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Postal Inspection Service

Lottery Exceptions


Title 18, United States Code

Section 1305. Fishing contests

The provisions of this chapter [18 U.S.C. 1301 et seq.] shall not apply with respect to any fishing contest not conducted for profit wherein prizes are awarded for the specie, size, weight, or quality of fish caught by contestants in any bona fide fishing or recreational event.

Section 1307. Exceptions relating to certain advertisements & other information & to state-conducted lotteries

(a) The provisions of sections 1301, 1302, 1303, and 1304 shall not apply to --

(1) an advertisement, list of prizes, or other information concerning a lottery conducted by a state acting under the authority of state law that is --
(A) contained in a publication published in that state or in a state that conducts such a lottery; or
(B) broadcast by a radio or television station licensed to a location in that state or a state that conducts such a lottery; or
(2) an advertisement, list of prizes, or other information concerning a lottery, gift enterprise, or similar scheme, other than one described in paragraph (1) that is authorized or not otherwise prohibited by the state in which it is conducted and which is --
(A) conducted by a not-for-profit organization or governmental organization; or
(B) conducted as a promotional activity by a commercial organization and is clearly occasional and ancillary to the primary business of that organization.

(b) The provisions of sections 1301, 1302, and 1303 shall not apply to the transportation or mailing --

(1) to addresses within a state of equipment, tickets, or material concerning a lottery that is conducted by that state acting under the authority of state law; or
(2) to an addressee within a foreign country of equipment, tickets, or material designed to be used within that foreign country in a lottery that is authorized by the law of that foreign country.

(c) For the purposes of this section (1) "state" means a state of the United States, the District of Columbia, the commonwealth of Puerto Rico, or any territory or possession of the United States; and (2) "foreign country" means any empire, country, dominion, colony, or protectorate, or any subdivision thereof (other than the United States, its territories or possessions).

(d) For the purposes of subsection (b) of this section, "lottery" means the pooling of proceeds derived from the sale of tickets or chances and allotting those proceeds or parts thereof by chance to one or more chance takers or ticket purchasers. "Lottery" does not include the placing or accepting of bets or wagers on sporting events or contests. For purposes of this section, the term a "not-for-profit organization" means any organization that would qualify as tax exempt under section 501 of the Internal Revenue Code of 1986. [26 U.S.C. 501]

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