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JBaxLaw
JBaxLaw, Attorney
Category: Business Law
Satisfied Customers: 11314
Experience:  Experienced in business formation and licensing issues
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I have an website idea for an online singing contest. The people

Customer Question

I have an website idea for an online singing contest. The people who come to the website will vote for the best voice and the worst voice, contestants will sing what ever song they want. The winner in a weeks time period will get a sum of money. The person who watches the most amount of videos will will be paid a sum. What do I need law wise to comply with interstate as well as federal law. Do I need an llc to protect personal assests. Do I need to worry about the songs contestants sing. How do I establish a legal foundation that protects me will making sure to keep the integrety of the website. Is there a limit on the amount of money I can give to contestants and viewers state and ferderal wise.
Submitted: 1 year ago.
Category: Business Law
Expert:  JBaxLaw replied 1 year ago.

BizAttorney :

Hello, I am a professional here to assist you. I appreciate your use of this service.

BizAttorney :

Operating a contest is a complex matter when entry is open to any location.

BizAttorney :

This is because not only is federal law at issue, but each state regulates games with przies.

BizAttorney :

prizes

BizAttorney :

For games of skill, there are normally exceptions in most states allowing for the operation of such enterprises. However, that exception could be limited to non-profits.

BizAttorney :

What you are asking requires in-depth legal research in each state.

BizAttorney :


Without caution one may run afoul of gaming laws and face criminal penalties.

BizAttorney :

Because that is going to take hours and hours of research it would not be possible to answer here as a single question. I could answer as to each state for the amount offered for this question as it would take time and considerable research for each state. Feel free to let me know if you would like to consider that route in your reply. In the meantime should you choose to handle your own research, I am linking you to some material which contains a survey of state laws regulating gaming. See:

BizAttorney :

http://www.adlawbyrequest.com/uploads/file/2009_07_17%20U_S_%20Federal%20&%20State%20Online%20Gaming%20Law%20Survey.pdf

BizAttorney :

Songs are copyrighted materials and permission is needed to use those songs. Failure to do so could result in litigation later.

BizAttorney :

Most business setting up such a venture would do so as a limited liability entity either as an LLC or a corporation. These can be set up in any state. These entities create insulation shielding one's personal assets from risk.

BizAttorney :

I hope that this gets you started. Please follow-up with any other questions you have.

BizAttorney :

Please let me know if you need anything else. The chat session will end once you leave a rating, but you can still post follow-up questions to me later if you need anything else. I hope that you will be so kind as to leave a positive rating to ensure I am credited with assisting you.

BizAttorney :

Thank you

Expert:  JBaxLaw replied 1 year ago.
Our chat has ended, but you can still continue to ask me questions here until you are satisfied with your answer. Come back to this page to view our conversation and any other new information.

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If you haven’t already done so, please rate your answer above. Or, you can reply to me using the box below.
Customer: replied 1 year ago.


I want to make sure that I am doing everything legally so just so I understand completely you're advising that I pay $2450 for 49 states? I know you are probabably really busy with thousands of questions is there a specific kind lawyer I need that can devote more of his time to creating a full legal plan for this situation? If so do you know what the estimated cost might be in california. Any help is greatly appreciated.

Expert:  JBaxLaw replied 1 year ago.
I appreciate the follow-up. The site terms here generally limit experts to answering a single question and because this requires research in every state multiple questions would be required. If you take the issue to an attorney the rate may be $150 to $250 per hour. Such a large research intensive task would likely exceed $2450 and likely much more. This requires research of state gambling and prize laws, federal legal issues, establishing a business entity, and copyright law among many other issues.

You may consider using the CA bar lawyer referral service which will match you with a business attorney that can assisting you in researching the feasibility of the company and potentially assisting in setting up the business. For that lawyer referral service, go to:

http://www.calbar.ca.gov/Public/LawyerReferralServicesLRS.aspx

Please let me know if you have any more questions or if you would like any further assistance with your research.

Thank you

Expert:  JBaxLaw replied 1 year ago.
Thank you so much for allowing me to assist you.

Please let me know if you need any other assistance. Thank you for leaving me a positive rating and ensuring that I receive credit for assisting you.

Thank you again

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