Laws governing small lotteries

Laws in different states and countries may affect the way you should organize your event or fundraiser.  Generally the laws governing race nights and bingo are closely related. Here we present a brief overview of the laws in different regions. We can accept no liability for errors.

The UK

Race Nights and Bingo as one-off fundraising events, are classified as an 'exempt' lottery in the UK which means they can be run without a licence under most conditions. Government guidelines for bingo  (pdf) and race nights  (pdf) for pubs, charities and fundraisers etc are provided by the UK's Department of Culture Media and Sport.  

The USA

Regulations in the USA vary from State to State. Most States make allowances for 'Charitable Gaming'. The law in Illinois for example specifically mentions race nights in the charitable games act. Many other States such as Kentucky make special provisions for fundraising (charitable fundraising). Some States have more restrictive laws.

Canada

In Canada the regulations vary from State to State. Many States make special allowance for charitable fundraising events e.g. charitable gaming in Ontario.

Australia

In Australia regulations very from State to State.  Most States make special allowance for charitable fundraising events. Thus in Western Australia permits to raise funds from gaming related activities are provided under the Gaming and Wagering Commission Act 1987 (see WA Dept Racing Gaming and Liquor).

In NSW a representative of the office of charities (NSW Office of Liquor, Gaming and Racing) whom we contacted, personally stated that under the "Unlawful Gambling Act",  betting is unlawful unless conducted by the TAB or a licensed bookmaker, but confirmed that "a race night is legal if it is run with fun money, and people simply make a 'donation' to attend the event and participate"  i.e. it is legal if it is run after our donation-based formula (see left).

New Zealand

In New Zealand The Gambling Act 2003 applies to race nights, and provided the prizes are less than NZ $5,000, a community based organisation does not require a gaming licence (see gambling law New Zealand )

The European Community  (except UK)

In regions of the EC outside of the UK, the laws vary.  In the EC only Germany and the United Kingdom have relatively advanced community-fundraising culture, but even these lag behind those of USA and Canada.