Looks like you reviewed rules for raffles in your state.
However, selling tickets across state lines is an entirely different issue. I remember when you could buy lottery tickets through the mail. The envelope had to be postmarked in the state.
If you take orders from NJ, MD, PA, etc., generally, you have to follow the rules for those states when taking orders from those states. Now, if someone from NJ comes to DE to buy the ticket, then you only have to follow DE rules.
Raffles are games of chance, and games of chance is gambling. I'm sure that most states have similar exceptions for your type of raffle, but I would make sure before accepting the order.
Also, if there is a dispute, they can sue you in the state where the transaction takes place. This is one scenario you want to avoid:
1) Person A lives in State X.
2) From State X, person places an on-line order, and pays with their credit card.
3) Your raffle is illegal in State X unless registered.
4) Your raffle is not registered in State X
5) Person A looses, and disputes the charge based upon being an illegal gambling debt
6) You are charged back the transaction, and Person A no longer owes the money to their credit card company.
The transaction is illegal in State X, hence there is no binding contract. Basically, it is an illegal gambling debt that is unenforceable.
Note: I am not a lawyer, but I stayed at a holiday inn express last night.
I presume you have requested permission to use Paypal:
Quote:
Prohibited Activities
You may not use the PayPal service for activities that:
...
6. involve gambling, gaming and/or any other activity with an entry fee and a prize, including, but not limited to casino games, sports betting, horse or greyhound racing, lottery tickets, other ventures that facilitate gambling, games of skill (whether or not it is legally defined as a lottery) and sweepstakes unless the operator has obtained prior approval from PayPal and the operator and customers are located exclusively in jurisdictions where such activities are permitted by law.
https://www.paypal.com/us/webapps/mp...ptableuse-full
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