how to keep your contest from becoming a trial, by kerry o’shea gorgone
TRANSCRIPT
How to Keep Your Contest From Becoming a Trial
Hello! My name isKerry O’Shea GorgoneLawyer, Podcaster, Speaker, Writer
You can find me at:@KerryGorgone
www.KerryGorgone.com
▷ mprofs.com/podcasts
Download key takeaways:▷ http://www.kerrygorgone.com/yall-connect-
downloads
THE GIVEAWAYCVS: “Stop Smoking and YOU WIN!”
$152,000Fine CVS paid FTC
1.THE PROBLEMMarketers who run contests
and giveaways illegally could get sued
“But everybody else is doing it!”
(Too bad.)
The potential risk is huge.
Cover your butt!
$2,800,000Fine World Triathlon Corp. paid U.S. Government
Know the differenceBetween contests and giveaways
Contest winners are chosen based on skill
(not by chance)
CHANCE
In a giveaway or sweepstakes
Winners are selected at random
Lotteries are pay to play
People pay* for a chance to winPeople pay* for a chance to win
*But “pay” doesn’t have to mean money
Giveaways must be “no purchase necessary”
Or else they’re (illegal) lotteries!
*But “pay” doesn’t have to mean money
“Pay to Play” doesn’t just mean money
“Pay” means giving something of value (like your time, data, or even a “Like”)
*But “pay” doesn’t have to mean money
Now you try…Giveaway or illegal lottery?
Winner gets a free signed copy of the book. All you need to do is answer this simple question:
What was the name of Akhenaten’s wife? Post answer in the comments section of this post in Facebook or via Twitter!
A winner will be picked at random by adding all correct entries into a hat.”
Now you try…Giveaway or illegal lottery?
Now you try…Giveaway or illegal lottery?
Now you try…Giveaway or illegal lottery?
Discount coupons, purchased from a vending machine for $1.
Purchasers get a chance to win cash prizes
Okay, one more…Giveaway or illegal lottery?
Win 8 months of free Rackspace hosting, for up to $1000/month.
Just sign up hosting account
with Rackspace, and you’re eligible to win!
Run contestsInstead of giveaways
Seen one contest, you’ve seen ‘em all
Work with a lawyer to set up a template
How to run a contestInstead of giveaways
Limit eligibility
Clearly explain who can enter.
Explain the rules
How will winners be chosen?
Choose judges
who are qualified
Plan a tie-breaker
(And don’t use a random drawing!)
Check the law where you are
if you plan to charge a fee
And don’t change the rules!
Run the contest as promised
File your paperwork
With the IRS and your state
Use the right language
"Void where prohibited.”
Ask for help
Lawyers are your friends
““Give me six hours to chop down a tree and I will spend the first four sharpening the
axe.”
~ Abraham Lincoln
Shhh…Presentation HandoutDownload key takeaways:▷ http://www.kerrygorgone.com/yall-connect-
downloads
