Legal Regulations on Lucky Draws in 2026: What Vietnamese Companies Need to Know

Lucky Draws Are a Tightly Regulated Business Activity

Many businesses mistakenly believe that internal lucky draws — held for employees rather than outside customers — require no legal compliance whatsoever. This is not entirely accurate.

Vietnamese law distinguishes between two types of activities: sales promotions (for customers in the context of commercial activity) and internal awards (for employees). These have different legal frameworks, and the line between them is not always clear when an event includes both employees and external partners or customers.

This article summarizes the most important points based on Decree 81/2018/ND-CP and legal updates through 2026. Note: this is general reference information and does not substitute professional legal advice.

Decree 81/2018/ND-CP: The Legal Foundation

Decree 81/2018/ND-CP provides detailed regulations under the Commercial Law governing trade promotion activities. This is the primary legal document regulating promotional programs, including lucky draws in commercial settings.

Core provisions:

• Lucky draw-based promotions (spinning, drawing lots) are classified as conditional promotional activities — they must meet specific notification and implementation requirements
• The maximum prize value for a single promotional program is expressly regulated
• There are mandatory notification deadlines to government authorities before implementation
• Requirements exist around how results must be disclosed and prizes awarded

Types of Promotions and Registration Requirements

Promotions Requiring Notification Only (No Prior Approval Needed)

Some promotional forms only require notifying the relevant government authority — no pre-approval is needed:

• Discounts on goods or services
• Free goods or services provided without charge
• Sales with vouchers or purchase coupons

Promotions Requiring Prior Registration

Lucky draw and prize-drawing programs — especially when:

• Prize values exceed the regulated threshold
• The program spans an extended period and involves an element of chance
• Participants include customers (not purely internal employees)

For these programs, businesses must submit registration documents and receive confirmation before launching.

flowchart TD
    A[Business plans a lucky draw] --> B{Who participates?}
    B --> |Purely internal employees| C[Internal Award]
    B --> |Includes external customers or partners| D[Commercial Promotion]
    C --> E{Prize value?}
    E --> |Low, motivational in nature| F[No registration needed - Keep internal minutes]
    E --> |High, clear economic value| G[Consult legal counsel]
    D --> H{Total prize value?}
    H --> |Below the regulated threshold| I[Notify the Department of Industry and Trade]
    H --> |Exceeds the regulated threshold| J{Geographic scope?}
    J --> |1 province/city| K[Register with provincial Department of Industry and Trade]
    J --> |2 or more provinces| L[Register with the Ministry of Industry and Trade]
    K --> M[Prepare documentation]
    L --> M
    M --> N[Submit at least 5 business days before the event]
    N --> O[Receive confirmation]
    O --> P[Conduct draw in accordance with approved rules]
    P --> Q[Prepare prize ceremony minutes]
    Q --> R[Disclose results publicly]
    R --> S[Retain records for at least 2 years]
    F --> T[Conduct draw using software with audit trail]
    I --> T

Registration Procedures for Promotional Programs

Required Documents

When registering a lucky draw promotional program with the Department of Industry and Trade or the Ministry of Industry and Trade, businesses must prepare:

1. Registration application for the promotional program (using the prescribed form)
2. Program rules: detailed description of participation conditions, draw process, prize structure, timing, and location
3. Business registration certificate or investment license
4. Description of the draw tool used: if using software, describe the randomization algorithm and audit mechanism
5. Prize list with specific values and quantities

Submission Deadline

Under the regulations, documentation must be submitted at least 5 business days before the planned start date. In practice, many businesses submit 2–3 weeks in advance to allow time for supplementing documents if the authority requests it.

Prize Caps and Key Considerations

The law stipulates maximum total prize values for promotional programs. These caps may be updated annually, so businesses should verify current regulations before each program.

Key point: the cap applies to the total prize value of the entire program, not to each individual prize. Businesses running multiple draw rounds within a single program must add up the total across all rounds.

Prize Ceremony Minutes: Do Not Skip This

This is the most commonly overlooked required document. The prize ceremony minutes must include:

• Date, time, and location of the draw
• Authorized representative of the business
• Independent witness (as required, this may be a representative of the regulatory authority or a notary)
• Full list of winners with complete identifying information
• Signatures from all parties

Lucky draw software like Luck4You / quaysotrungthuong.vn can automatically generate a draft of these minutes based on the draw results and audit trail, significantly reducing the administrative workload after the event.

Penalties for Violations

Under the Decree on administrative penalties in the commercial sector, violations of promotional regulations may result in:

• Running a promotion without notification or registration: fines ranging from a few million to tens of millions of dong, depending on the severity
• Failure to publicly disclose results as required: additional fines
• Failure to award prizes or awarding them incorrectly: heavier fines and potential compensation requirements
• Repeat violations: possible suspension of the right to run promotional programs for a set period

Beyond administrative fines, businesses also face reputational risk if the matter becomes public — especially in the age of social media.

How Software Helps with Legal Compliance

Purpose-built lucky draw software cannot replace legal counsel, but it addresses most of the technical requirements in the compliance process:

• Automatic audit trail: records the entire process with timestamps, meeting documentation retention requirements
• Minutes export: generates a structured document suitable for legal records
• Verifiable randomness: provides algorithm information for the registration application
• Long-term storage: results saved in the cloud, easy to retrieve for audits

Practical Recommendations for Businesses

Based on the legal framework above, here is the process to follow to stay on the right side of the law:

1. Clearly identify who is participating (internal or external) and the total prize value
2. Consult legal counsel if any external customers are involved or if prize values are significant
3. Prepare and submit documentation on time — don't leave it to the last minute
4. Choose lucky draw software with an audit trail to satisfy documentation requirements
5. Retain all records for at least 2 years after the event

Conclusion

The legal landscape around lucky draws in Vietnam is not overly complex once you understand what category of activity you're running. The majority of internal corporate events can be conducted without a complicated registration process — but minutes and an audit trail are always required. For high-value customer-facing promotional programs, don't skip the registration step: the cost of compliance is always far lower than the cost of dealing with a violation.