For the purpose of this part: (1) "Division" means the Division of Consumer Protection in the Department of Commerce. (2) "Prize" means a gift, award, or other item or service of value. (3) (a) "Prize notice" means a notice given to an individual in this state that satisfies all of the following: (i) is or contains a representation that the individual has been selected or may be eligible to receive a prize; and (ii) conditions receipt of a prize on a payment or donation from the individual or requires or invites the individual to make a contact to learn how to receive the prize or to obtain other information related to the notice. (b) "Prize notice" does not include: (i) a notice given at the request of the individual; or (ii) a notice informing the individual that he or she has been awarded a prize as a result of his actual prior entry in a game, drawing, sweepstakes, or other contest if the individual is awarded the prize stated in the notice. (4) "Solicitor" means a person who represents to an individual that the individual has been selected or may be eligible to receive a prize. (5) "Sponsor" means a person on whose behalf a solicitor gives a prize notice. (6) "Verifiable retail value" of a prize means: (a) a price at which the solicitor or sponsor can demonstrate that a substantial number of the prizes have been sold by a person other than the solicitor or sponsor in the trade area in which the prize notice is given; or (b) if the solicitor or sponsor is unable to satisfy Subsection (6)(a), no more than 1.5 times the amount the solicitor or sponsor paid for the prize.
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