Money Changing Hands?

warrenisfriendly

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Hello there, I have come to the realisation that I can't offer prize money via Lotteries, as I have been informed that's against the law.

Is this the same as in paying for Services (as I have a VIP section and a Donation section) where people can help support the forums, is this too against the law?

What money changing hands is legal and which aren't please?
As I would like to reward members money on my forums, but at the same time I don't want to break any rules, and help would be greatly appreciated.
 
If you are offering prize money, the best way to stay within the law is to ensure that no purchase is necessary to enter into the contest.

There is no law against buying and selling services in exchange for cash. Provided of course that those services are legal and that there is no fraud involved.
 
I see, the reason I ask I have a lottery section on my forum where if you successfully match all 4 numbers you get money sent to you or donated to your forums.
But I have been informed that Lotteries are against the law.
But there is no purchase required to answer your question it's free to enter.

So donations and VIP Services are okay by what you're saying yes?
 
warrenisfriendly said:
But I have been informed that Lotteries are against the law.
Can members who have not paid anything to your forum enter those lotteries? If they can, I don't see why you would have any legal problems.

So donations and VIP Services are okay by what you're saying yes?
I don't see any reason why not, a huge number of sites have them. However, you can't tie the donation or VIP service to anything illegal, e.g. you cannot make the purchase a requirement for entering your lottery.
 
Thank you Fergal, so if I have a lottery, which is free to enter and the winner gets real money to their forums or to themselves that's ok, or is it only ok if that money they win is donated to their forums?
 
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