Competition Bureau Canada
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Promotional Contest - Charitable Sweepstakes

A Canadian registered charity sought a written opinion in on whether a proposed promotional contest could raise concerns under the Competition Act. The charity proposed to run a sweepstakes game resembling "8-liners", which is similar to those played on video terminals operated by casinos or provincial lotteries.

These terminals will be located at certain retail establishments. In order to play the sweepstakes game, a consumer must purchase a pre-paid long distance phone card which provides access to the video terminal. The cost of this phone card is then donated to the charity. There is also a "no purchase necessary" method of entry. The complete rules and regulations for the contest will be posted at the retail establishment.

The opinion provided by the Bureau on , stated that the contest as proposed would not give the Commissioner grounds to commence an inquiry under section 74.06 of the Act. In the Bureau's view, the contest would adequately disclose the number and approximate value of prizes, the area or areas to which they would relate, and any important information relating to the chances of winning, such as the odds of winning.

(3098083)

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