If you want your business to run a sweepstakes or contest you must be careful to structure the promotion so it is not characterized as a lottery under state and federal law, as lotteries are illegal unless sponsored by government entities. Some states, such as Florida, New York, and Rhode Island have registration requirements if the total amount of prizes exceeds a certain amount. And there are a number of issues you should address in the official rules you publish with the sweepstakes or contest.

In Wyoming, as in other states, businesses must ensure that their sweepstakes or contests do not qualify as illegal lotteries. A lottery includes three elements: consideration (entry fee or purchase), chance, and a prize. To avoid being classified as a lottery, most sweepstakes remove the consideration element by allowing free entry. Contests, which are based on skill rather than chance, typically do not fall under lottery regulations. Unlike Florida, New York, and Rhode Island, Wyoming does not have specific registration requirements for sweepstakes based on the total amount of prizes. However, businesses must still adhere to state and federal consumer protection laws, ensuring transparency and fairness in the promotion. Official rules should be published and should address eligibility, entry procedures, prize descriptions, odds of winning, and how winners will be selected and notified. It's important to note that while Wyoming law governs sweepstakes and contests conducted within its borders, federal laws and regulations, such as those enforced by the Federal Trade Commission (FTC), apply as well.