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Scratch-It Rules

DIVISION 050 - SCRATCH-IT TICKET GAME OPERATING RULES

177-050-0000 Scratch-it Games - Authorized - Director's Authority
  1. The Commission hereby authorizes scratch-it games which meet the criteria set forth in these rules.
  2. The Director is hereby authorized to select, operate, and contract relating to and for the operation of scratch-it games which meet the criteria set forth in these rules.

    Stat. Auth.: ORS Ch. 461 & Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.210
    Hist.: SLC 4-1985(Temp), f. & ef. 1-29-85; SLC 8-1985, f. & ef. 6-21-85; LC 6-1993, f. & cert. ef. 7-2-93
177-050-0002 Definitions
  1. "Pack" means a book of shrink-wrapped fanfolded scratch-it game tickets which are attached to each other by perforations, which perforations a retailer tears when selling a ticket.
  2. "Pack-Ticket Number" means the uncovered number printed on the front of the ticket; the number consists of a game number, a unique pack identification number, and a ticket number.
  3. "Play Symbols"mean the figures printed in gray-black ink which appear under each of the ruboff spots on the front of the ticket.
  4. "Play Symbol Caption" means the small printed material appearing below each play symbol which repeats or explains the play symbol; only one of these play symbol captions appears under each play symbol and is printed in gray-black ink.
  5. "Retailer Validation Code" means the three small letters found under the removable rub-off latex that covers the play symbols on the front of the ticket, which the ticket retailer may use to verify winners of $9 and less; the letters appear in varying locations beneath the removable rub-off latex and among the play symbols.
  6. "Scratch-It" means a game in which a ticket is purchased and upon removal of a latex covering on the front of the ticket, the ticket bearer determines his or her winnings, if any.
  7. "Ticket Validation Number" means the unique number covered by latex on the front of the ticket.

    Stat. Auth.: ORS Ch. 461 & Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.010
    Hist.: LC 7-1987, f. & ef. 4-29-87; LC 13-1987(Temp), f. & ef. 7-27-87; LC 15-1987, f. 8-24-87, ef. 9-1-87; LC 4-1988, f. & cert. ef. 1-26-88; LC 6-1993, f. & cert. ef. 7-2-93
177-050-0010 Sale of Tickets
  1. No person other than a retailer under a contract for the sale of tickets with the Lottery may sell lottery tickets except that nothing in this section shall be construed to prevent a person who may lawfully purchase tickets from making a gift of lottery tickets to another.
  2. Unless authorized by the Lottery, tickets may not be sold at a location other than the address listed on the Retailer's contract with the Lottery.
  3. Nothing in this section shall be construed to prohibit the Commission from designating certain of its agents and employees to sell lottery tickets directly to the public.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.300
    Hist.: SLC 8-1985, f. & ef. 6-21-85; LC 23-1988, f. & cert. ef. 9-30-88; LC 2-1991, f. & cert. ef. 7-24-91; LC 8-1993, f. 9-22-93, cert. ef. 10-18-93; LC 2-1995, f. 4-27-95, cert. ef. 7-1-95
177-050-0020 Scratch-It Ticket Price
The price of a scratch-it ticket shall be at least $1, except to the extent of any discounts authorized by the Commission. No person may sell a ticket at a price other than that established in accordance with these rules.

Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
Stats. Implemented: ORS 461.240
Hist.: SLC 4-1985(Temp), f. & ef. 1-29-85; SLC 8-1985, f. & ef. 6-21-85; LC 7-1987, f. & ef. 4-29-87; LC 4-1990, f. & cert. ef. 4-3-90; LC 6-1993, f. & cert. ef. 7-2-93

177-050-0021 Prize Structures
  1. Prize structures for each Scratch-it ticket game shall be approved by the Director.
  2. The Director shall provide to all lottery game retailers a detailed tabulation of the estimated number of prizes of each particular prize denomination that are expected to be awarded in each lottery game and the close approximation of the odds of winning such prizes.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.220
    Hist.: LC 29-1988, f. & cert. ef. 11-29-88; LC 4-1990, f. & cert. ef. 4-3-90; LC 6-1993, f. & cert. ef. 7-2-93
177-050-0023 Official Start of Game
The Director shall publicly announce the starting date of a new game by use of a press release or any other appropriate means. The Director shall also issue game information which includes a description of the game, odds of winning a prize, and the number and value of prizes.

Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
Stats. Implemented: ORS 461.220
Hist.: LC 7-1987, f. & ef. 4-29-87; LC 4-1990, f. & cert. ef. 4-3-90

177-050-0024 Determination of Winners
  1. Winners of a scratch-it game are determined by the matching or specified alignment of the play symbols on the tickets. The play symbols are revealed by scratching or rubbing off the latex covered spots on the ticket. The ticket bearer must notify the Lottery or a retailer of the win and submit the winning ticket as specified in these rules. The winning ticket must be validated by the Lottery or a retailer through use of the validation number or by any other means as specified by the Director.
  2. Only the highest prize amount will be paid on a given ticket, except for games which are designed to offer multiple prizes.
  3. No portion of the play symbol captions, retailer validation codes, display printing nor any extraneous matter whatever shall be usable or playable as a part of the game.
  4. The ticket validation number or any portion thereof is not a play spot and is not usable or playable as such.
  5. In all events, the determination of prize winners shall be subject to the general ticket validation requirements set forth in OAR 177-050-0027 of these rules set out below and the requirements set out on the back of each game ticket.
  6. The Director shall determine the method used to determine the prize-winners for games which offer prizes other than those which are determined by the procedures outlined above.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.230
    Hist.: LC 7-1987, f. & ef. 4-29-87; LC 4-1990, f. & cert. ef. 4-3-90; LC 8-1990(Temp), f. & cert. ef. 6-26-90; LC 11-1990, f. & cert. ef. 8-21-90; LC 6-1993, f. & cert. ef. 7-1-93
177-050-0025 Payment of Prizes
The procedures for claiming scratch-it ticket prizes are as follows:
  1. Scratch-it ticket prizes of $600 and less shall be claimed by one of the following methods:

    (a) By presenting the winning ticket to any scratch-it retailer. The retailer shall validate the claim with the Lottery and, if authorized by the Lottery, make payment of the amount due the claimant. In the event the retailer cannot verify the claim, the claimant shall fill out a claim form, which the retailer shall provide, and present the completed form together with the disputed ticket to the Director. If the claim is validated by the Director, a check shall be forwarded to the claimant in payment of the amount due. In the event that the claim is not validated by the Director, the claim shall be denied and the claimant shall be promptly notified;

    (b) A retailer may pay prizes in cash or by business check, or money order, or any combination thereof. A retailer that pays a prize with a check which is dishonored may be subject to suspension or termination of the retailer's contract;

    (c) By bringing the ticket to the Salem lottery office or by completing a claim form and mailing it with the winning ticket to the Oregon State Lottery, P.O. Box 14515, Salem, OR 97309 (registered mail recommended). Claim forms may be obtained from any lottery game retailer or from the Lottery at the post office box listed above;

    (d) Upon validation by the Director, a check shall be forwarded to the claimant in payment of the amount due. In the event that the claim is not validated by the Director, the claim shall be denied and the claimant shall be promptly notified.

  2. To claim a prize of more than $600, the claimant must either bring the winning ticket to the Salem Lottery office or complete a claim form and mail the completed form together with the winning ticket to the Oregon State Lottery, P.O. Box 14515, Salem, OR 97309 (registered mail recommended). Upon validation by the Lottery, a check shall be forwarded to the claimant in payment of the amount due, less any applicable federal income tax withholding.
  3. Any ticket not passing all the validation checks is void and ineligible for any prize and shall not be paid. However, the Director may, solely at the Director's option, replace an invalid ticket with an unplayed ticket (or tickets of equivalent sales price from any other current game). In the event a defective ticket is purchased, the only responsibility or liability of the Lottery shall be the replacement of the defective ticket with another unplayed ticket (or tickets of equivalent sale price from any other current game).
  4. All prizes shall be paid within a reasonable time after they are awarded and after the claims are verified by the Director. For each prize requiring annual payments, all payments after the first payment shall be made on the anniversary date of the first payment in accordance with the type of prize awarded. The Director may, at any time, delay any payment in order to review a change of circumstances relative to the prize awarded, the payee, the claim, or any other matter that may have come to his or her attention. All delayed payments will be brought up to date immediately upon the Director's confirmation and continue to be paid on each original anniversary date thereafter.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.250
    Hist.: SLC 4-1985(Temp), f. & ef. 1-29-85; SLC 8-1985, f. & ef. 6-21-85; SLC 4-1986, f. & ef. 2-25-86; SLC 27-1986, f. & ef. 11-24-86; LC 7-1987, f. & ef. 4-29-87; LC 4-1990, f. & cert. ef. 4-3-90; LC 8-1993, f. 9-22-93, cert. ef. 10-18-93
177-050-0027 Ticket Validation Requirements
Besides meeting all of the other requirements in these rules or as may be printed on the back of each ticket, the following validation requirements shall apply with regard to scratch-it game tickets:
  1. To be a valid game ticket, all of the following requirements must be met:

    (a) Where applicable, each of the play symbols must have a play symbol caption underneath, and each must agree with its play symbol caption;

    (b) Each of the play symbols must be present in its entirety and be fully legible;

    (c) Each of the play symbol captions must be present in it entirety and be fully legible;

    (d) Each of the play symbols and its play symbol caption must be printed according to game specifications;

    (e) The game number, pack number, ticket number, barcode, barcode number, and VIRN number must be present to the extent that all information corresponds with the Lottery's computer records. The above-mentioned numbers shall correspond, using the Lottery's codes, to the play symbols on the ticket;

    (f) The ticket must not be altered, unreadable, reconstituted, or tampered with in any manner and it must meet all positive identification of the Lottery's security requirements;

    (g) The ticket must not be counterfeit in whole or in part;

    (h) The ticket must have been issued by the Lottery in an authorized manner;

    (i) The ticket must not appear on any list of omitted or stolen tickets on file at the Lottery, and must be accepted by the Instant Ticket System (ITS) as a valid winner;

    (j) The play symbols, play symbol captions, game number, pack-ticket number, and VIRN number must be right-side-up and not reversed in any manner;

    (k) The ticket must have exactly one pack-ticket number;

    (l) The VIRN number of an apparent high-tier winning ticket shall appear on the Lottery's official record of winning ticket VIRN numbers; and a ticket with that VIRN number shall not have been paid previously;

    (m) The ticket must not be blank or partially blank, misregistered, defective, or printed or produced in error;

    (n) Each of the following must correspond precisely to the artwork on file at the Lottery: play symbols on the ticket, play symbol captions, pack-ticket numbers, game numbers, retailer validation code; and ticket VIRN number;

    (o) The display printing must be regular in every respect and correspond precisely with the artwork on file at the Lottery;

    (p) The ticket is subject to all additional confidential validation tests of the Lottery including validation through the Lottery's computer system.

  2. The Director may, solely at the Director's option, replace an invalid ticket with an unplayed ticket (or tickets of equivalent sales price) from any other current Lottery game. In the event a defective ticket is purchased, the only responsibility or liability of the Lottery shall be the replacement of the defective ticket with another unplayed ticket (or ticket of equivalent sales price from any other current Lottery game).
  3. The final decision on whether a prize will be paid shall be made by the Director.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.250
    Hist.: LC 7-1987, f. & ef. 4-29-87; LC 4-1988, f. & cert. ef. 1-26-88; LC 4-1990, f. & cert. ef. 4-3-90; LC 6-1993, f. & cert. e.f 7-2-93; LC 7-1995, f. & cert. ef. 7-7-95; LC 6-1996, f. 5-30-96, cert. ef. 6-1-96; LC 1-1997, f. 1-31-97, cert. ef. 2-1-97
177-050-0037 Stolen, Destroyed, and Damaged ScratchIt Tickets
  1. Lottery game retailers shall receive credit for defective, damaged, or destroyed activated tickets or not be billed for inactivated defective, damaged, or destroyed tickets under the following conditions:

    (a) The defect is a result of a manufacturing error or is damaged in shipment; or

    (b) The damage is due to circumstances beyond the Retailer's control, such as a structure fire, flood, or other natural disaster; or as the result of a retailer, employee, or player accident, and

    (c) All such damaged or defective tickets must be returned to the Lottery. In those instances where the lottery tickets cannot be returned because they are completely destroyed or damaged beyond recognition, the retailer shall submit, on a form provided by the Lottery, a signed affidavit which describes the circumstances of how the tickets were destroyed or damaged. The Lottery's Accounting department will review inventory and sales records and estimate the value of the destroyed or damaged tickets;

    (d) Credit for destroyed tickets will be given upon approval of the Director; credit for damaged or defective tickets will be made upon receipt of such tickets by the Lottery.

  2. Retailers who are the victims of a criminal act which results in the loss of $200 or more of activated lottery tickets shall be credited for half of the uninsured loss by the Lottery provided the following conditions are satisfied:

    (a) The retailer immediately reports the crime and the game, pack, and ticket numbers of the stolen tickets to the local law enforcement agency and to the Lottery's Security Division;

    (b) The retailer submits to the Lottery's Security Division a copy of the crime report prepared by the local law enforcement agency; and

    (c) The retailer submits to the Lottery's Security Division, on an affidavit provided by the Lottery, a signed statement which shows and describes the circumstances of the criminal act. The affidavit shall include the game, pack, and ticket numbers of the stolen tickets

    (d) The retailer includes, as part of its affidavit, a statement that the retailer is self-insured or that the loss is not covered by the retailer's insurance policy. If the loss is fully covered by third-party insurance, the retailer is not eligible to submit a claim to the Lottery. If the loss is not entirely covered by third-party insurance, then the retailer may submit a claim for the balance of the loss provided the retailer provides the Lottery with the name of the third-party insurer, policy number, and any other information needed by the Lottery to process the request for credit. Credit for stolen tickets may be given upon final approval by the Director.

  3. Retailers who are the victims of a criminal act which results in the loss of $200 or more of inactivated (i.e., in confirmed status) tickets will not be billed for such tickets nor will they receive credit for them provided the retailer follows the steps specified in subparagraphs 2(a), (b) and (c) above.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.210
    Hist.: LC 2-1991, f. & cert. ef. 7-24-91; LC 6-1993, f. & cert. ef. 7-2-93; LC 4-1995, f. 4-27 -95, cert. ef. 5-1-95; LC 13-1996, f. & cert. ef. 12-27-96
177-050-0040 Payment of Prizes to Individuals Under 18 Years of Age
In the event an individual entitled to a prize for any winning ticket is under the age of 18 years, the Director may direct payment of the prize by delivery to an adult member of the minor's family or a guardian of the minor a check or draft payable to the adult member of the minor's family or the minor's guardian. The person so named as custodian shall have the same duties and powers as a person designated as a custodian in accordance with Oregon Law and for the purposes of this section the term "adult member of a minor's family" and "guardian of a minor" shall have the same meaning as in the Oregon Gifts to Minors Law, ORS Chapter 126. The Director shall be discharged of all liability upon payment of a prize to a minor pursuant to this rule.

Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
Stats. Implemented: ORS 461.600
Hist.: SLC 8-1985, f. & ef. 6-21-85; LC 6-1990(Temp), f. & cert. ef. 4-3-90; LC 3-1992, f. & cert. ef. 4-27-92

177-050-0045 Prizes Payable After Death or Disability of Owner
  1. All prizes or a portion thereof which remain unpaid at the time of the prize winner's death may be paid according to the terms of a deceased prize winner's signed beneficiary designation form filed with the commission or, if no such form has been filed, to the estate of the deceased prize winner, once the Director is satisfied that such payment is lawful and proper. The Director may rely wholly on the presentment of certified copies of a court's appointment of a Personal Representative or any other evidence of a person entitled to the payment of any prize winnings when due.
  2. The payment to the estate of the deceased owner of any prize winnings by the Lottery shall absolve the Lottery and its representatives of any further liability for payment of said prize winnings. The Lottery need not look to the payment of the prize winning beyond the payee thereof. The Director reserves the right to petition any court of competent jurisdiction to request a determination for the payments of any prize winnings which are or may become due the estate of a deceased owner or an owner under a disability because of, but not limited to, under age, mental deficiency, physical or mental incapacity. If the legatee(s) or heir(s) of a deceased owner entitled to prize winnings obtains an order from a court of competent jurisdiction directing payments due and to become due from the Lottery to be paid directly to said legatee(s) or heir(s) or otherwise directs the Lottery to make payments to another in the event of an owner's disability or otherwise, the Lottery shall pay the prize winnings accordingly.

    Stat. Auth.: ORS 461.250 & Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS
    Hist.: SLC 8-1985, f. & ef. 6-21-85; LC 1-1994, f. 1-27-94, cert. ef. 2-1-94
177-050-0051 Governing Law
In purchasing a ticket, the customer agrees to comply with, and abide by, the Oregon Law, and all rules and regulations and final decisions of the Lottery, and all procedures and instructions established by the Lottery or the Director for the conduct of the game.

Stat. Auth.: ORS Ch. 461
Stats. Implemented: ORS 461.250
Hist.: LC 7-1987, f. & ef. 4-29-87

177-050-0055 Discharge of State Lottery Upon Payment
The State of Oregon, its agents, officers, employees and representatives, the Lottery, its Director, agents, officers, employees and representatives, shall be discharged of all liability upon payment of a prize or any one installment thereof to the holder of any winning lottery ticket or in accordance with the information set forth on the claim form supplied by the Director. If there is a conflict between the information on a winning lottery ticket and the information on the claim form, the Lottery may rely on the claim form after the ticket for which it has been filed has been validated as a winning ticket and, in so doing, it will be relieved of all responsibility and liability in the payment of a prize in accordance with the information set forth therein. The Lottery's decisions and judgments in respect to the determination of a winning ticket or of any other dispute arising from payment or awarding of prizes shall be final and binding upon all participants in the Lottery unless otherwise provided by law or these rules. In the event a question arises relative to the winning ticket, a claim form, the payment, or the awarding of any prize, the Lottery may deposit the prize winnings into an escrow fund until it determines the controversy and reaches a decision, or it may petition a court of competent jurisdiction for instructions and a resolution of the controversy.

Stat. Auth.: ORS Ch. 461
Stats. Implemented: ORS 461.250
Hist.: SLC 8-1985, f. & ef. 6-21-85

177-050-0065 Disclosure
The Lottery may use the names, addresses, and photographs of winners in any Lottery promotional campaign. The address used shall not contain the street or house number of the winner.

Stat. Auth.: ORS Ch. 461
Stats. Implemented: ORS 461.250
Hist.: SLC 8-1985, f. & ef. 6-21-85

177-050-0070 Confidentiality of Tickets
No retailer or its employees or agents shall attempt to ascertain the numbers or symbols appearing in the designated areas under the removable latex coverings or otherwise attempt to identify winning tickets.

Stat. Auth.: ORS Ch. 461
Stats. Implemented: ORS 461.210
Hist.: SLC 4-1985(Temp), f. & ef. 1-29-85; SLC 8-1985, f. & ef. 6-21-85

177-050-0075 Official End of Game
  1. The official end of a game shall be announced by the Director by use of a press release or any other appropriate means. Unless otherwise determined by the Director, prizes may be claimed up to one year after the official end of the game. In the event the final day of the one year claim period falls on a weekend or an official Lottery holiday, the claim period will be extended to end on the next business day. Depending on the prize amount, the ticket should be submitted to the location specified in OAR 177-050-0025, "Payment of Prizes". To participate in one of the Lottery's special drawings, if any, a player must redeem a ticket which qualifies for entry into that special drawing within the time limits specified by the Director.
  2. A retailer must return to the Lottery unsold lottery tickets for each game within one year of the official end of that game in order to receive credit from the Lottery as provided for in retailer's contract.

    Stat. Auth.: Or. Const. Art. XV, Sec. 4(4)
    Stats. Implemented: ORS 461.250
    Hist.: SLC 4-1985(Temp), f. & ef. 1-29-85; SLC 8-1985, f. & ef. 6-21-85; SLC 4-1986, f. & ef. 2-25-86; SLC 29-1986, f. & ef. 12-22-86; LC 18-1987, f. & ef. 9-28-87; LC 2-1990(Temp), f. & cert. ef. 2-26-90; LC 4-1990, f. & cert. ef. 4-3-90; LC6-1993, f. & cert. ef. 7-2-93
GENERAL INSTANT TICKET GAME OPERATING RULES
177-050-0090 Instant Ticket Vending Machines (ITVMs)
  1. "Instant Ticket Vending Machine" or "ITVM" means an electrical of electro-mechanical device which dispenses scratch-it or breakopen tickets directly to a player upon payment of the appropriate purchase price.
  2. The primary placement of ITVMs shall be in those locations which had a weekly average sale of scratch-it tickets of $300 or more in the most recent fiscal year and is one of the following trade classifications: (a) Multi-register supermarket: (b) Drug and variety store; (c) Bowling Center; (d) Truckstop; (e) Airport.
  3. The Assistant Director for Retail Operations may waive the requirements for placement and operation of the ITVM under any of the following conditions: (a) The average sales requirement may be waived if the location has an eligible trade classification and the location is likely to meet the minimum average sales within the next fiscal year; (b) The location does not meet either the sales average or the trade classification, or both, and the ITVM is being placed in the location as a test. The length and conditions of the test shall be determined by the Assistant Director for Retail Operations: or (c) If the facts relating to the failure of a retailer to meet the operating standards for placement of the ITVM justify a waiver for a reasonable period of time as determined by the Assistant Director for Retailer Operations.
  4. The following conditions shall apply to the placement and operation of an Instant Ticket Vending Machine:

    (a) Installation and Location: The Lottery will install the ITVM at no charge to the retailer in a location approved by the Lottery. The location of the ITVM shall be in an area with a 110 volt AC receptacle and is monitored by the retailer to assure than no person under the age of 18 can operate the ITVM. Any change in the location of the ITVM must be approved by the Lottery.

    (b) Training and Service: Each retailer receiving an ITVM must attend mandatory training on the ITVM. Training will be conducted at no cost to the retailer. Training will include what service to be conducted by the retailer and what service shall be performed by the Lottery.

    (c) Retailer Duties: An ITVM retailer shall perform the following duties:

    (A) Sell eight (8) different Scratch-it games at all times through the ITVM;

    (B) Sell a minimum of three (3) Scratch-it games through all registers, using existing dispensers or acrylic displays;

    (C) Display all ITVM point-of-display materials;

    (D) Maintain the retailer's established Scratch-it sales base for scratch-its sold at the retailer's registers;

    (d) Failure to comply with the terms and conditions of the placement and operation of an ITVM may result in the removal of the ITVM.

    Stat. Auth.:Or. Const. Art. XV, Sec 4(4)
    Stats. Implemented: ORS
    Hist.: LC 6-1995(Temp), f. & cert. ef. 7-7-95; LC 8-1995, f. 7-27-95, cert. ef. 8-1-95