Q: Can Gaming Events offer cash prizes if children enter the event?
People pay to enter a gaming event, things often referred to as "E-Sports". These events offer cash prize pools based on percentages for placement. If children are present, and/or enter the gaming event, are there laws and restrictions the Gaming Event Organizers should be aware of to avoid legal troubles/concerns for hosting their event?
A: You will need to make sure the structure of your game does not trigger an illegal lottery concern. Illegal lotteries consist of 3 elements: (1) provision of a prize; (2) chance; and (3) consideration (i.e., money is paid to play). Event organizers should consult experienced promotions and sweepstakes counsel to advise you on how to structure your game legally. Other considerations such as the age of entrants may have to be taken into consideration too. However, experienced counsel can advise properly.
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