---
title: "Prize Promotions for Non-Gambling Businesses — Sweepstakes"
url: "https://legal.ge/en/service/media-entertainment-and-sports-law-en/prize-promotions-for-non-gambling-businesses-sweepstakes-en"
field: "Media, Entertainment & Sports Law"
description: "Prize games for non-gambling businesses — Articles 3, 4, 11: knowledge contests outside the permit, promotional draws — 1 year. Legal.ge."
updated: "2026-10-15"
publisher: "legal.ge"
---

# Prize Promotions for Non-Gambling Businesses — Sweepstakes

> Source: legal.ge, https://legal.ge/en/service/media-entertainment-and-sports-law-en/prize-promotions-for-non-gambling-businesses-sweepstakes-en

## When a Promotion Is Not Gambling

When a non-gambling business plans a prize campaign, the first question is whether the planned game is an object of regulation at all. Article 4 gives the way out: games conducted using machines, devices, the internet, the telephone, specially equipped electronic means and other means, in which no element of chance is provided, are not attributed to lotteries, gambling or promotional games. The purpose of such games is the testing or demonstration of the participants’ special knowledge, intellect, dexterity, adroitness or other special ability.

Thus, if the outcome of a competition depends on the participant’s knowledge or skill and chance is excluded, the law does not treat the game as gambling business, and the gaming permit regime does not apply to it. This is the point that settles the legal boundary between a competition and a draw: even a single element of chance transfers the game into the regime of promotional games.

## The Regime of Promotional Draws

If the winning in a campaign depends on chance, it falls within the concept of a promotional draw. Article 3 defines it: a promotional draw is a game during which the organiser plays out a prize fund under a publicly published, established rule and conditions. It is conducted for the purpose of the fast and effective sale of a specific type of product or service, and also in the case determined by the Government. The occurrence of a win is a matter of chance and cannot be specially arranged.

For promotional draws the law establishes three characteristic rules: the ticket is issued free of charge; the permit for organising one is issued to the manufacturer of the specific product or service, or to its representative, except in the case determined by the Government; and it is prohibited to impose a fee for participation in the draw in any form. This last rule is violated most often in practice: the “buy and receive a code” model is legitimate, because the price attaches to the product and not to participation, but a direct charge for participation is unlawful.

The full text is available on legal.ge after signing in: https://legal.ge/en/service/media-entertainment-and-sports-law-en/prize-promotions-for-non-gambling-businesses-sweepstakes-en

### Which games are outside the law’s scope?

Those in which the element of chance is excluded and whose purpose is testing the participants’ knowledge, intellect, dexterity or other ability.

### Why is the ticket free?

A promotional draw ticket is issued free of charge, and charging a fee for participation in any form is prohibited; a price may exist only for the underlying product.

### Who is the organiser?

The permit is issued to the manufacturer of the specific product or service or to its representative; the case determined by the Government is an exception.

### What is the risk of a mixed campaign?

If the final outcome still partly depends on chance, the whole campaign falls into the draw regime and requires a permit.
