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Consumer advocate says Reese’s $25,000 promotion violates state sweepstake laws

A contest is a sweepstakes when no purchase is required. If a purchase is required, it becomes a lottery and other rules apply to the contest.

A new sweepstakes from Reese’s may be in violation of state and federal laws, according to a consumer advocate.

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According to The Associated Press, the promotion on two-cup packages of the chocolate and peanut butter treat reads, “You could win $25,000,″ and, in smaller print, “See details inside.”

The problem with that, according to Edgar Dworsky, a consumer advocate and former assistant attorney general in Massachusetts who runs the Consumer World website, is that you have to purchase the candy to see what is inside.

“You never have to pay to play. All these packages should be recalled,” Dworsky said.

Dworsky told the AP that Reese’s ran a similar promotion earlier this year that ended in April using the same type of packaging. Some of those packages are still for sale, he said, even though the sweepstakes code has expired.

A contest is a sweepstakes when no purchase is required to participate. If a purchase is required, it becomes a lottery and other rules apply.

Sweepstakes are primarily governed by state laws, according to the AP, but three federal agencies — the Federal Trade Commission, the Federal Communications Commission and the U.S. Postal Service — also enforce laws governing sweepstakes depending on what kind of sweepstakes they are.

Hershey Co., the company that owns the Reese’s brand, said Monday that its website contains full details of the promotion, as do in-store displays. It also said that some of the packages have QR codes that link consumers to more information.

“As with all of our promotions, we place great care and diligence to ensure they are compliant with all regulations,” Hershey said in a statement.

An AP reporter who purchased a package of Reese’s that advertised the $25,000 prize said the package did not include a QR code and that there was no in-store display explaining the sweepstake.