Chapter Definitions

  1. Law
  2. Tennessee Code
  3. State Government
  4. Tennessee Education Lottery Implementation Law
  5. General Provisions
  6. Chapter Definitions

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As used in this chapter, unless the context otherwise requires:

  1. “Board” means the board of directors of the Tennessee education lottery corporation;
  2. “Chief executive officer” means the chief executive officer of the Tennessee education lottery corporation;
  3. “Corporation” means the Tennessee education lottery corporation;
  4. “Director” means a member of the board of directors of the Tennessee education lottery corporation;
  5. “Educational programs and purposes” means financial assistance to Tennessee citizens to enable such citizens to attend post-secondary educational institutions located within Tennessee, capital outlay projects for grades kindergarten through twelve (K-12) educational facilities, early learning programs and after school programs in accordance with article XI, § 5 of the Constitution of Tennessee;
  6. “Immediate family” means a spouse, child, step-child, brother, sister, son-in-law, daughter-in-law, parent, or grandparent;
  7. “Local government unit” means any county, metropolitan government, incorporated town or city, or special district of the state;
  8. “Lottery,” “lotteries,” “lottery game,” or “lottery games” means any game of chance approved by the board and operated pursuant to this chapter, including, but not limited to, instant tickets, on-line games, and games using mechanical or electronic devices. For the purposes of this chapter, “lottery,” “lotteries,” “lottery game,” or “lottery games” does not include:
    1. Casino gambling or games of chance associated with casinos and prohibited pursuant to article XI, § 5 of the Constitution of Tennessee.  For the purposes of this subdivision (8)(A), “casino gambling” means a location or business for the purpose of conducting illegal gambling activities, excluding the sale and purchase of lottery tickets or shares as authorized by this chapter; or
    2. Video lottery.  For the purposes of this subdivision (8)(B), “video lottery” means a lottery that allows a game to be played utilizing an electronic computer and an interactive terminal device, equipped with a video screen and keys, a keyboard or other equipment allowing input by an individual player, into which the player inserts coins or currency as consideration in order for play to be available, and through which terminal device, the player may receive free games or a voucher that can be redeemed for a cash or non-cash prize, or nothing, determined wholly or predominantly by chance;
  9. “Lottery proceeds” or “proceeds” means all lottery revenue derived from the sale of lottery tickets or shares and all other moneys derived from the lottery or received by the Tennessee education lottery corporation;
  10. “Lottery retailer” or “retailer” means a person who sells lottery tickets or shares on behalf of the Tennessee education lottery corporation pursuant to a contract;
  11. “Lottery vendor” or “vendor” means a person who provides or proposes to provide goods or services to the Tennessee education lottery corporation pursuant to a major procurement contract, but does not include an employee of the Tennessee education lottery corporation, a retailer, or a state agency or instrumentality of the Tennessee education lottery corporation. Such term does include a corporation whose shares are traded publicly and that is the parent company of the contracting party in a major procurement contract;
  12. “Major procurement contract” means any gaming product or service costing in excess of seventy-five thousand dollars ($75,000), including, but not limited to, major advertising contracts, annuity contracts, prize payment agreements, consulting services, equipment, tickets, and other products and services unique to the Tennessee lottery, but not including materials, supplies, equipment, and services common to the ordinary operations of a corporation;
  13. “Minority-owned business” means a business that is solely owned, or at least fifty-one percent (51%) of the assets or outstanding stock of which is owned, by an individual who personally manages and controls the daily operations of such business and who is impeded from normal entry into the economic mainstream because of:
    1. Past practices of discrimination based on race, religion, ethnic background, or sex;
    2. A disability as defined in § 4-26-102; or
    3. Past practices of racial discrimination against African-Americans;
  14. “Net proceeds” or “net lottery proceeds” means all revenue derived from the sale of lottery tickets or shares and all other moneys derived from lottery games minus operating expenses. “Net proceeds” or “net lottery proceeds” does not include unclaimed prize money;
  15. “Operating expense” means all costs of doing business including, but not limited to, prizes, commissions, and other compensation paid to a lottery retailer, advertising and marketing costs, rental fees, personnel costs, capital costs, depreciation of property and equipment, amounts held in or paid from a fidelity fund pursuant to § 4-51-118, and all other operating costs;
  16. “Person” means any individual, corporation, partnership, unincorporated association, or other legal entity;
  17. “Prize” means an award, gift, or anything of value regardless of whether there are conditions or restrictions attached to its receipt;
  18. “Share” means any intangible evidence of participation in a lottery game; and
  19. “Ticket” means any tangible evidence issued by the lottery to provide participation in a lottery game.


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