Raffles/Auctions

Discussion in 'Masonic Jurisprudence' started by KD5NM, Oct 21, 2009.

  1. KD5NM

    KD5NM Registered User

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    Is it legal to have a silent auction in conjunction with a Lodge Fundraising activity? If so would the raffle rules apply? Could the proceeds be used toward the Lodge general funds or do they have to be for a specific charity?
     
  2. owls84

    owls84 Moderator Premium Member

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    I have not heard of the silent auctions but I do know there are VERY stringent rules on raffles. If I remember correctly, which you need to double check, you may have two raffles a year and the money made must be CLEARY represented and can not go to a general fund. There is more but I am not that clear since we don't do them. I know this is also IRS or state law driven not GL driven.

    Great questions thanks for asking I look forward to the responses.
     
  3. scottmh59

    scottmh59 Registered User

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    good question
     
  4. Bill Lins

    Bill Lins Moderating Staff Staff Member

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    I think they are two separate activities and, as such, auctions are not subject to the same rules as are raffles.
     
  5. owls84

    owls84 Moderator Premium Member

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    Brother Bill, Do you know the rules on the Raffles? I just want to make sure I didn't lead him astray.
     
  6. KD5NM

    KD5NM Registered User

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    The GL has put out some pretty clear information pertaining to RAFFLES, what has not been addressed to my knowledge is if a silent auction falls under the same rules. It seems to me that a raffle is like a game of chance where you have a drawing. An auction is really just the act of selling something to the highest bidder. Am I right?
     
    Last edited: Oct 22, 2009
  7. Gerald.Harris

    Gerald.Harris Premium Member Premium Member

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    I believe you are right. If you are holding a silent auction, then the people who participate know what the item is that they are bidding on. There is no chance involved in this type of fundraiser.
     
  8. Bill Lins

    Bill Lins Moderating Staff Staff Member

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    Here's a summary from Ch. 2002 of the Texas Occupations Code:

    2 raffles per calendar year- may NOT overlap

    All proceeds from ticket sales MUST go to charity

    No paid (TV, radio, newspaper) advertising

    No statewide raffles or offers to sell tickets to a statewide raffle

    Those organizing or conducting raffles or selling or offering tickets to raffles CANNOT be compensated for such work

    Only members of the organization conducting a raffle can sell tickets for it

    Each raffle ticket must contain the following information:
    Name of the organization conducting the raffle & its address or the address
    of a named officer; the ticket price; and a general description of each prize
    having a value of more than $10.00

    NO monetary prizes, prizes worth more than $50,000.00, or lottery tickets

    The conducting organization must either have possession of the prize(s) or post a bond with the county clerk of the county in which the raffle is being held.

    Hope this helps.
     

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