MEXICO Law and Practice Contributed by: Carlos Fernando Portilla Robertson and Ricardo Valdivia González, Portilla Ruy-Diaz y Aguilar
A lottery is defined as an activity in which holders or bearers of a ticket, through the prior selection of a number, gain the right to participate – either free of charge or for a fee – in a procedure previously stip- ulated and approved by SEGOB. In this process, a number, combination of numbers, symbol or symbols are randomly selected to determine one or more prize winners. Similarly, a ticket is understood as an authorised doc- ument or electronic record that grants the bearer the right to participate in a lottery and guarantees their rights, as applicable. These rights must be printed on the document itself or otherwise recorded in the sys- tem where the records are maintained. The Gaming Regulations establish a limited number of lottery modalities that individuals are permitted to conduct. Any mechanism that does not fall within these approved modalities is not allowed. Application Process Anyone conducting raffles in any form must request a permit from the Bureau at least 15 business days in advance, complying with all relevant requirements. The Bureau follows a systemised procedure for reviewing, processing and resolving applications, uti- lising pre-established checklists to verify the required documentation. From the time of filing, the Bureau has ten business days to issue a decision. If addi- tional information or documentation is required, the authority is granted an additional ten business days to resolve the matter. There are no specific requirements for directors, own- ers, senior management or shareholders, including disclosure thresholds. If the prize value exceeds a certain threshold, a fee must be paid for the participa- tion of a government official at the time of the raffles. Ongoing Annual Fees Fees are calculated based on the value of the product
These conditions generally require the specification of: • the period of time during which participants may enter the raffle; • the geographical area in which participation is permitted; • the total number of tickets to be issued and placed into circulation; • the series of folios to be generated, together with the methodology used for their numbering and control; • the total number of prizes to be awarded, with a detailed description of their nature and value (inclu- sive of VAT); and • a description of the goods and/or services that are being promoted or offered as part of the raffle. These requirements operate as minimum safeguards designed to ensure compliance with the terms of the permit, avoid irregularities in the conduct of raffles, and provide participants with certainty regarding the scope and validity of their rights. Personal Sanctions Any infringement of the law, or of the permits issued by the Bureau, will be sanctioned with a fine and/or arrest.
5. Land-Based Gambling 5.1 Premises Licensing
Applications and associated information and docu- mentation must be filed with the Bureau at its central offices in Mexico City. See 4.6 Application Require- ments for more details.
6. Online Gambling 6.1 B2C Licences
or service to be raffled. Ongoing Requirements
It is important to note that Mexican gambling legisla- tion does not explicitly mention the term “online gam- ing”. Instead, Mexican law states that establishments may accept bets through mobile phones, the internet or other electronic devices. Similarly, the regulations
Personal authorisations and licences are subject to ongoing conditions established by the Bureau that ensure transparency and proper conduct of raffles.
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