SPGA opposes Louisiana bill which criminalizes sweepstakes

The Social and Promotional Games Association (SPGA) has voiced its opposition to a new bill from the Louisiana Senate which has criminalized sweepstakes, further threatening travel loyalty and rewards programs.  

Introduced by State Senator Adam Brass, bill SB181 has – in the eyes of the SPGA – “recklessly misclassified legitimate sweepstakes as illegal gambling.” Further, the association has highlighted that the bill also has the potential to hinder technological investment in Louisiana as it compromises pre-existing legal frameworks that promote economic expansion via innovation. 

The SPGA argues that bill SB181 which has, indeed, progressed through the senate without stakeholder consultation, contradicts research which shows that social sweepstakes do not compete with real-money casinos in the US market. The association goes on to argue that players often interact with social sweepstakes without engaging in any spending, that the games are free-to-play – and therefore exist outside of the gambling category.  

As part of its protest to these latest legal changes, the SPGA also warns that the broad categorizations of this new bill could lead to the criminalization of loyalty rewards programs, which are run nationwide via sweepstakes-style promotions by numerous hotel-hospitality brands. Now, following this latest legislative proposal, the SPGA has called to Louisiana legislators to re-consider the progression of bill SB181.  

Good to know: In March, the SPGA also took up issue with a similar anti-sweepstakes bill in the state of New Jersey  

Currently, sweepstakes remain a grey area across the US market – with no on state yet having regulated the practice. Some states have, however, begun to consider outlawing the practice, with the SPGA launching an additional protest against anti-sweepstakes Mississippi Senate bill SB 2510 in February. This latest update also comes closely following the announcement that the SPGA would be adjusting its strategy in the state of New York.  

Will Underwood

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