Why Your Sweepstakes Needs "No Purchase Necessary" Language

Promotional contests and sweepstakes are an effective and cost efficient means to generate buzz and often sales of a given product or service.  Consumers are often incentivized to make a purchase by the allure of the chance to win a valuable prize.

However, when designing a sweepstakes, it is important to be mindful of the fact that if you charge money to enter the sweepstakes – even if entry in the sweepstakes is achieved through the purchase of a product or service – you must also provide consumers with an alternative, free means of entry (often referred to as an "AMOE").  Without an AMOE, there is a good chance that your game of chance will be deemed an illegal lottery under applicable law.