Why Are So Many Competitions Void in Quebec?
Quebec's Sweepstakes Law's Effect on Whether Residents Can Enter to Win
Why Are So Many Sweepstakes Void in Quebec?
If you love to enter contests but you live in Quebec, you're going to have a hard time. Many Canadian sweepstakes say in their rules that they are void in Quebec, which means that residents of the province are not allowed to enter.
Almost a third of the population of Canada lives in Quebec, so companies have a powerful motivation for wanting to include them in their marketing campaigns. Why don't sweepstakes sponsors want residents of Quebec to enter?
Canadian Sweepstakes Law Is Behind Many Companies' Decision to Exclude Quebec
Companies don't exclude residents of Quebec from sweepstakes because they don't want to advertise in Quebec, or because they have anything against the residents of that province. The reason why so many sweepstakes are void in Quebec is that the sponsors must follow a stringent set of laws set out by Quebec's Regie des alcools, des courses et des jeux (RACJ), which governs alcohol, lotteries, contests, gambling, and more.
Quebec's sweepstakes laws are designed to protect its residents from scammers and to ensure that prizes are awarded as promised. However, those consumer protections cost sweepstakes sponsors money and resources, and the consequences for running afoul of them, whether on purpose or by mistake, are severe.
For example, in order for sweepstakes with prizes worth more than a certain value to be open to residents of Quebec, the companies sponsoring the sweepstakes must take some or all of the following steps:
- Register the sweepstakes rules and all advertisements used to promote the contest with the Quebec government at least 30 days ahead of the sweepstakes' launch.
- Publish the full text of the sweepstakes' rules at least 10 days before the giveaway begins.
- Pay a fee of up to 10% of the sweepstakes' value, depending on who is allowed to enter.
- Agree to allow the government of Quebec to mediate any lawsuits arising from the contest.
- Follow strict guidelines about the contents of the sweepstakes rules.
- Allow the government of Quebec the right to approve any changes to the giveaway that need to be made once it has started, and to approve canceling the giveaway if it becomes necessary to do so.
- File a written report after the contest has concluded, attesting that the prizes have been delivered or attempted to be delivered.
- Agree to let the RACJ mediate any disagreements with the public.
- File security in the amount of the prize value, to ensure that the prizes are actually awarded.
- Follow a number of other rules and guidelines listed under Quebec's Sweepstakes Laws.
These requirements are more difficult to follow than those of other Canadian provinces as well as most areas of the United States. Imagine the cost for a company based in Florida to litigate disputes about their giveaway in Quebec, for example. A small company might not be able to justify those costs versus the additional exposure in Quebec.
In addition, not following the law to the letter could result in hefty fines or even criminal charges. Especially for smaller companies with a limited budget and a small (or non-existent) legal team, the advantages of allowing residents of Quebec to enter are outweighed by the potential downfalls. Rather than risking fines or legal action if these sweepstakes laws are not followed to the letter, many sponsors take the easier route of making their contests and sweepstakes void in Quebec.
If You're a Resident of Quebec...
If you live in Quebec, you have the peace of mind of knowing that the contests that are open to you are carefully regulated and assured of being treated fairly, especially when big prizes are up for grabs. Most of these provisions only apply to giveaways where the total prize value exceeds $2,000, so companies offering smaller giveaways may be more likely to allow residents of Quebec to enter.
However, it's particularly important for residents of Quebec to read sweepstakes' rules to ensure that you're eligible to enter. Otherwise, you could be wasting valuable time on giveaways that you can't win.
If you are a resident of Quebec and don't like these restrictions, the RACJ does have a website where you can register comments and inquiries.