Is this legal?
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Is this legal?
I've recently started up my own business and want to get my name out there through advertising. One way i thought of doing this was to do a 'giveaway' on facebook. I would put up a poster/flyer on my facebook page and say "Share this picture for a chance of winning a free computer!". In small text at the bottom i'd have "Winner will be chosen on xx date. Item must be collected.".
I've been told that this is illegal because its a lottery/sweepstake, and a few articles online have left me still unsure of the legality so can anyone please comfirm whether this sort of advert would be illegal? -
Re: Is this legal?
It's not a lottery as no one is paying you to enter the competition.
Therefore, as far as I am aware, it's perfectly legal (so long as you do actually provider the prize as you describe it for the winner to collect).
Obviously, the best advice would be to "contact a solicitor" - but it's unlikely anyone would take legal action against you, so I would't bother. -
Re: Is this legal?Here's specific clarification that you don't need a licence:(Original post by Gwalchgwyn)
I've recently started up my own business and want to get my name out there through advertising. One way i thought of doing this was to do a 'giveaway' on facebook. I would put up a poster/flyer on my facebook page and say "Share this picture for a chance of winning a free computer!". In small text at the bottom i'd have "Winner will be chosen on xx date. Item must be collected.".
I've been told that this is illegal because its a lottery/sweepstake, and a few articles online have left me still unsure of the legality so can anyone please comfirm whether this sort of advert would be illegal?
http://www.gamblingcommission.gov.uk..._do.aspx#Prize -
Re: Is this legal?It's a "free draw" which means you don't need a licence.(Original post by Gwalchgwyn)
I talked to my father about it who used to make fruit machines, so he knows a bit about the Gambling Act, and he said it would be illegal because by making people click 'share' to enter the competition i'm effectively selling them a ticket...
It doesn't cost people anything to enter - clicking "share" is not the same as "paying". -
Re: Is this legal?
I have heard more than once that this is against Facebook rules to do this on a personal Facebook page and that any competitions or giveaways must be done on a specified business page etc. or a page set up just for the competition. Now I'm not one hundred percent certain, but if I were you I'd email inquiries at Facebook HQ or whatever and find out first. You don't want your page shut down or your IP blocked or anything, especially when Facebook is such a powerful business tool.
Last edited by StarsAreFixed; 14-04-2012 at 17:55. -
Re: Is this legal?I'm not sure that's correct - the gambling laws involve money being paid to make bets or buy "lottery tickets", etc, to win things.(Original post by Gwalchgwyn)
I talked to my father about it who used to make fruit machines, so he knows a bit about the Gambling Act, and he said it would be illegal because by making people click 'share' to enter the competition i'm effectively selling them a ticket...
Might be best to check it out with Facebook though, they may have conditions of use that prevent it and you won't want to fall foul of their rules. -
Re: Is this legal?It is perfectly legal. It does not fall foul of the Gambling Act nor any other statutory control.(Original post by Gwalchgwyn)
can anyone please comfirm whether this sort of advert would be illegal?
You may have to check Facebook's position on this though, however I have known people who have run these competitions many times with no trouble. -
Re: Is this legal?
I run a couple of mini businesses.
Free draws are free. As the name suggests.
It's only illegal if you're charging people to enter the draw. At which point, it'd only be illegal because you're not declaring income on the draw, and having it monitored by a neutral third party.
Carry on.
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