Win an Ipad!

4-H Palindrome Robotics is holding an Apple holiday raffle, the prizes are: an Apple Ipad Air 2, Ipad mini 3 and Apple TV. The drawing will be on December 15th live here. Tickets are available for purchase on our team website here.

I hate to bear bad news, but if you haven’t already done so, investigate whether your team has followed the correct procedures for holding a raffle in Delaware (and potentially in interstate/international commerce, since selling tickets over the Internet could be that too). You may want to check with 4-H; they ought to be able to help you complete the application for a raffle permit quickly and relatively painlessly. There’s a $15 fee and you need proof of charitable status and a notarized affidavit. Unless you’re not subject to the ordinary charitable gambling regulations, you can’t legally sell tickets until you have a permit.

If you’re in the clear, you should post your raffle permit number and post or link to the official rules of your event.

The 4H is very strict about gambling.
Does a raffle constitute gambling? It is a game of chance.

According to the rules of the Board of Charitable Gaming, we do not fall under any of the categories to apply for the permit. Our ticket prices are $5.00 or under for one raffle ticket and our prizes are under $5,000.00. All funds are used to help purchase parts for our robot and help the team pay for our current shop location.

This is the part on the site that confirms the above:

If you are a qualified charitable organization and your raffle ticket price is $5 or less and the total retail cash value of prizes to be awarded is less than $5,000, STOP. You are not required to obtain a raffle permit from the Board of Charitable Gaming.

I have been involved with a quilt raffle with one of my older 4-H clubs, and we just used our State 4-H Foundation’s Gambling license.

Bought a few! May have to get a few more! Good luck!

The correct link to the Live feed for December 15th is

Our raffle will end on Sunday, December 14th, 2014, 11:59:59PM Eastern Standard time. If you would like to purchase a raffle to win one of three prizes please do so prior to then. Thank you for your support.

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:

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.

“This policy, in all its versions has contained a provision discouraging fund raising activities involving raffles or games of chance.”

Seems to “discourage”, but does not prohibit.