Creating a Writing Competition - Competition Permits in Australia?

[Ben]

I am hoping to create a writing competition. Let's assume the competition is a short story competition with the prize being $1000, with a $10 entry fee, available to only Australian residents. Apart from putting clear official rules- e.g. this is not a sweepstakes, criterion by which it will be judged, entrance date etc. is there any other issues legally from me doing this? and what if I chose to make it available to interested story tellers overseas- does that change the game plan since different countries have different rules around 'windfalls' in tax etc.etc.

 

[John R]

Hi Ben,
A writing competition where all entries are judged on their merits would generally be considered a "game of skill" and not require a competition/trade lottery permit in most Australian states and territories. However, the $10 entry fee may create an issue because:

• a "game of skill" with an associated entry fee may require a gaming permit; and
• even trade lottery permits don't generally allow entry fees. In contrast, such permits generally limit an entry fee to a set cost for an SMS/phone call and/or eligibility is limited to people who purchase a product/service from the trade lottery promoter (e.g. buy a case of beer from the bottle shop to enter the competition, etc.).

Because of your unique situation, you should consider contacting the gaming/lottery regulator (e.g. VCGLR in Victoria and OLGR in NSW) in the states and territories (and countries, if you decide to expand internationally) that you intend to promote your competition in.

Further information:
http://www.andmine.com/blog/do-i-need-a-competition-permit-in-australia/
http://samsales.com.au/articles/30-...ian-permit-requirements-for-promotions-4.html

Please keep us updated with your progress. Good luck!

 

[Ben]

Hi Ben,
A writing competition where all entries are judged on their merits would generally be considered a "game of skill" and not require a competition/trade lottery permit in most Australian states and territories. However, the $10 entry fee may create an issue because:

• a "game of skill" with an associated entry fee may require a gaming permit; and
• even trade lottery permits don't generally allow entry fees. In contrast, such permits generally limit an entry fee to a set cost for an SMS/phone call and/or eligibility is limited to people who purchase a product/service from the trade lottery promoter (e.g. buy a case of beer from the bottle shop to enter the competition, etc.).

Because of your unique situation, you should consider contacting the gaming/lottery regulator (e.g. VCGLR in Victoria and OLGR in NSW) in the states and territories (and countries, if you decide to expand internationally) that you intend to promote your competition in.

Further information:
http://www.andmine.com/blog/do-i-need-a-competition-permit-in-australia/
http://samsales.com.au/articles/30-...ian-permit-requirements-for-promotions-4.html

Please keep us updated with your progress. Good luck!

Wow. That's incredibly relevant and helpful! Thank you! I will pursue it and let you know, even if I choose not to go ahead with it,
Thanks again,
Ben.

 

[Ben]

As a follow up for those interested, Short Story competitions don't hall under the category of the Gambling Commission, since they are not a game of chance, as was mentioned earlier. The consumer commission that I was told to contact after that said there are no regulations set it stone for it either, and they would only step in if the competition was suspected to be a scam. It was suggested that I leave a phone number on the website and have an active ABN to establish more legitimacy to it, however this was the only advice I was given, apart from the quality advice of being very specific about competition rules and judging criterion. Anyhow, that's how far i've got so far Thanks for all your help!

 

[John R]

Great to hear Ben. All the best with your short story competition!