{"data":{"id":"us-tx/tex.-business-commerce-code-621.003","jurisdiction":"us-tx","citation":"Tex. Business \u0026 Commerce Code § 621.003","heading":"DEFINITIONS.","body":"(a) In this chapter:\n(1) \"Contest\" means a promotional device in which:\n(A) a person is offered, as an inducement to attend a sales presentation, a chance to win or receive a prize by complying with specified entry requirements;\n(B) the winner or recipient of a prize is determined by random selection; and\n(C) all offered prizes are awarded.\n(2) \"Contest period\" means the duration of a contest from the beginning date to the ending date.\n(3) \"Drawing\" means a contest in which the recipient of a prize is determined from all of the entries received.\n(4) \"Entry form\" means a card, letter, entry blank, token, or similar device that identifies a contestant by:\n(A) name;\n(B) number, letter, or symbol; or\n(C) both name and number, letter, or symbol.\n(5) \"Gift\" means an item of value that is offered, transferred, or given to a person as an inducement to attend a sales presentation but that is not offered, transferred, or awarded through a contest. The term does not include a manufacturer's rebate or discount available to the public.\n(6) \"Major prize\" means a prize that has an actual unit cost to the offeror of at least $250.\n(7) \"Matched contest\" means a contest in which:\n(A) the winning numbers are preselected, printed on an entry form, and distributed to the public; and\n(B) the numbers printed on the entry forms are subsequently matched with the list of winning numbers at a sales location to determine prize eligibility.\n(8) \"Minor prize\" means a prize that:\n(A) has an actual unit cost to the offeror of less than $250; and\n(B) is transferred to a person who:\n(i) attends a sales presentation; and\n(ii) is not the winner of a major prize.\n(9) \"Odds of winning\" means a ratio in which:\n(A) the numerator equals the actual number of units of an identified prize to be given away during a contest period; and\n(B) the denominator equals the number of entry forms distributed or reasonably anticipated to be distributed during the contest period.\n(10) \"Offeror\" means a person who solicits another person to attend a sales presentation.\n(11) \"Person\" includes an individual, a corporation, a firm, and an association.\n(12) \"Prize\" means an item of value that is offered, awarded, or given to a person through a contest. The term does not include a manufacturer's rebate or discount available to the public.\n(13) \"Sales presentation\" means a transaction or occurrence in which a consumer is solicited to execute a contract that obligates the consumer to purchase goods or services as defined by Subchapter E, Chapter 17, including:\n(A) a timeshare interest as defined by Section 221.002, Property Code; and\n(B) a membership interest as defined by Section 222.003, Property Code.\n(14) \"Winning number\" includes a letter or other identifying symbol.\n(b) For purposes of Subsection (a)(1)(B), a determination made by random selection does not include the method used by an offeror to identify a person who will be notified of an offer to win a prize.\nAdded by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.","path":["BUSINESS AND COMMERCE CODE","TITLE 13. CONTESTS AND OTHER PROMOTIONS","CHAPTER 621. CONTESTS AND GIFT GIVEAWAYS","SUBCHAPTER A. GENERAL PROVISIONS"],"source_url":"https://statutes.capitol.texas.gov/Docs/BC/htm/BC.621.htm#621.003","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:56Z","sha256":"2b6d88cb38b5aeafbc31c8a180e30c97d66bcebcaedbe6302251adcfcc70350f","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-commerce-code-621.002","next":"us-tx/tex.-business-commerce-code-621.004"},"notice":"GroundRules: Original legal text. Not legal advice."}