We wanted to share the following best practice tip with our
readers who conduct sweepstakes, contests, and other prize-based
promotions: When conducting such promotions, we always
recommend that our clients have the potential winners execute and
return a set of verification documents before confirming them as
winners. Generally, this involves having the winner sign an
affidavit and release form confirming their eligibility, compliance
with the official rules of the promotion, and releasing the sponsor
(and their agencies and parents, subsidiaries, and affiliates) from
any liability that may arise in connection with the
promotion. In addition, if you need to conduct a background
check on the potential winners before issuing a prize to them, you
should have them complete a form authorizing you (and/or your
agencies) to do so prior to obtaining any consumer reports from a
consumer reporting agency. Under the federal Fair Credit
Reporting Act (FCRA), consumer reporting
