N.J. Admin. Code § 17:20-12.10

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:20-12.10 - Courier service and affiliate agent

(a) A courier service shall have a contractual relationship with one or more affiliate agents. The affiliate agent shall maintain a dedicated terminal(s) at the affiliate agent's licensed place of business. The dedicated terminal(s) shall be solely for the purchase of tickets by the courier service on behalf of that courier service's courier customers.

1. A courier service shall be required to form and maintain a written contractual relationship with an affiliate agent(s) and provide proof of same to the Division prior to registration approval.

2. The affiliate agent(s) shall have installed at the affiliate agent's licensed place of business a dedicated terminal(s) for the production of tickets for the courier service prior to when that courier service begins sales.

i. Such dedicated terminal(s) will be programed to produce only authorized games and shall not be eligible for any Lottery approved promotions.

ii. A courier service shall use only the affiliated agent's dedicated terminal(s) for producing tickets for courier service customers. No other terminal(s) used by the affiliated agent, or by any other agent, shall be utilized by the courier service for any reason.

iii. The dedicated terminal(s) shall not be utilized by the affiliate agent or courier service to produce tickets for the affiliate agent's customers.

iv. For security purposes, the courier service shall use only the ticket stock supplied by the Lottery for the affiliated agent's dedicated terminal(s).

v. In the event of a technological failure, weather-related issue, Lottery gaming system-related issue, or any issue that shall otherwise cause the dedicated terminal(s) not to turn on/be functional, the affiliated agent shall not issue any tickets to the courier service from any of its other terminals. In such circumstances, the Lottery will be under no liability to the courier service or the affiliated agent when tickets cannot be produced from the dedicated terminal(s). The affiliate agent of a courier service shall not receive preferential treatment regarding restoration of a dedicated terminal(s) for a courier service.

(b) A courier service and its affiliated agent(s) may agree as part of the written contract that a courier service employee will operate the dedicated terminal(s) of its affiliate agent(s). Any such affiliated agent and courier service employee operating the affiliated agent's terminal(s) must be in compliance with N.J.A.C. 17:20-4.2(b).

(c) The affiliate agent shall remain liable to the Lottery, regardless of the affiliated agent's contractual relationship with the courier service, for deposit of lottery monies as set forth in N.J.A.C. 17:20-6. Any licensing actions the Division takes against an affiliate agent, including actions that removes or disable terminal(s), will also affect all dedicated terminal(s) of the courier service, and the State and the Division shall not be liable to the courier service for any such actions.

(d) The Division shall pay all commissions and/or bonuses of any type only to the affiliate agent. Nothing in this section shall prohibit an affiliate agent from sharing commissions and/or bonuses with a courier service pursuant to the written contractual agreement in accordance with (a)1 above.

N.J. Admin. Code § 17:20-12.10

Adopted by 50 N.J.R. 1826(b), effective 8/6/2018