I have an internet company that sells lead data to companies collected by sweepstakes. Are there legal issues to consider?

Atlanta, GA Viewed 21 times. Posted about 1 month ago in General Practice
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I have a company that collects lead (customer) data by having them sign up for sweepstakes and giveaways. I have included a statement in the sign up form regarding that their information will be shared to companies. The cost of the giveaways (along with profits) is covered by the subscriptions purchased by the companies that buy memberships to access the database online. Are there any laws or legal steps I need to consider in order to protect myself, the customers, and the companies against legalities or lawsuits?
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Daniel T. Silverman

Daniel T. Silverman

Contributor Level 5
This attorney is licensed in New Jersey and 1 other state. Posted about 1 month ago. Flag as objectionable
Yes there are several legal concerns and as the internet reaches beyond the borders of your state, you need to be concerned about the laws in other jurisdictions as well. For instance, some states require you to register sweepstakes where the prize is over a certain value. It would probably be advisable to consult with an attorney. You may want to exclude residents of certain states from eligibility.

DISCLAIMER:
I am NOT your attorney. An attorney-client relationship has NOT been created. The above is NOT legal advice.
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