Authorization for “Giveaways”
Authorization from Coljuegos to carry out games of chance for advertising purposes or for the promotion of goods or services in which prizes are offered to the public without requesting payment to participate.
Nowadays it is very common to find in social networks the promotion of goods or services by individuals or companies through games of chance such as raffles, sweepstakes, contests and the so-called "giveaways", in which prizes are offered to participants, in exchange for interactions, such as comments, publications, or following one or more user accounts, without the need to pay a monetary consideration to participate.
If you or your company carries out this type of promotional activities, it is necessary that you are aware of the requirements established in Resolution No. 20172300023404 of September 23, 2017 issued by “Coljuegos”, as well as in the other applicable regulations on the matter.
As a first step, prior authorization must be requested to “Coljuegos” in writing or electronically by filling out the form provided by this entity, accompanying it with the receipt of payment for exploitation rights and administration expenses and providing the other documents required by the entity in the aforementioned Resolution, among which are a single performance bond for the total value of the prize plan offered, and the terms and conditions of the promotional game that will be carried out.
Once the request has been filed, the competent entity will have a maximum term of fifteen days to issue the corresponding administrative act of authorization. It is important to highlight that the promotional game may only be initiated and advertised once the administrative act is final, which will be valid for a maximum period of one year.
The promotional games generate, in favor of the administrative entity of the monopoly of games of chance, exploitation rights equivalent to fourteen percent (14%) of the total value of the plan of prizes, and administration expenses corresponding to 1% of the value of the exploitation rights, which must be estimated according to the commercial value of the plan of prizes, including VAT.
Games of chance of a traditional, family and school nature, those carried out by authorized operators, raffles for the financing of fire departments and promotional games of departmental charities and capitalization societies are excluded from the application of these provisions.
Please note that the sanctions for evasion of exploitation rights amount up to 100 SMLMV and the inability to operate games of chance for a term of 5 years.
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