Legal Junkies Forums

#1 Community for Legal Questions and Answers

 
Go Back   Legal Junkies Forums > NONPROFIT LAW and FUNDRAISING > Other Nonprofit Law Issues

Register FAQ Tags Members List Social Groups Search Today's Posts Mark Forums Read Layout

Notices


Reply

 

Thread Tools Search this Thread Rate Thread Display Modes
Old 11-01-2015, 10:51 PM   #1
acen
Junior Member
 
Join Date: Nov 2015
Posts: 1
Default Online Raffle Tickets Sales California Non Profit

I represent a California non profit charity with a online car raffle. We are seeking guidance as to online raffle ticket sales. We have registered with the Department of Justice to raffle as instructed. The penal code 320.5 says online raffle ticket sales is prohibited, but I think there might be a work around. We offer unlimited free tickets to contestants, thus I don't think we are subject to the rules. We only have suggested donation amounts for tickets. I need legal advice if we are in the right regarding the matter. There are 3 criteria at the bottom of the penal code that make us exempt. I feel we are exempt from the rules. Any guidance would be appreciated. Thanks
acen is offline   Reply With Quote


Did you find this post helpful? Yes | No
Old 11-02-2015, 02:44 AM   #2
AFFA
Top Level Member
 
AFFA's Avatar
 
Join Date: Dec 2009
Posts: 23,382
Default Re: Online Raffle Tickets Sales California Non Profit

I wish to inform you that In California as a general rule raffle and lottery us not allowed but however charities and certain other private nonprofit organizations may conduct raffles to raise funds for beneficial or charitable purposes in the state. In this atleast 90% of funds should be for charities. For conducting raffle for raising funds a nonprofit organization must register with the Attorney General's Registry of Charitable Trusts prior to conducting the raffle and file an aggregate financial disclosure report for all raffles held during the reporting year. Penal Code section 320.5(c) provides about eligible organization as a private, nonprofit organization that has been qualified to conduct business in California for at least one year prior to conducting a raffle and is exempt from taxation and hence if you are covered then you may conduct raffle to raise funds.

AFF
AFFA is offline   Reply With Quote


Did you find this post helpful? Yes | No
Old 02-19-2017, 07:56 PM   #3
Unregistered
Guest
 
Posts: n/a
Default Re: Online Raffle Tickets Sales California Non Profit

Can the raffle occur if the payment is a voluntary payment only?
  Reply With Quote


Did you find this post helpful? Yes | No
Old 02-20-2017, 09:51 AM   #4
Unregistered
Guest
 
Posts: n/a
Default Re: Online Raffle Tickets Sales California Non Profit

Raffle rules would still apply!

The state will not let the rules be avoided that easily!
  Reply With Quote


Did you find this post helpful? Yes | No
Old 02-20-2017, 09:52 AM   #5
Unregistered
Guest
 
Posts: n/a
Default Re: Online Raffle Tickets Sales California Non Profit

Though you could always seek the opinion of the regulators and see what they might allow!
  Reply With Quote


Did you find this post helpful? Yes | No
Old 11-21-2019, 06:32 PM   #6
venus 44
Guest
 
Posts: n/a
Default Re: Online Raffle Tickets Sales California Non Profit

Quote:
Originally Posted by acen View Post
I represent a California non profit charity with a online car raffle. We are seeking guidance as to online raffle ticket sales. We have registered with the Department of Justice to raffle as instructed. The penal code 320.5 says online raffle ticket sales is prohibited, but I think there might be a work around. We offer unlimited free tickets to contestants, thus I don't think we are subject to the rules. We only have suggested donation amounts for tickets. I need legal advice if we are in the right regarding the matter. There are 3 criteria at the bottom of the penal code that make us exempt. I feel we are exempt from the rules. Any guidance would be appreciated. Thanks
so called workarounds are a good way to get in trouble for violating the intent and spirit of the law
  Reply With Quote


Did you find this post helpful? Yes | No
Old 11-21-2019, 06:33 PM   #7
venus 44
Guest
 
Posts: n/a
Default Re: Online Raffle Tickets Sales California Non Profit

But I do like the idea suggested above regarding asking the AG or other relevant authority directly.
  Reply With Quote


Did you find this post helpful? Yes | No
Reply

Bookmarks

This thread has 6 replies and has been viewed 3138 times


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes Rate This Thread
Rate This Thread:


Posting Rules
You may not post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Similar Threads

Thread Thread Starter Forum Replies Last Post
Are online sales and purchases tax free still? TILL Online Purchases and Sales 3 08-23-2017 02:57 AM
ONLINE RAFFLE FROM MEXICO TO USA grace111 International Trade Law 5 11-07-2014 05:54 AM
Can a non-profit raffle off real estate in Colorado? Unregistered Other Nonprofit Law Issues 11 08-08-2010 12:54 PM
Are all sales final? (ticket sales final policy, pre-sold tickets) Unregistered Miscellaneous Topics 1 05-29-2010 10:02 AM
Lottery Tickets Online (luckylotto.com) luckylotto Off Topic Messages 0 03-15-2010 01:46 AM




All times are GMT -5. The time now is 10:17 PM.


Use of the Forums is subject to our Disclaimer. Copyright 2009-2019 by LegalJunkies.com