CHAPTER 386

An Act concerning the conduct of raffles and amending and supplementing P.L.1954, c.5.

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

C.5:8-60.1 Findings, declarations relative to conduct of raffles.

    1.    The Legislature finds and declares that it is the purpose of this act to assist charitable, civic and service organizations, including volunteer fire companies, first-aid squads, church organizations, school groups, veterans' organizations and senior citizen clubs, in conducting raffles to raise funds for educational, charitable, patriotic, religious and public-spirited purposes.

    2.    Section 10 of P.L.1954, c.5 (C.5:8-59) is amended to read as follows:

C.5:8-59 Age limit, exceptions.

    10. a. No person under the age of 18 years shall be permitted to participate in any manner in any game or games of chance not conducted by a drawing, except that a person under the age of 18 years shall be permitted to play a game of chance not conducted by a drawing when the prize offered and awarded consists of merchandise only and does not include cash or money.

    b.    No person under the age of 18 years shall be permitted to participate in any manner in any game or games of chance conducted by a drawing, held, operated or conducted pursuant to any license issued under this act, except that a person under the age of 18 years shall be permitted to play an on-premises draw raffle, including a Penny auction, when any prize offered and awarded consists of merchandise only.

C.5:8-60.2 "Penny auction" defined.

    3.    As used in P.L.1954, c.5 (C.5:8-50 et seq.), as amended and supplemented, "Penny auction" means an event at which multiple items of merchandise, or gift certificates therefor, but not cash, are raffled by drawing the winning ticket from a container designated for each item into which players seeking to win that item have placed tickets, with all tickets having been sold for the same price or different prices and each ticket placed in a container having an equal chance of winning.

C.5:8-60.3 Certain regulations pertaining to raffles.

    4.    The Legalized Games of Chance Control Commission shall promulgate regulations allowing qualified organizations to:

    a.    offer as a raffle prize any personal or professional service, or a gift certificate for any personal or professional service, which is a lawful activity and which the commission determines to be an appropriate raffle prize, and the value of which is within the limits set by the commission for raffle prizes;

    b.    offer as a raffle prize a gift certificate redeemable for live, edible seafood the value of which is within the limits set by the commission for raffle prizes;

    c.    offer a discount to any person purchasing two or more tickets for a draw raffle; and

    d.    use a big six wheel,a big eight wheel or other wheel to determine the winner of a non-draw raffle.

C.5:8-60.4 Pamphlet describing rights, duties, responsibilities of conducting raffles.

    5.    The Legalized Games of Chance Control Commission shall prepare, publish and make available to any qualified organization, upon request, a pamphlet which describes in plain and simple language the rights, duties and responsibilities of organizations conducting raffles and the exact manner in which games of chance are to be conducted.

C.5:8-60.5 Verbal or written warning prior to administrative action, charges.

    6.    Prior to initiating administrative action or bringing charges against an organization qualified to conduct raffles for a violation which relates to the conduct of games or the awarding of prizes, the Legalized Games of Chance Control Commission shall first issue a verbal or written warning and offer the organization the opportunity to cease the conduct which constitutes the violation.

    7.    This act shall take effect immediately.

    Approved January 19, 1998.