Question reg "no purchase necessare" and "skill testing question"

[Locut0s]

You see these in just about every advertised contest and giveaway. I'm guessing they are to satisfy legal terms. What are these laws specifically though? You are not allowed to create a contest where winners must make a purchase to enter? I remember reading something about the reason behind the skill testing questions too but I forget the reason.

 

[Slew Foot]

In canada, games of chance are supposedly illegal (unless its run by the government) so the skill testing question is there to make it a not a game of chance but a game of skill. Or so Ive been told.

 

[l0cke]

Usually to get into the "No purchase necessary" contests you have to send a self-addressed stamped envelope. I've done it a few times.

 

[Locut0s]

In canada, games of chance are supposedly illegal (unless its run by the government) so the skill testing question is there to make it a not a game of chance but a game of skill. Or so Ive been told.

Ahh I see, thanks.

 

[Locut0s]

Usually to get into the "No purchase necessary" contests you have to send a self-addressed stamped envelope. I've done it a few times.

Yes I know this. Why is it against the law (or it seems to be anyway) to offer contests where purchases are necessary. Or maybe it isn't?

 

[Paladin3]

If a contest like a random drawing requires you to make a purchase before you can enter then it is gambling, which is illegal in many places.

To get around that law, an element of skill (answer a general knowledge question) is often included, which turns the contest into a game of skill. A game of skill is like what you pay to play at an amusement park to try and win a prize. It's not gambling because weather you win or lose is based on your skill, not chance.

 

[silverpig]

When you enter those contests, technically you're not entering a draw for $10k. You're entering a draw for a CHANCE to win $10k. So you win the draw and you have to prove your skill by answering the following question:

2 + (3 x 4) - 1 = ?

 

[Paladin3]

When you enter those contests, technically you're not entering a draw for $10k. You're entering a draw for a CHANCE to win $10k. So you win the draw and you have to prove your skill by answering the following question:

2 + (3 x 4) - 1 = ?

And technically that is supposed to elevate the contest from "gambling" to a "game of skill" so the organizer of the contest can then charge or require a purchase for you to enter. I've often wondered if it would really hold up in court though, since the question is often so simple that the person who wins the drawing is virtually assured of answering correctly and winning the prize. But, since nobody is really being harmed, I don't think it will ever be tested in court.

 

[sdifox]

It's a workaround for stupid laws.

 

[Locut0s]

If a contest like a random drawing requires you to make a purchase before you can enter then it is gambling, which is illegal in many places.

To get around that law, an element of skill (answer a general knowledge question) is often included, which turns the contest into a game of skill. A game of skill is like what you pay to play at an amusement park to try and win a prize. It's not gambling because weather you win or lose is based on your skill, not chance.

Yes yes of course I feel stupid now.