Browse topics

  • Governing law
    Name Law or Code?

    The Civil and Commercial Code of the Argentine Republic ('CC Code')

    Code

    The Commercial Loyalty Law (Law number 22,802 as amended)

    Law

    Customers' Protection Law (Law number 24,240 as amended)

    Law

    Personal Data Protection Law (Law number 25,326 as amended)

    Law
    Decree 961/2017 and Resolution 915/2017 (of the Secretariat of Commerce modified the regulations of the conditions for those who organizse or promote contests, draws and sweepstakes with the aim of simplifying certain formalities)

    Law

    Note: Prize promotions regulations in Argentina are the responsibility of each province. Argentina is subdivided into twenty-three provinces (provincias) and one autonomous city, the City of Buenos Aires.  Even though the provinces and the City of Buenos Aires exist under a federal system, they have their own constitutions, and local regulations. Organisers/sponsors must be aware of the applicable legislation for the provinces included within the territory.

    Last modified 8 Jan 2019

  • Extra-territoriality

    Yes. Even when a chance-based game or skill-based contest is solely online and no promotion takes place in Argentina, if it is open to Argentinean residents, it will be subject to the laws of our countrArgentinay. As a consequence, national regulators might enforce rules against organiszers/companies operating abroad.

    Last modified 8 Jan 2019

  • Skills competitions

    Yes, but ensure that:

    • The purchase of a product or service is not a requirement in order to be able to participate in the promotion; the elements required to enable a person to participate should be made available for free to anybody willing to participate;

    • No element of chance should be used to determine the winner of the promotion;

    • The Rules are available in Spanish; and

    • You disclose information regarding prizes, territorial scope and participation requirements.

    Last modified 8 Jan 2019

  • Prize draws

    Yes, but ensure that the purchase of a product or service is not a requirement in order to be able to participate in the promotion. The elements needed to enable a person to participate must be made available for free to anybody willing to participate.

    Last modified 8 Jan 2019

  • Selection of winners

    The terms and conditions of the promotion must be made available to the public and the process through which the winners shall be determined needs to be clearly established, including dates and place where the process will take place. It is suggested that the process be supervised by a Notary Public.

    If the awards are to be determined by chance, the mathematic adjudication used to determine the winner needs to be provided; if this is not possible, an approximate estimation of it needs to be provided.

    The names of the winners shall be published within ten (10) days, counted from the end of the promotion, by the same media used to promote the contest/promotion.

    The terms and conditions should indicate date and place where the prizes will be delivered.

    Last modified 8 Jan 2019

  • Judges

    There are no legal requirements in relation to judges and judging in skill competitions. However, the judging criteria should be clearly stated within the Rules and it´s advisable to include the list of judges.

    Last modified 8 Jan 2019

  • Prizes

    Prizes awarded must be as described in their marketing communications, or reasonably equivalent to the description.

    No forbidden and/or illegal goods should be awarded as prizes.

    Last modified 8 Jan 2019

  • Registration requirements and fees

    Note that in February 2018, the government of Argentina dissolved the National Lottery (LNSE). As a result, at least for now, Argentina no longer requires sweepstakes and contests to be registered. Prior to the dissolution, only promotions/contests in which the winners were totally or partially determined by chance – involving prizes greater than  6,666 Pesos (approx. US$148) – needed to be registered with LNSE and had to meet all the applicable requirements.

    With regard to skill-based contests, they do not require registration. However, the Official Rules must conform to local law. When a prize is awarded to a winner selected by chance a 31% special tax is levied. If the prize is cash, the entity awarding it must withhold and pay for the tax. If the prizes are goods the beneficiary must provide the entity awarding the prize the amount of money requested to pay for the special tax. Specific provincial taxes may apply in different jurisdictions.

    Last modified 8 Jan 2019

  • Other local requirements

    Promoters must provide certain and detailed information in relation to the prize promotion, including the essential characteristics of the prizes offered, and any other relevant terms.

    Conditions expressed in advertisements, brochures, circular letters or any other media are considered to be included in the contract concluded with the consumer, as binding terms.

    In such respect, Organiszers must comply with the requirements as established by Decree 961/2017 and Resolution 915/2017 of the Secretariat of Commerce.

    Last modified 8 Jan 2019

  • Timing

    For chance-based promotions, time is required to request the permit from the Provinces that regulate contests/promotions at a local level. Time and costs involved may vary depending on the Province.

    Note that Provinces regulating promotions/sweepstakes at a local level can be excluded in order to avoid compliance with local regulations.

    Last modified 8 Jan 2019

  • Translations

    Yes, the terms and conditions must be provided in Spanish.

    Last modified 8 Jan 2019

  • Penalties for non-compliance

    According to the Commercial Loyalty Law, the penalties for non-compliance are the following:

    • Fines from AR$500 (approximately US$11) to AR$ 5,000,000 (approx. US$111.000);

    • Suspension for up to 5 years from the providers registries that allow promoters to conclude contracts with the State;

    • Loss of concessions, tax or special credit benefits;

    • Closure of the facility for up to 30 days.

    According to the severity of the breach, and if it is convenient, publication of a notice of the penalty in the same media may occur.

    In case of fraud, criminal actions may be initiated.

    Last modified 8 Jan 2019

  • Restrictiveness of regulations

    Due to the recent dissolution of the National Lottery there are only a few restrictions on prize promotions in Argentine national regulations. However, as previously mentioned, some provinces like Mendoza, Córdoba, Salta, Neuquén and Tierra del Fuego have their own local regulations. In addition, forbidden acts under the Competence Defense Law must be avoided. Advertisements that contain false indications, lead or could lead to mistake and/or are abusive, discriminatory, or lead the consumer to behave in a dangerous or harmful way, must be avoided as well.

    Last modified 8 Jan 2019

  • Regularity of sanctions

    Fines and prison sentences are rarely imposed.

    Generally, in cases of breach, a complaint is submitted to the Consumer's Defense Office, where a monetary sanction can be applied to the non-compliant entity, and it can also be requested that the misleading advertisement be deleted.

    Last modified 8 Jan 2019

  • Key contacts
    Ignacio J. Randle
    Ignacio J. Randle
    Partner Estudio Randle [email protected] T +54 11 5252 0700
    Alejandro M. Massot
    Alejandro M. Massot
    Partner Estudio Randle [email protected] T +54 11 5252 0700

Judges

Are there any particular requirements in relation to judges or judging for skills competitions?

Argentina

Argentina

There are no legal requirements in relation to judges and judging in skill competitions. However, the judging criteria should be clearly stated within the Rules and it´s advisable to include the list of judges.

Australia

Australia

No.

However, for the ACT and NSW, skill competitions may include judges who are qualified in a field relevant to the event or competition but this is not obligatory.

Austria

Austria

The applicable laws on prize promotions do not include a provision regarding the selection of judges or judging for skill competitions.

Nevertheless the conditions for skill competitions and prize draws have to be transparent and easily accessible for participants (Art. 6 Sec 1 Cif 4 ECG).

Belgium

Belgium

There is no formal requirement to involve an external jury, judge or panel to select the winners, but doing so may reduce the risk of disputes afterwards.

Brazil

Brazil

There is no provision in this regard under Brazilian Law.

Canada

Canada

There are no specific requirements for judging, except that:

  • The judging must be done fairly; and

  • The criteria and method of selection must be disclosed clearly in all rules, advertisements, and point of purchase materials.
Chile

Chile

Not applicable.

China

China

No.

Note: This is a broad comment in relation to general commercial prize promotions and does not apply to all skill competitions such as large-scale competitions including sports competitions and singing contests on TV which may have specific rules for judges and/or judging.
Colombia

Colombia

Competitions where the selection of winners is determined by skill, are not regulated by Colombian law. In this regard, such activities must be in accordance with the Consumer Protection Law, which states that all terms and conditions must be previously posted and completely informed to consumers.

Czech Republic

Czech Republic

No, there are no particular requirements in relation to judges or judging for skills competitions, but any judging process has to be communicated in the associated terms and conditions of the respective competition in a clear and unambiguous manner before entering the competition, so that the participants are not misled about the judging process.

Denmark

Denmark

No.

Finland

Finland

No.

France

France

No, although it is recommended that judges have sufficient capability to judge a skill competition and more generally be independent from the participants and objective.

Germany

Germany

No, there are no particular requirements in relation to judges or judging for skills competitions, but:

  • Any judging process has to be communicated in the associated terms and conditions of the respective competition in a clear and unambiguous manner before entering the competition, so that participants are not misled about the judging process

  • If the skill competition falls under s.661 BGB, some additional requirements apply, e.g. that the judges have to select the winner competently and adhere to the rules of the skills competition.
Hong Kong

Hong Kong

There are no particular requirements in relation to judges or judging for skills competitions.

Hungary

Hungary

No, there are no particular requirements in relation to judges (other than the presence of a notary public in the case of prize draws) or judging for skills competitions.

India

India

There are no specific regulations in relation to judges or judging for skills competitions. However, for the sake of good practice the panel of judges must be independent, competent, with set standards/criterion for judgment. Further, the criteria and mechanism for judging entries must be made known before, or at time of, entry.

Ireland

Ireland

There are no specific requirements under Irish law. The ASAI Code (which is binding only on ASAI members) includes requirements in respect of judges and the judging for skills competitions. These requirements include the following:

  • If the selection of winning entries is open to subjective interpretation, an independent judge, or a panel including one member who is independent of the competition’s promoters and intermediaries, should be appointed.

  • Those appointed to act as judges should be competent to judge the subject matter of the competition. ASAI members are required to make available to the ASAI on request the identity of judges.
Italy

Italy

No, there are no particular requirements in relation to the judges or judging for skills competitions. However, it is highly advisable for the terms and conditions of the competition to be as clear as possible, providing a clear overview of both the criteria for participation in the promotion and the mechanic of the judging process.

Japan

Japan

This is not regulated under the AAUPMR or any other relevant guidelines or notices. Methods can be determined at the discretion of the retailer/promoter.

Luxembourg

Luxembourg

No, under the previous applicable law.

It is uncertain whether such conditions remain applicable given the current status of the law (see Governing law). A number of operators on the Luxembourg market nonetheless continue to apply the principles of the previously applicable law as good practice.

Mexico

Mexico

There is no regulation relating to judges and judging in skill competitions.

Netherlands

Netherlands

The conditions for awarding the prizes must be transparent for participants and the award of such prizes must be conducted in an impartial manner.

New Zealand

New Zealand

Competitions that are entirely skilled based have no requirements for judges or judging.

Nigeria

Nigeria

Promotions must specify, before or at the time of entry, the criteria for judging entries. If the selection of winning entries is open to subjective interpretation, an independent judge, or a panel including one member who is independent of the competition’s promoters and intermediaries, shall be appointed. Those appointed to act as judges shall be competent to judge the subject matter of the competition. The full names of the judges shall be available on request.

Norway

Norway

There are no specific legal requirements, however, the company must follow any rules that they have set for the competition, and be able to prove they have followed these rules. This follows general contract and marketing law. This implies also that the judges must be independent when judging a competition.

Poland

Poland

There are no particular requirements in relation to judges or judging in skills competitions. The evaluation of whether and which work or act deserves the reward is made at the competition organiser's' discretion unless the T&C's of the competition (the "reward promise" under the Polish Civil Code) stipulate otherwise. The criteria and mechanism for judging must be notified to the participants before they enter the promotion.

Portugal

Portugal

Skill competitions, where the selection of winning entries is open to subjective interpretation, should be judged by an independent judge, or a panel. Those appointed to act as judges should be competent to judge the subject matter of the competition. The full names of judges should be made available on request.

Romania

Romania

There are no particular requirements in relation to judges or judging for skills competitions.

Russia

Russia

There are no legal requirements in relation to judges or judging for skills competitions. This is entirely determined by the organizer. However, the criteria and procedure of assessment of results must be announced by the organizer of the competition.

Saudi Arabia

Saudi Arabia

No, the ACFR does not stipulate any requirements in relation to judges or judging specifically for skills competitions (eg a minimum number of judges, independence, qualifications, etc). The competent authorities will likely, as part of granting a licence for undertaking the competition, require details of the criteria and mechanism for judging entries.

Singapore

Singapore

There are no such statutory requirements.

South Korea

South Korea

There are no regulations concerning judges and judging for skills competitions.

Spain

Spain

No. Judges can even be employees of the sponsor. However, appointing judges with at least a minimum knowledge of the matters to be assessed is strongly recommended. This is because otherwise the authorities could find that the competition is based on chance.

Sweden

Sweden

The criteria and mechanism for judging entries must be made known before, or at the time of, entry. Furthermore, the composition of the judging panel should be made known before, or at the time of, entry.

Thailand

Thailand

There are no such requirements in relation to skill competitions.

Turkey

Turkey

There are no specific requirements in relation to skill competitions.

Ukraine

Ukraine

No particular requirements on judges or judging for skills competitions are established by the law. According to the Civil Code of Ukraine, a winner of a skill competition shall be defined according to the criteria set out by a competition organizer in its terms and conditions.

Also, the Civil Code of Ukraine provides that the winner of the skill competition is the person who achieved the best result.

Based on results of the skill competition, the competition founder may approve a decision on the following:

  • Award all prizes, provided by the terms and conditions of the competition

  • Award specific prizes, if several of them were envisioned

  • Refuse the awarding of prizes, if none of the entries meets the requirements of the competition, or

  • Award an encouragement prize

The results of the skill competition may be disputed by an interested party in court.

No other requirements are established by the law.

United Arab Emirates - Dubai

United Arab Emirates - Dubai

There are no set qualifications in relation to judges for skill competitions. However, the attendance of a DED representative is compulsory at the time of selecting winners.

United Kingdom

United Kingdom

Skill competitions where the selection of winning entries is open to subjective interpretation must be judged by a demonstrably independent judge or a panel with at least one independent member. Those judging must be competent.

The criteria and mechanism for judging entries must be made known before, or at time of, entry.

United States

United States

Overall Summary

There are no statutory requirements. However, the key is making sure that bona fide skill determines the outcome and entrants are clearly notified of the standard of skill required (ie criteria by which the winner will be determined). Skill competitions where the selection of winning entries is open to subjective interpretation must be judged by a demonstrably independent judge or a panel with at least one independent member. Those judging must be competent.