What is a raffle?
As described by the Charitable Gaming Division of the Michigan Lottery: “If you are charging people or requiring them to donate or provide something of value to participate in a drawing where a prize will be awarded, then you are conducting a raffle.” See Raffle Guide, state of Michigan Charitable Gaming Division, page 1, at: http://www.michigan.gov/documents/BSL-CG-1824_26045_7.pdf. They are games where you (1) give something of value, (2) for a chance, (3) at a prize. Events where you compete, based upon skill, for a prize (such as a poker tournament), are not raffles. Events of this sort may fall under other regulatory requirements and prohibitions, but they are not raffles. Events where a person has a chance at a prize but does not give something of value are called promotional or game activities. These, too, have their own set of regulatory requirements.
