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February 21, 2008

You've gotta pay to play, says the Washington Court of Appeals

In a sharply-worded opinion, the Washington Court of Appeals yesterday reiterated some bedrock principles governing contract formation.  In Granton v. State Lottery Commission, a pro se plaintiff claimed that he was prevented from purchasing what he believed would have been a winning lottery ticket for a "Mega Millions" drawing, due to a malfunctioning ticket distribution machine in a gas station convenience store.  He asserted that the "play slip" he handed to the clerk with his chosen lottery numbers matched the winning numbers later drawn; accordingly, despite the fact that the faulty machine prevented him from actually paying for and receiving an official lottery ticket, he sought the jackpot.

Not a chance, said the Court -- literally.  The Court noted that, because the ticket sale was frustrated, plaintiff did not have a valid ticket and was unable to provide the required consideration (the ticket price) necessary to accept the Lottery Commission's offer of a chance to win a prize.  Therefore, no contract was formed.  The plaintiff was lucky nonetheless:  the Court, in an exercise of merciful discretion, decided not to impose monetary sanctions on the plaintiff for having filed a frivolous lawsuit.

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