What are Competition Terms and Conditions?
Competition Terms and Conditions (T&Cs) are an important legal requirement for any competition or trade promotion that you run. Competitions are a great way to increase brand awareness and promote your business, but you need to make sure you tick all of the legal boxes before you launch.
Competition Terms and Conditions set out the rules for your competition, including who can enter, how the winners will be chosen, what the prizes are and when the competition closes.
What You Get
Types of Competitions
In Australia, there are two types of promotional competitions:
1. Game of Skill
The winner is selected based on the judging of an entry. An example of a game of skill is “Describe in 50 words why you should be the winner”.
2. Game of Chance
The winner is selected at random and all entries are equal. An example of a game of chance is a lottery.
Do I need a permit to run a competition?
Each state and territory in Australia has different laws in relation to trade promotions. You should always check with your state/territory regulator for the specific rules which apply.
For example, QLD law requires businesses running certain types of trade promotions to apply for and obtain a Licence.
Make sure you allow enough time to complete your T&Cs and arrange a permit/licence before you launch your competition.
Frequently Asked Questions
It depends on the state or territory you are in.
Some states charge an application fee for trade promotions. For example, in NSW the application fee starts at $80 and it increases depending on the value of the prize. In other jurisdictions, you may not have to pay any fees. Make sure you check the relevant government website before you get started.
Our lawyers can provide legal advice and confirm the exact requirements for any competition you wish to run in Australia.
Every situation is different, which is why you need expert advice from a commercial lawyer. We’re small business specialists, so you know you’re in safe hands with us.
We’ll consider your unique situation and let you know if we think this is right for your business.
Our head office is at Inspire Cowork – a coworking space in Sydney – but we also support flexible work for our team. Our lawyers can work from anywhere.
We use technology to come to you, wherever you’re located around Australia. Many of our clients work from home or at coworking spaces, just like us.
We communicate with our clients via phone, email and Zoom – whatever works best for you. There’s no need to meet face to face, but if you’re ever in the area you’re welcome to drop in!