# 11 Ill. Adm. Code 1770.10: Section 1770.10 Definitions

> Illinois · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_IL_IAC_T11_P1770_S1770_10

## Section

- **Citation:** 11 Ill. Adm. Code 1770.10
- **Heading:** Section 1770.10 Definitions
- **Jurisdiction:** Illinois
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Illinois Administrative Code / Title 11 ALCOHOL, HORSE RACING, LOTTERY, AND VIDEO GAMING / CHAPTER II: DEPARTMENT OF THE LOTTERY / Part 1770 LOTTERY (GENERAL) / Section 1770.10 Definitions

## Text

Section 1770
Section 1770.10  Definitions
Terms defined in the Lottery Law
have the same meanings when used in this Part.  The following words and terms
when used in this Part shall have the following meanings, unless the context
clearly indicates otherwise:
"Agent"
means a person permitted by a license issued by the Director under the
authority of Sections 9.d, 10 and 10.1 of the Lottery Law to sell Illinois
Lottery game tickets to the public.
"Administrative Hearing"
means a proceeding at which parties present legal arguments and evidence about a
case to an Administrative Law Judge or the Board, pursuant to the Lottery Law
and 11 Ill. Adm. Code 1700.
"Administrative Law Judge"
or "ALJ" means an attorney admitted to practice law by, and in good
standing before, the Illinois Supreme Court who is duly authorized and
designated in writing by the Director of the Illinois Lottery to convene and
conduct hearings on matters under the jurisdiction of the Department.  An ALJ
is specifically empowered to administer oaths and affirmations; rule on matters
of proof and evidence; regulate the schedule and course of the hearing and
pre-hearing process; hear and dispose of procedural and other similar matters;
sign and issue orders and subpoenas; and exercise any other powers relating to
the proceeding which are legally proper and reasonably necessary to carry out
an ALJ's responsibilities.  The authority of any person to act as an ALJ shall
not be a matter of proof in any hearing before the Department unless an
appropriate motion is made pursuant to 11 Ill. Adm. Code 1700.200.
"Annuity" or
"Annual Payout Option" means the payment of the grand prize in 30
consecutive graduated annual installments for Mega Millions, Powerball and
Lotto games and 20 consecutive straight line annual installments for instant
games as per game rules.
"Applicant"
means a person who has applied to the Director for a license to sell Lottery game
tickets to the public
l. Adm. Code 1700.200.
"Annuity" or
"Annual Payout Option" means the payment of the grand prize in 30
consecutive graduated annual installments for Mega Millions, Powerball and
Lotto games and 20 consecutive straight line annual installments for instant
games as per game rules.
"Applicant"
means a person who has applied to the Director for a license to sell Lottery game
tickets to the public.
"Assignment" means a
change of ownership for an annuity.
"Automated Clearing
House" or "ACH" means a computer-based electronic network for
processing payments and automated money transfers between banks across the
United States without using paper checks, wire transfers, credit card networks,
or cash.
"Bearer Instrument"
means a designation of a Lottery game ticket under which the winnings from the
ticket are payable to the person or business organization possessing the ticket
or to the order of the person who has demonstrated bearer status by signing the
ticket as the owner.
"Board"
means the Lottery Control Board as established by Section 6 of the Lottery Law.
"Business
Organization" means a partnership; incorporated or unincorporated
association or group; corporation; limited liability company; partnerships for
shares; trust; sole proprietorship; or other business enterprise.
"Cash-for-Life
Game" means a Lottery game that offers a set prize payment to be made in
installments to that winner for the duration of the winner's life or lump sum
cash equivalent.
"Cash
Option" has the same meaning as "Lump Sum".
"Chairperson"
means the Chairperson of the Lottery Control Board.
"Change
of Business Organization" means a change from one form of organization and
ownership of a business organization to another.
"Change
of Name" means a change in the corporation or doing business as name shown
on the records of the Secretary of State, County Clerk, or both, in the license
granted to the Agent and in the Agent's application for a license
rson of the Lottery Control Board.
"Change
of Business Organization" means a change from one form of organization and
ownership of a business organization to another.
"Change
of Name" means a change in the corporation or doing business as name shown
on the records of the Secretary of State, County Clerk, or both, in the license
granted to the Agent and in the Agent's application for a license.
"Claim
Process" means the process of completing an Illinois Lottery claim form and
providing proper identification involved in awarding a prize to a Claimant. iLottery
claims up to $599 or less submitted through this process will be treated the
same as if they were presented to a retailer with no formal claim submission
and automatically credited to an account.
"Claimant"
means a person, as defined in this Section, who presents a valid winning Lottery
game ticket to an Agent or a Lottery prize center or administrative office for
the purpose of receiving a prize. iLottery claims up to $599 or less that are
presented in this manner will be treated the same as if they were presented to
a retailer with no formal claim submission and automatically credited to an
account.
"Department"
means the Illinois Department of the Lottery.
"Director"
means the individual responsible for the executive oversight of the Department.
"Draw-Based
Game" or "DBG" means a game wherein its winning lottery numbers,
symbols, characters, or outcomes are randomly selected by a manual or digital
process. Each DBG approved for sale by the Department is played in accordance
with its game rules. DBGs may be sold by licensed retailers and via the Department.
"Drawing"
means the procedure by which the Department (or in the case of a
multi-jurisdiction game the managing organization) randomly selects winning
numbers, symbols, characters, or outcomes in accordance with the rules of the
specific game being played and its drawing procedures
ment is played in accordance
with its game rules. DBGs may be sold by licensed retailers and via the Department.
"Drawing"
means the procedure by which the Department (or in the case of a
multi-jurisdiction game the managing organization) randomly selects winning
numbers, symbols, characters, or outcomes in accordance with the rules of the
specific game being played and its drawing procedures.
"Electronic
Funds Transfer" or "EFT" means an electronic financial
transaction from one account to another.
"Game"
means any individual or particular type of Lottery authorized by the
Department.
"Game
Closed" means the time when tickets for an instant game can no longer be
ordered or distributed by the Lottery or a retailer.
"Game
End" means the official date, determined by the Lottery, an instant game
has ended. Prizes must then be redeemed within the time period required by the
Lottery.
"Game
Expiration" means the time after an instant game has been closed and the
game prize redemption date has passed, when tickets from the game can no longer
be redeemed.
"High-Frequency
Prize Winner" means a person who submits at least 20 claims for Lottery
prizes, each with a value of $1,000 or more, within any period of 365 days.
"iLottery"
or "Internet Lottery" means the ability to place wagers via the
internet on Lottery games.
"Instant
Game" or "Scratcher" means an instant lottery ticket on which a
player scratches the covering from one or more play areas to determine if a
prize was won, as indicated by the symbols and words that are revealed. Instant
games are Lottery games that can be played, won and redeemed at the time of
purchase.
"Internet Lottery Player
Account" means a secure electronic account associated with a registered
internet Lottery player that allows the internet player to access information
about the player's Lottery internet account, including, but not limited to the
transaction history of purchases, winnings and prize redemptions
Lottery games that can be played, won and redeemed at the time of
purchase.
"Internet Lottery Player
Account" means a secure electronic account associated with a registered
internet Lottery player that allows the internet player to access information
about the player's Lottery internet account, including, but not limited to the
transaction history of purchases, winnings and prize redemptions.  The player
account also maintains a bank account established for the purpose of purchasing
Lottery game tickets or subscriptions via the internet and receiving payment
for any prizes won in connection with an internet Lottery purchase. Prizes up
to $599 are paid back into the account, unless the player's winnings exceed the
maximum wallet threshold of $2000 at which point the player's winnings will
automatically by mailed to them by check.  For prizes in excess of $600, a
claim must be submitted to the Department for processing.
"Jackpot" means the top
prize in a pari-mutuel or progressive draw-based Game. Jackpots are paid in
accordance with the game rules and can be either in annuity payments or in one
lump sum.
"License"
means an Agent license, issued by the Director pursuant to Section 9 of the Lottery
Law for an Agent to sell Lottery tickets to the public.
"Lottery"
means the Lottery established and operated pursuant to the Lottery Law.
"Lottery
Beneficiaries" means the designated recipients of lottery prizes.
"Lottery Game Ticket" or
"Ticket" means:
A scratch-off ticket;
A paper ticket produced from a
kiosk or electronic record generated and maintained by the Department's central
gaming system, on official paper stock approved by the Department, by a Lottery
retailer; or
A virtual ticket purchased via the
internet and recorded in the Department's central gaming system.
"Lottery Law" means the
Illinois Lottery Law [20 ILCS 1605].
"Lottery Retailer"
means a location licensed by the Department to sell Lottery game tickets or
shares
maintained by the Department's central
gaming system, on official paper stock approved by the Department, by a Lottery
retailer; or
A virtual ticket purchased via the
internet and recorded in the Department's central gaming system.
"Lottery Law" means the
Illinois Lottery Law [20 ILCS 1605].
"Lottery Retailer"
means a location licensed by the Department to sell Lottery game tickets or
shares.
[230 ILCS 45/25-70]
"Lottery Sales
Representative" means a lottery employee responsible for servicing lottery
retailers' needs in a particular geographical region or territory, or by a
specific classification of retailer.
"Lump Sum" or "Cash
Equivalent Option" means a single prize payment, as opposed to an
annuitized payment.
"Lottery Vendor" or
"Vendor" means any person or company who submits a bid, proposal or
offer and is awarded a contract to provide goods or services to the Lottery.
"Multi-Jurisdiction
Lottery" means lottery games that are offered in more than one
jurisdiction, including Powerball and Mega Millions, allowing lotteries to
generate larger jackpots than they could individually. Jackpots may be paid in
lump sums or annuities.
"Multi-State Lottery
Association" or "MUSL" means a non-profit, government-benefit
association that assists its member lotteries in multi-jurisdictional game
development. Each MUSL member, and non-members who sell MUSL games via a
cross-sell agreement, offers one or more of the games administered by the
association, but retains its independent statutory duties regarding ticket
sales, retailer authorization, prize payments, income offsets, and other
responsibilities.
"Multiplier" means an
extra number drawn to increase the payout if the wager is a winner. The drawn
number (Y) will multiply the player's prize (X) by that drawn (Y) value. A
multiplier option usually requires an additional wager amount
tion, but retains its independent statutory duties regarding ticket
sales, retailer authorization, prize payments, income offsets, and other
responsibilities.
"Multiplier" means an
extra number drawn to increase the payout if the wager is a winner. The drawn
number (Y) will multiply the player's prize (X) by that drawn (Y) value. A
multiplier option usually requires an additional wager amount.
"Net Proceeds" means all
revenue derived from the sale of Lottery game tickets or shares, all other
monies derived from the Lottery games, and all other monies derived in the
operations of the Lottery, less the amounts expended for prizes, retailer fees,
and other operating costs as determined by Generally Accepted Accounting
Principles issued by the Government Accounting Standards Board and the
Financial Accounting Standards Board.
"North American Association
of State and Provincial Lotteries" or "NASPL" means the
non-profit professional association formed to assemble and disseminate
information and benefits of state and provincial lottery organizations through
education and communications and where appropriate publicly advocate the
positions of the Association on matters of general policy.  NASPL represents
government-sanctioned lotteries in the United States, Canada, Virgin Islands
and Puerto Rico.
"On-line Status"
means the ability of an Agent to sell computer-generated Lottery game tickets
or shares for the Lottery's draw-based games through a terminal connected to the
Department's central gaming system.
"Operating
Expenses" means all costs of doing business including, but not limited to,
prizes, commissions, bonuses, and other compensation paid to an agent;
advertising and marketing costs; rental fees; personnel costs; capital costs;
depreciation of property and equipment; funds for compulsive gambling education
and treatments; amounts held in or paid from a fidelity fund; and other
operating costs
ng
Expenses" means all costs of doing business including, but not limited to,
prizes, commissions, bonuses, and other compensation paid to an agent;
advertising and marketing costs; rental fees; personnel costs; capital costs;
depreciation of property and equipment; funds for compulsive gambling education
and treatments; amounts held in or paid from a fidelity fund; and other
operating costs.
"Payout"
means the money or cash prize that a player wins for matching a certain
combination of numbers.
"Person",
when used in reference to an Agent's license, shall be construed to mean and
include an individual, association, partnership, corporation, limited liability
company or partnership, club, trust, estate, society, company, joint stock
company, receiver, trustee, referee, or any other person acting in a fiduciary
or representative capacity, who is appointed by a court, or any other
combination of individuals.  "Person" includes any department,
commission, agency or instrumentality of the State, including the Department,
and also including any county, city, village, or township and any agency and
instrumentality of this State.
"Player",
when used in the context of a purchase of a Lottery game ticket or of a prize
claim, means:
an individual;
a group of individuals;
a partnership or club;
a revocable living trust;
an irrevocable
trust, if the trust agreement was executed prior to the date the prize was won;
an irrevocable
trust, if the trust agreement was executed prior to the date the prize was won,
and provided all beneficiaries are named in the trust;
an estate;
a governmental
entity other than the Department; or
the following additional types of entities:
a limited
partnership;
a corporation;
a limited
liability company; or
a charitable
organization.
Prize claims
by any such "players" are subject to eligibility requirements set
forth in the Lottery Law, this Part, or game rules
won,
and provided all beneficiaries are named in the trust;
an estate;
a governmental
entity other than the Department; or
the following additional types of entities:
a limited
partnership;
a corporation;
a limited
liability company; or
a charitable
organization.
Prize claims
by any such "players" are subject to eligibility requirements set
forth in the Lottery Law, this Part, or game rules.
"Point of
Sale" means the physical location where an Agent is licensed to conduct
the sale of Lottery game tickets to the public.
"Private
Manager" means the company, and any permitted successor company, awarded a
contract to provide business management services, including but not limited to
the operation of sales, advertising, marketing, retail agent services and
system support functions to the Illinois Lottery in accordance with the Lottery
Law.
"Prize"
means any award, financial or otherwise, awarded to a Lottery game ticket
holder pursuant to the rules of the Lottery. In determining whether a winning Lottery
Game Ticket may be redeemed for cash through a Lottery retailer or at a prize
center, or must be presented to a Department office for payment, and whether a
prize may be claimed in a group name or must be claimed by an individual group
member, the Department will adhere to 26 U.S.C. 165(d) and deduct the amount of
the wager from the face value of the prize.
"Prize Center" means a
Lottery office or other authorized location where:
Winning Lottery game tickets with
a face value up to $25,000 may be redeemed pursuant to Section 20.1 of the Lottery
Law; or
Larger prizes, or those subject to
withholding or investigation, may be claimed.
"Redeem"
(and its variants) means to surrender a valid winning Illinois Lottery game ticket
to a Lottery retailer for immediate cash payment of the prize, or to a Lottery
prize center for payment by check, prepaid debit card, electronic funds
transfer, automated clearing house, or other means in accordance with Section
1770.190
r those subject to
withholding or investigation, may be claimed.
"Redeem"
(and its variants) means to surrender a valid winning Illinois Lottery game ticket
to a Lottery retailer for immediate cash payment of the prize, or to a Lottery
prize center for payment by check, prepaid debit card, electronic funds
transfer, automated clearing house, or other means in accordance with Section
1770.190.
"Registered
Internet Lottery Player" means an individual who has successfully
established an internet Lottery player account after registering through the
Lottery's web portal establishing the requisite age, location and other eligibility
requirements.
"Related Terminal"
means any player activated machine or any Agent operated terminal in which another
Agent has an interest.
"Requests
for Proposals" or "RFP" means a formal, public notice by an
organization inviting vendors to submit ideas, concepts and costs related to a
specific end.
"Secretary"
means the Secretary of the Lottery Control Board.
"Service" means the
mailing of any notice required by the Lottery Law or this Part by certified
mail or electronic means, return receipt requested.  Service by mail shall be
deemed complete four days after mailing of the document, properly addressed and
posted for delivery, to the person to be served.  Service shall be deemed
complete if the notice is returned undelivered or unclaimed when mailed,
postage prepaid, to the intended recipient's last known address as disclosed in
the Department's records, or if 30 days have elapsed from the date of mailing,
to that address with no return of the item.  Service by electronic means is
complete on the day of transmission or, if after 5:00 p.m., the next business
day. If service is by email, the Department shall maintain a copy of the sent
email and shall verify, within one business day, that the transmission of the
email has not been rejected or has failed
days have elapsed from the date of mailing,
to that address with no return of the item.  Service by electronic means is
complete on the day of transmission or, if after 5:00 p.m., the next business
day. If service is by email, the Department shall maintain a copy of the sent
email and shall verify, within one business day, that the transmission of the
email has not been rejected or has failed. In the event of rejection or
failure, absent correction of an erroneous email address, service shall be made
by mail.
"Special
License" means a license issued by the Director limited in geographic
scope and/or duration of validity (see Section 1770.30).
"State
Lottery Fund" means the special fund, created in the State Treasury by
Section 20 of the Lottery Law, in which all revenues received by the Lottery,
as defined and limited by Section 20 of the Lottery Law, are deposited.
"Subscription"
means a paid-in-advance program in which a player purchases a specified number
of Lottery tickets to be drawn over a specified time period. Subscriptions may
be offered to players in several ways, including via the internet where allowed
by the Lottery Law.
"Surety
Bond" means a promise to be liable for the debt, default, or failure of
another. It is a three-party agreement that legally binds the agent or vendor
who needs a bond; the Lottery, which requires the bond as proof of financial
responsibility; and a surety company that guarantees the performance or
obligations of the agent or vendor to the Lottery.
"Sweep
Account" means a banking account which allows the Lottery to credit or debit
funds to a retailer through EFT.
"Sweepstakes"
means a game in which prizes are awarded to a specified number of entrants
drawn from a pool.
"Ticket Discounting"
means reselling or having a person other than the prize winner claim a winning Lottery
game ticket or buying or claiming a winning Lottery game ticket for the purpose
of assisting the original prize winner with concealing the winner's identity as
a prize winner
FT.
"Sweepstakes"
means a game in which prizes are awarded to a specified number of entrants
drawn from a pool.
"Ticket Discounting"
means reselling or having a person other than the prize winner claim a winning Lottery
game ticket or buying or claiming a winning Lottery game ticket for the purpose
of assisting the original prize winner with concealing the winner's identity as
a prize winner.
"Ticket Symbol" means
the printed data in the play area on the front of an instant game ticket that
is used, among other things, to determine eligibility for prizes pursuant to
the working papers/games specifications for each game.
"Transfer"
means the change, in the aggregate, directly or indirectly, of the equity,
management control, legal ownership, or shares of stock of the Agent.
"Trust
Account" means a bank account designated and dedicated by an Agent for the
receipt of Lottery proceeds.
"Tradestyle"
means a Lottery retailer category based on similarities in operation, organization,
or business model, as determined by the Director.
"Validation
Number" means a unique set of identification numbers on draw-based and instant
game tickets that is matched with internal databases in order to determine the
winning or non-winning status of the ticket, as well as the prize amount.
"Withholding" means the
amounts required by law to be subtracted from a winner's prize to recover money
owed by the winner to others for obligations that include but are not limited
to State, federal, and in some cases local taxes; judgment creditors; or child
support obligations.

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_IL_IAC_T11_P1770_S1770_10. Check the current official text before relying on it. Not legal advice.