What is the legal difference between a lottery and a raffle?

March 26, 2010 - 1:00 pm 4 Comments

There are lots of free-to-enter online "lotteries" supported by ads. Are these legally considered lotteries? I thought it was only legal to start one if you were a government or charity. If it isn’t legally a lottery, can the name of the website still include words like "lotto," "lottery," or other similar terms?

lotteries may only be operated by the state, and raffles are operated by an organization, and regulated by the state.

there are also structure differences, if me and you play the same numbers in a lotto, we both win/split a prize. In a raffle, there can only be 1 winner (per prize).

4 Responses to “What is the legal difference between a lottery and a raffle?”

  1. Daze Says:

    Lottery’s have to have some sort of govermnetal connection/sponsorship/tax-movement.

    Private industry uses raffles.
    References :

  2. Clogged-Up Says:

    Raffles are something that are usually held by a non-profit group, like a church. A lottery is something a state or country would run.
    References :

  3. Brad K Says:

    lotteries may only be operated by the state, and raffles are operated by an organization, and regulated by the state.

    there are also structure differences, if me and you play the same numbers in a lotto, we both win/split a prize. In a raffle, there can only be 1 winner (per prize).
    References :

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