Giveaway Help

[stinkyhobo]

What is the name of your state? New York.

Hi I'm looking to do a giveaway on a gaming server I host. I have been wanting to do these for a long time now but im not sure of any legal issues I could possibly have. The whole idea is that people donate to our community while on our server for in-game virtual items the process would be for like every $15 worth of in-game virtual items you donate for to help us keep our servers/web-hosting paid. you would get 1 entry into a giveaway for a Item in Real life. lets say most items under 200 just like gaming keyboards headsets mice t shirts small stuff. The items would be purchased in full and all taxes paid by me... As for the donated money none of it would be spent on anything but direct payments to our web-hosting and server host and I would be able to show receipts all year for the donation payments directly to the server/web-hosting company's What Type of issues would I have. Note the donated money is not for the giveaway item..... its for in-game virtual items all donations will be sent towards payments on my server and web-hosting. Is their anyway to do this or has legal law made the entire world a no fun zone ;/

This giveaway would be only eligible for people in the USA. so I'm not sure what the (US laws) are on this matter!

 

[FlyingRon]

If they have to provide anything tangible for the chance to receive something else tangible, it is called a lottery and illegal in your state and many others.

 

[stinkyhobo]

If they have to provide anything tangible for the chance to receive something else tangible, it is called a lottery and illegal in your state and many others.

so what your saying is what I want to do is legal

you stated "If they have to provide anything tangible for the chance to receive something else tangible" then its illegal

They would be donating to our community server/web-hosting for gifted Virtual items and (gifted) a ticket chance to win as you would say a "tangible item" or as I'm calling it a touchable in real life item that you can touch..

virtual in game items cant be touched by human hands they are virtual 100% and our donaters would get these as a gift for donating to our community to keep our server up and our webhosting.... we are 100% non profit all money goes directly into the hosting of our servers and webhosting as I keep saying over and over.!


so what I'm making of your message is. what I would like to do is legal as you did not touch on the virtual donated items that are 100% virtual. or the fact the item that I would like to giveaway ...that donaters would get is IRL or (in real life touchable) "tangible"


your response was for someone paying for a "tangible" "or IRL" item in a lottery to win a different "tangible" "or IRL" Item.. and that is not what I'm trying to do...



"please if anyone can help me please I would love your comments or responses I really just wanna give back to the people that help keep our community running"

 

[Zigner]

You are giving away a license to use a certain item in the game...that is tangible.

 

[tranquility]

so what your saying is what I want to do is legal

you stated "If they have to provide anything tangible for the chance to receive something else tangible" then its illegal

They would be donating to our community server/web-hosting for gifted Virtual items and (gifted) a ticket chance to win as you would say a "tangible item" or as I'm calling it a touchable in real life item that you can touch..

virtual in game items cant be touched by human hands they are virtual 100% and our donaters would get these as a gift for donating to our community to keep our server up and our webhosting.... we are 100% non profit all money goes directly into the hosting of our servers and webhosting as I keep saying over and over.!


so what I'm making of your message is. what I would like to do is legal as you did not touch on the virtual donated items that are 100% virtual. or the fact the item that I would like to giveaway ...that donaters would get is IRL or (in real life touchable) "tangible"


your response was for someone paying for a "tangible" "or IRL" item in a lottery to win a different "tangible" "or IRL" Item.. and that is not what I'm trying to do...



"please if anyone can help me please I would love your comments or responses I really just wanna give back to the people that help keep our community running"

Even though a license is intangible, don't get stuck on the tangible or intangible difference. The real thing is if they give anything up. Some courts have found having to wait in line at a certain time to be a violation.

 

[stinkyhobo]

They are not giving up or donating for the giveaway item they are simply supporting our community server/webhosting what they are donating for has nothing to do with the giveaway. we would simply just be putting that giveaway item up to give back to the people that have supported us in the past as a bonus...

we are not charging anything to enter into the giveaway.. entry is a gift for supporting us donation wise :/

please give me a little more information. tell me what you guys think I can do or what issues I need to address. I really wanna give back to the people who support my community!

 

[tranquility]

They are not giving up or donating for the giveaway item they are simply supporting our community server/webhosting what they are donating for has nothing to do with the giveaway. we would simply just be putting that giveaway item up to give back to the people that have supported us in the past as a bonus...

we are not charging anything to enter into the giveaway.. entry is a gift for supporting us donation wise :/

please give me a little more information. tell me what you guys think I can do or what issues I need to address. I really wanna give back to the people who support my community!

http://www.kilpatricktownsend.com/~/media/Files/articles/TLordLMillerFranchiseLawJournal09.ashx

http://www.jonesday.com/files/publication/69ea168c-4173-4321-9fa5-d4b8bb86ae1c/presentation/publicationattachment/b9a311c5-f53d-4a89-97fc-d85993081c2e/bennet.pdf

Focus on "consideration".

 

[single317dad]

we are not charging anything to enter into the giveaway.. entry is a gift for supporting us donation wise :/

Ever seen those disclaimers on sweepstakes along the lines of "purchase not necessary to enter; purchasing does not increase your odds of winning; for a free entry form without purchasing an item, call or write (blah blah)."

There are legal reasons for those statements, and for the fact that contest entry is not necessarily tied to item purchase. Publisher's Clearing House is the poster child here, and has been in legal trouble time after time over the years.

 

[FlyingRon]

They are not giving up or donating for the giveaway item they are simply supporting our community server/webhosting what they are donating for has nothing to do with the giveaway.

No matter how you weasel word it, that "donation" is buying a ticket in a lottery as far as the gambling laws are concerned.
It's 100% illegal in New York State for your private enterprise and illegal most everywhere else as well.

we would simply just be putting that giveaway item up to give back to the people that have supported us in the past as a bonus...

If you there is an element of chance invovled, it is illegal gambling. If you give them a deterministic premium for their support (give us $100 and we'll send you a hat or t-shirt), that is legal.