Experts analyze the legal issues behind the lucky draw car giveaway trap and luxury car activity
2025-02-21
For some time now, some well-known individuals or businesses have launched activities such as lucky draws to give away cars, ring sets for luxury cars like Maserati, which have been trending. If a celebrity gives away the 5-year usage rights of 20 cars to their fans through a live lottery; A certain entrepreneur announced that completing a series of tasks can win the right to use the Xiaopeng MONA M03 vehicle for 4 years and 3 months through a lottery; To celebrate the box office success of our partner's film "Ne Zha 2" exceeding 10 billion yuan, Great Wall Motors' tank SUV lottery offers 20 tanks of 400 gasoline and diesel models with a 3-year usage right, and all vehicle license plates are limited to E A. Experts interviewed by the Legal Daily pointed out that such lottery activities are classified as lottery style prize sales and are subject to the Anti Unfair Competition Law and relevant regulations. The maximum prize amount cannot exceed 50000 yuan, but the valuation problem of car usage rights is highlighted; Some initiators did not clarify the "ownership" or "right to use" of prizes during promotion, which is suspected of unfair competition, false advertising, and misleading consumers. It is recommended to take multiple measures in the design of rules and procedures, lottery, third-party supervision, prize redemption and use, etc., to establish a standardized defense line for the event and ensure that the lottery activity is fair and legal. The valuation of usage rights is difficult to define. Recently, in Zhecheng County, Shangqiu, Henan Province, a ring booth presented a luxury car Maserati as a prize, attracting attention. Mr. Ge, the vendor, stated in an interview that Maserati was a used car purchased specifically for the purpose of getting a ring, and after fitting it in, he obtained a one-year license to use the vehicle. Mr. Wang from Binzhou, Shandong drove 600 kilometers and spent 2000 yuan for nearly 3 hours to successfully acquire the vehicle. The property manager of the square where the stall is located introduced that there are many ring stalls here, and it is not uncommon to see cars as prizes. There are also other stalls, "it's just that he (Mr. Ge) has a good car arrangement". It is worth noting that in the multiple high-value lottery activities mentioned above, the prizes are all the right to use the car after landing. This has led many netizens to exclaim, 'deceived', 'thought it was a car delivery, but ended up having to return it after a year, it's really troublesome'. The interviewed experts pointed out that this is because China's laws have imposed restrictive regulations on prizes sold in lottery format. Rao Wei, Deputy Director of the Consumer Rights Professional Committee of the Beijing Lawyers Association and Senior Partner of Beijing Tianchi Juntai Law Firm, introduced that the current live car delivery activities on the Internet are actually initiated by the activity initiators to obtain traffic, using cars or car usage rights as lottery prizes for the live event. Fans participate in the live interaction through following, liking and other means to obtain the opportunity to participate in the lottery. Therefore, in terms of legal qualification, this type of activity should belong to lottery style prize sales. According to the Anti Unfair Competition Law and the Interim Provisions on Regulating Promotional Behavior, the maximum prize amount for lottery style prize sales shall not exceed 50000 yuan. If the value of the prize exceeds this limit, it may be suspected of unfair competition, and the supervisory and inspection department shall order the cessation of illegal activities and impose a fine of not less than 50000 yuan but not more than 500000 yuan. In Rao Wei's view, if the initiator of the event claims to "give away cars" in advance, but only informs them after announcing the winning list that they are giving away "usage rights", it is suspected of being illegal. When the initiator of the activity engages in prize sales, the types of prizes set, redemption conditions, bonus amounts or prizes, and other prize sales information must be clearly defined. The initiator of the activity did not clearly state whether the prize was the ownership or the right to use during the promotion, resulting in participants being unable to accurately understand the true nature of the prize when participating in the activity. This behavior is suspected of unfair competition. At the same time, there is suspicion of false advertising and misleading consumers, which may violate relevant provisions of both the Consumer Rights Protection Law and the Advertising Law. In practice, there are still situations where the valuation of car usage rights is difficult to define. According to industry insiders, taking the Maserati ring incident as an example, the involved vehicle model is the Maserati CEO, with a landing price of around 1.7 million yuan. The ring owner purchased a used car, and the price of the used car fluctuated greatly, ranging from 200000 yuan to 1.4 million yuan depending on its condition. From the video, it appears that the vehicle has a relatively neat appearance and should be able to reach the normal second-hand Maserati CEO rental price of at least 1000 yuan per day. Under the one-year usage right, if the user relies on car rental, the profit will significantly exceed the so-called 50000 yuan lottery limit. However, luxury cars require annual maintenance and high fuel costs, making it difficult to clearly define the specific income and expenses The practitioner said. According to Liu Guozhao, a lawyer from Beijing Yinghe (Shenyang) Law Firm, using the right of use as a prize, the value of the prize should be determined by the rental price of similar goods or services in the market. If the prize of the lottery is the right to use a car, the daily rent, monthly rent, or annual rent of cars of the same brand, model, and configuration in the local rental market can be investigated, and the value can be calculated based on the set period of the right to use. According to the Provisional Regulations on Regulating Promotional Behavior, if the market price of the right to use goods, services, or other forms of prizes exceeds 50000 yuan, the highest prize amount will be recognized as exceeding 50000 yuan. In practice, law enforcement agencies often determine whether the value of the right of use is compliant based on the market price of the prize itself. If the market price of the prize exceeds 50000 yuan, it is considered to be suspected of unfair competition Liu Guozhao said. The rules of the activity need to be clarified. During the interview with reporters, it was found that netizens not only pay attention to the value of the prizes in this kind of high prize lottery and game setting activity, but also have many controversial points, such as "the participation conditions of the lottery activity change again and again" "no age limit on participation, even 10-year-old children who win the lottery will receive a car" "free use rights, who will be responsible for the loss if there is a collision during the trial period", etc. The interviewed experts believe that these controversies all involve the setting of lottery and prize conditions. According to Article 13, Paragraph 1 of the Provisional Regulations on Standardizing Promotional Behavior, before conducting prize sales, operators shall clearly announce the types of prizes, participation conditions, participation methods, draw times, draw methods, prize amounts or prices, prize names, prize types, prize quantities or winning probabilities, prize redemption times, redemption conditions, redemption methods, prize delivery methods, abandonment conditions, organizers and their contact information, and shall not change, attach conditions, or affect prize redemption, except for those that are beneficial to consumers. If the initiator of the activity does not specify specific redemption time and location restrictions before the lottery, but suddenly adds them after the lottery, it constitutes an unauthorized change of rules and additional conditions, affecting the redemption rights of the winners and violating the above regulations. The market supervision department has the right to impose penalties on them Liu Guozhao said. In Rao Wei's view, high prize lotteries are often based on large consumption or operational expenses. For such large-scale consumption or operational expenses, the consent or ratification of the legal representative is required to be valid; For the high prize lottery derived from this, as it is a purely beneficial behavior, even if the legal representative of the minor does not agree or recognize it, its legal effect should not be denied. However, due to the immaturity of minors' intelligence, thinking patterns, values, etc., operators should not provide products or services that induce minors to become addicted. Therefore, if it is only a single round of high prize selection, there is no need to impose restrictions on participants' age and other factors. But if it requires a large amount of consumption or operating expenses to qualify for the lottery, the identity of the participants, especially their age, needs to be restricted for such consumption or operating expenses. In addition, restrictions should be placed on the lottery that corresponds to high-frequency consumption to avoid inducing minors to become addicted to it Rao Wei said. Regarding the issue of prize damage during use, Rao Wei believes that if a written contract is signed between the event organizer and the winner regarding the specific rights and obligations of the prize usage rights, and clearly stipulates the responsibility for the use of the prize, then the contract agreement should prevail; If the contract does not clearly define or stipulate the division of responsibilities between both parties, any value loss of the prize caused by normal use (such as normal driving wear and tear of the vehicle) during use is considered reasonable loss and should usually be borne by the initiator of the activity. However, if the value of the prize is damaged due to intentional or gross negligence of the winner (such as a serious traffic accident causing damage to the vehicle while driving), the winner should bear the corresponding compensation liability. In addition, during the use period, if the winner is fined or deducted points due to traffic violations, the relevant responsibilities should be borne by the winner themselves and have nothing to do with the event organizer. Introducing supervision to ensure fair and high prizes will inevitably attract high social attention. How can the fairness of the activity be ensured in this situation? Liu Guozhao suggested that the rules and procedures should be clearly defined first. Before the event, various channels (such as the event page, official announcements, etc.) should be used to announce the lottery rules, participation conditions, lottery methods, time, and all other details in detail, ensuring that the rules are fair, reasonable, and unambiguous. Secondly, reliable technical means must be adopted, and professional and certified lottery software or systems can be used in the lottery process to ensure random selection and no human manipulation. Encrypt and protect activity data to prevent data tampering. Once again, third-party supervision will be introduced, inviting independent third parties such as notary agencies, lawyers, or industry associations to participate and supervise the entire event to ensure compliance with laws, regulations, and established rules. Finally, strict background checks should be conducted on the personnel involved in the event, with no vested interests in the participants. Internal operational norms and discipline should be established to prevent fraud. He also mentioned that the following measures can be taken to ensure prize redemption and usage: developing a detailed prize redemption process that includes identity verification, submitting proof materials, etc. After the winning list is publicly announced without objection, the winners should be notified in a timely manner, and multiple convenient prize redemption methods should be provided. If the prize has limitations such as expiration date and scope of use, the winner should be clearly informed in advance, and detailed instructions and operation manuals should be provided. Establish a dedicated channel to promptly handle questions and complaints from winners, resolve issues during prize redemption and usage in a timely manner, record and follow up on the handling situation. Follow up with the winners to understand the usage and satisfaction of the prizes, identify and solve problems in a timely manner, and evaluate and improve the effectiveness of the event. (New Society)
Edit:Rina Responsible editor:Lily
Source:Legal Daily
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