What are the rules around contests on websites? Is this 100 % or is it some sort of legal issues to think about? (I'm thinking about contests that offer travels, money, cars etc..as a prize).
Rules will vary by state and country. If participants have to buy something (ie buy a ticket) then the laws are more strict. Here is an article that mat help: http://www.techfirm.com/InternetContests.htm
I've read the article and the rules vary alot, but I was thinking - If I have a membership site (network community or other) and take f.ex $1/month, will that say that I can't have any contests on the website then, because of the membership fee? In the article it said that you can take payment from people to enter a contest, but if I take payment for the membership and have a contest or two a month - How will that affect the legal issues? Anyone have any thoughts around this?
One key to legally protecting yourself is to state "Except where prohibited by law" in the contest rules. Also, allow people to enter the contest for free by simply mailing in a their name and address on a blank card or email. Notice how most contests in the US will state "No purchase necessary" in the rules? They do that to protect themselves legally from accusations of impropriety or unfairness.