It has been determined by the California Supreme Court that computer sweepstakes games can be classified as illegal slot machines. The ruling raises a host of legal issues for companies that may rely on similar devices or games in their traditional sweepstakes marketing campaigns.
Justice Ming Chin found that despite the fact that games in question do not resemble outwardly what one might consider traditional slot machines or "one-armed bandits", the machines in question operated in such a way as to cross the line into prohibited hardware.
In such games as "Buck Lucky" and "Baby Bucks", it was determined that these games fell into the realm of gambling because players cannot use skill or judgment to influence the outcome of the games. In addition, Chin noted that the games are designed to cultivate the impression that the user may receive a reward by reason of any element of hazard or chance.
As I mentioned in the article covering this topic, I think this opinion opens up a Pandora's Box, and indeed it is going to be very difficult for corporations to run any kind of promotion
where the result is revealed on a computer.
The fact that his ruling could definitely affect promotional
sweepstakes operated by companies such as Coca-Cola and McDonalds was noted by Chin but he indicated that such questions would have to be decided in a case in
which someone claims some other sweepstakes system is an illegal slot
machine.
To read further about the case in The Recorder, click here.
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