.com so I do noy understand how they are able to get away with this.
I also remember numerous raffles at school as well, and my parents certainly payed money to get ino the raffle, and they certainly won a prize as well.
Any cites and links would be of help before I dump a few grand on a lawyer just to tell me no way in hell.
Oops, after further reading the faq on the site, I can sort of see what macraffle is up to, they are being pretty sneaky IMO, however, any comments on this will still be appreciated.
Generally raffles are gambling and subject to heavy, heavy regulation with a few exceptions here and there for charity purposes, just like the website said.
Here in Texas there is an exception carved out for charity events, but if you just plain plan on making money from the deal, better take it over to Louisiana and get licensed as a casino. Prepare to pay.
My feeling on Mcraffle is that they stay low key so haven’t been caught yet. They say they donate some to charity but that won’t make them legit necessarily. I notice that they are incorporating a separate company offshore to do internet raffling to avoid US gaming laws.
The answer to this is right on the MacRaffle website. You’ll note that most contests run by companies have a “No Purchase Necessary” clause written in. E.g. You don’t have to buy a bag of Fritos to be enrolled in their million dollar giveaway.
So to with MacRaffle. From this page is the following:
They further cover themselves with this bit:
It would seem that the internet changes things a bit and the laws regarding online lotteries are vague at best.
As already mentioned, you had better get an attorney if you want to avoid prosecution for doing your own lottery.