General Assembly Substitute Bill No. 80
February Session, 2014 *_____SB00080JUD___040214____*
General Assembly
Substitute Bill No. 80
February Session, 2014
*_____SB00080JUD___040214____*
AN ACT PROHIBITING INTERNET SWEEPSTAKES CAFES.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. Section 42-295 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
As used in sections 42-295 to 42-300, inclusive, and section 2 of this act:
(1) "Advertise" means the use of the media, mail, computer, telephone or personal contact to offer: (A) [to] To a specifically named person the opportunity to participate in a sweepstakes and such offer represents that (i) such person has been awarded a prize, (ii) such person will be awarded a prize, or (iii) there is a strong likelihood, as determined pursuant to regulations adopted by the Commissioner of Consumer Protection in accordance with chapter 54, that such person will be awarded a prize; or (B) a game of skill and such offer represents that (i) a participant will be awarded a prize, or (ii) there is a strong likelihood, as determined pursuant to such regulations, that a participant will be awarded a prize;
(2) "Consumer product" means any article used primarily for personal, family or household purposes;
(3) "Person" means an individual, corporation, association, partnership or any other entity;
(4) "Prize" includes, but is not limited to, an award, gift certificate, travel coupon or anything else of value regardless of whether there are any conditions or restrictions attached to the receipt of the prize that is separate and distinct from the goods, services or property promoted by the sponsor and that is offered or awarded to a participant in a sweepstakes or a promotional drawing;
(5) "Promoter" means a person conducting a sweepstakes or a promotional drawing on behalf of a sponsor;
(6) "Simulated check" means a document which looks similar to a check but is not currency or a check, draft, note, bond or other negotiable instrument;
(7) "Sponsor" means a person on whose behalf the sweepstakes or promotional drawing is being conducted to promote or advertise goods, [or] services or property of that person;
(8) "Sweepstakes" means a legal contest, competition, scheme, plan or game that (A) is conducted by a sponsor or promoter for advertising or promotional purposes related to the sale of goods, services or property where a prize is distributed by lot or by chance, and (B) does not require a permit or license to operate in the state;
(9) "Verifiable retail value" means: (A) A price at which a substantial number of the prizes have sold at retail in the local market no earlier than one year prior to the advertisement of the sweepstakes by a person other than the promoter or sponsor; (B) if the prize is not available for retail sale in the local market, the retail value of an item substantially similar to the prize in quality, quantity, grade and utility; or (C) if the value cannot be established under subparagraph (A) or (B) of this subdivision, no more than three times the cost of the prize to the promoter or sponsor; [and]
(10) "800 number" means a prefixed telephone number for which no charge is assessed; [.]
(11) "Simulated gambling device" means any mechanically, electrically or electronically operated machine, network, system or device that is intended to be used by an entrant to a sweepstakes or a promotional drawing and is capable of displaying a simulated gambling display on a screen or mechanism; and
(12) "Simulated gambling display" means visual or aural information that takes the form of actual or simulated gambling or gaming play, including, but not limited to, a video poker game or any other kind of video playing card game, a video slot machine, a video game based on or involving the random or chance matching of different pictures, words, numbers or symbols, a video bingo game, a video craps game, a video keno game or a video lotto game.
Sec. 2. (NEW) (Effective July 1, 2014) (a) No person shall conduct or promote a sweepstakes or a promotional drawing authorized by the provisions of section 53-278g of the general statutes, as amended by this act, that (1) is not related to the bona fide sale of goods, services or property, or (2) uses a simulated gambling device.
(b) Any person who violates the provisions of this section shall be subject to the penalty for professional gambling, as provided in subsection (b) of section 53-278b of the general statutes.
(c) Any simulated gambling device used in a sweepstakes or a promotional drawing shall be deemed a common nuisance and be subject to seizure, as provided in section 53-278c of the general statutes.
(d) Any premises used for a sweepstakes or a promotional drawing in violation of the provisions of this section shall be deemed a common nuisance and shall be subject to the provisions in section 53-278e of the general statutes.
Sec. 3. Subsection (a) of section 53-278g of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) Nothing in sections 53-278a to 53-278g, inclusive, as amended by this act, shall be construed to prohibit the publication of an advertisement of, or the operation of, or participation in, a state lottery, pari-mutuel betting at race tracks licensed by the state, off-track betting conducted by the state or a licensee authorized to operate the off-track betting system, [or] a promotional drawing for a prize or prizes, conducted for advertising purposes by any person, firm or corporation other than a retail grocer or retail grocery chain, wherein members of the general public may participate without making any purchase or otherwise paying or risking credit, money, or any other tangible thing of value or a sweepstakes conducted pursuant to sections 42-295 to 42-300, inclusive, as amended by this act, and section 2 of this act.
This act shall take effect as follows and shall amend the following sections:
Section 1 July 1, 2014 42-295
Sec. 2 July 1, 2014 New section
Sec. 3 July 1, 2014 53-278g(a)
This act shall take effect as follows and shall amend the following sections:
Section 1
July 1, 2014
42-295
Sec. 2
July 1, 2014
New section
Sec. 3
July 1, 2014
53-278g(a)
Statement of Legislative Commissioners:
In sections 1(8) and 2(a), "a product, service or property" was changed to "goods, services or property" for statutory consistency.
PS Joint Favorable Subst.-LCO C/R JUD
JUD Joint Favorable
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Joint Favorable