Trade promotions are a popular means of drumming up business or
collecting information for marketing purposes. Raffles,
competitions and events are common across businesses, however they
often come under regulations that differ across different States
and Territories. When running these promotions, it is important to
be aware of how regulations may affect you, how you can advertise
your promotion and how to draft the dreaded terms and
conditions.
Know what rules apply to you
Depending on where your promotion is to be run there may be
certain regulations that apply. These are often part of the same
legislation that govern gambling (for instance, the Gambling
Regulation Act 2003) and as a result the penalties for
contravening these regulations can often seem quite harsh for what
might be a relatively small competition. In Victoria, for instance,
breaching the requirements for trade promotions can net a penalty
of $9,514 for a first offence and $15,857 for
