Is It Legal to Sell Lottery Promotional Materials?

Selling promotional lottery materials is illegal.

Laws governing lottery promotional materials vary by state. The type and size of promotional materials often falls under the guidance of local regulations. Licensed lottery dealers are permitted to give away promotional items at their stores.

State Laws

Typically, state laws permit promotional lottery materials to only be used in a complementary fashion or as prizes. Selling lottery promotional items is routinely not permitted in any state. Commonalities among existing state laws permit promotional lottery materials to be presented to customers without charge and to retail staff as an incentive.

Anti-Lottery Laws

Federal anti-lottery laws prohibit the sending of lottery-related promotional materials by mail. Title 18 of the United States Code states any "instrument" which purports a ticket, gift or prize related to a game of chance is illegal. Pamphlets or advertisements promoting a gift or prize drawing dependent upon a lottery or game of chance is also against the law.

Racketeering Statutes

As of 2010, 40 states permitted state-sponsored lotteries. Promoting a lottery with promotional materials with a business permit or interstate agreement outside of a state which allows a lottery is illegal. Interstate transportation of wagering materials falls under federal racketeering statutes. Handing out promotional lottery materials for games of chance which are not state-sanctioned is considered a criminal act.

References

• Find Law: State Lotteries
• Gambling Law US: Anti-Lottery Laws
• Consumer Fraud Reporting: Racketeering
• Illinois Lottery: Promotional Items