Definition of a free draw
The best example of a free draw is a circular or mailshot offering the chance to win a prize without having to send any money or make a purchase. Although a complex area, the courts have ruled that to qualify as a lawful free draw, a promotion must be totally free and open to any member of the public.
Free draw registration requirements
Free draws are not directly regulated by legislation. There are, therefore, no registration requirements.
Schemes where you have to telephone to claim a prize
In a free draw, there can be no requirement to make a payment in order to participate in the draw. The use of a premium rate telephone line in such a promotion may be deemed to be a payment for a chance in a draw.
The Independent Committee for the Supervision of Telephone Information Services (ICSTIS) supervises the conduct of premium rate telephone services. ICSTIS has a published Code of Practice governing the conduct of telephone competitions and their legality. For further information, please visit the ICSTIS website. Please note that ICSTIS does not have any powers of prosecution.
Last updated 22 April 2004
