STATE OF SOUTH DAKOTA
OFFICE OF
THE ATTORNEY GENERAL

August 21, 1975

Mr. Jerry Rachetto
State's Attorney
Lawrence County Courthouse
Deadwood, South Dakota 57732

OFFICIAL OPINION NO. 75-145

Does sale of raffle tickets by a nonprofit organization constitute gambling?

Dear Mr. Rachetto:

You have requested an official opinion from this office on the following facts and circumstances:

Lawrence County Taxpayer's Association desires to raffle a new car through the sale of tickets to raise money for their expenses. The association plans to be incorporated as a non-profit corporation prior to the sale of tickets for the raffle.

Based on the above facts you ask:

Does the above conduct constitute gambling?

The term "raffle" is defined by Black's Law Dictionary, 4th Edition (1951), as being a kind of lottery in which several persons pay, in shares, the value of something put up as a stake, and then determine by chance which of them shall become the sole possessor of it. Prendergast v. State, 41 Tex. Cr.R. 358, 57 S.W. 850.

SDCL 22-25-24 defines a lottery as being "a plan whereby for a valuable consideration, money is raised by selling chances to share in the distribution of prizes." SDCL 22-25-22 restricts the lawful operation of and participation in lotteries to a mild form of social recreation which is devoted to the raising of funds for the benefit of bona fide veterans, religious, charitable, educational, or fraternal organizations, local civic and service clubs, volunteer fire departments, which are duly existing of the laws of this state.

It is my opinion that if the Lawrence County Taxpayer's Association incorporates itself as a non-profit corporation under the provisions of SDCL 47-22, the raffling of the car as they propose would not constitute gambling within the purview of South Dakota criminal statutes prohibiting gambling and lotteries.

Respectfully submitted,

William Janklow
Attorney General

WJJ:DOC:dh