Can a retailer offer a prize through a drawing to customers, but only those customerswho spend a certain amount of money?

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Can a retailer offer a prize through a drawing to customers, but only those customerswho spend a certain amount of money?

Asked on February 24, 2011 under Business Law, Texas

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

As long as the drawing that is offered does notviolate any laws, such as state lottery laws, and does not in any way discriminate then it seems perfectly legal.  Now, I know what you are going to say: of course it discriminates here.  You have to spend x amount of money in order to become eligible for the drawing.  If you can't afford to spend x you do not have the option to be enrolled.  That is not really the type of discrimination the law means.  This is a voluntary drawing correct?  You can chooses to spend your money or not.  They are just offering an incentive to spend more, much like spend $100 get 10% off; spend $200 get 15% off. 


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