Tuesday, July 15, 2014

The Skinny on Dipping

What is a dip?
A dip is a raffle in which a person pays $1 (or any amount of money) to purchase a discount to a WAHM’s store and for every discount purchased, they receive an entry to win an item. In reality, it is really just paying $1 to enter to win a prize. It is a great way for a WAHM to make a lot of money quickly and an awesome way for someone to win a product for only $1, however, that brings me to the next question.

Is it legal?
No it is not legal. In the United States all fifty states have statutes that PROHIBIT illegal lotteries/raffles that are FOR profit. For your promotion to be legal, at least ONE of the following three “elements of a lottery” needs to be REMOVED:
1. Prize (having a prize)
2. Chance (drawing a winner randomly)
3. Consideration (Money, time, or something a person gives up to enter to win)
{Example: Contests are legal because #2 (Chance) is removed. Contestants can pay to enter a contest because the winner is not being drawn by chance, but skill. Giveaways are legal because #3 is removed. You do not pay or have to purchase anything to enter into a giveaway. Raffles are illegal because it contains all three elements. Most states allow raffles to be conducted for nonprofit or charitable purposes, but most states require a license to be purchased.}

"State law governs most forms of gambling, including raffles. Some states allow nonprofit organizations to raise money by selling raffle tickets, but no state allows individuals or for-profit groups to conduct raffles." http://www.ehow.com/facts_5751573_selling-raffle-tickets-profit-legal_.html

"if a contest or sweepstakes is not run correctly, it could be considered a lottery. Lotteries, unless state-run, are illegal in every state and could subject your business to civil and criminal penalties and fines." 
http://www.ohiostartuplaw.com/is-your-business-running-an-illegal-lottery/

Dips are illegal because even though the person is technically purchasing a discount and receiving an entry into a “giveaway”, all three elements are still there. There is still a prize, there is still a chance of winning, and there is still consideration present.

In order for a Dip to be legal, there has to be free entries allowed. By allowing free entries, you cannot limit the amount of free entries unless you limit the amount of “paid” entries. Free entries HAVE to be EQUAL to the paid entries. In other words, the entrant has to have the same odds of winning whether they paid to enter or not. Also when I say “paid to enter”, I don’t really mean you can straight out purchase a raffle ticket. By altering a dip to be this way, you are turning the dip into a sweepstakes, which has a whole nother’ ball park of rules and regulations.

The safest promotion to use to promote a business is just a plain giveaway in which people enter for free and someone is randomly picked to win the prize.

I also have to mention that when a raffle/sweepstakes/giveaway is done online, the promotion has to comply with the regulations of every jurisdiction in which the participants enter. So if the promotion is open to the United States, the rules for every state in which an entrant enters applies. A blanket statement like “void where prohibited by law” can help the person running the promotion.

Here is a great article if you would like to learn more, I will also link a bunch more articles at the end: http://www.jonesday.com/files/Publication/69ea168c-4173-4321-9fa5-d4b8bb86ae1c/Presentation/PublicationAttachment/b9a311c5-f53d-4a89-97fc-d85993081c2e/Bennet.PDF

Paypal does not allow raffles either. Under their Acceptable Use Policy, PayPal may not be used to send or receive payments for activities that involve an entry fee and a prize, such as raffles, drawings or lotteries. Due to applicable laws and industry regulations, they do not offer approval for these types of transactions. Paypal will close your account and ban you from their services if you are caught using their service for these things. Paypal's acceptable use policy: https://cms.paypal.com/us/cgi-bin/?cmd=_render-content&content_ID=ua/AcceptableUse_full&locale.x=en_US

About "Draw to Purchase"
What is it?
It is when an item is posted, but the seller wants to give everyone a fair chance of being able to purchase an item, so everyone interested in buying said item will say they are interested and then a random drawing takes place and the winner wins the right to purchase the item. It’s like drawing names from a hat.

Is it legal?
Yes! It contains #2 Chance and #3 Consideration. It does not include #1 Prize, but instead the right to purchase an item. With that being said, if it is labeled as a “giveaway”, it can become illegal. The definition of the word giveaway is “a thing that is given free, especially for promotional purposes”. When it is a “giveaway to purchase” it then includes #1 Prize, because in a giveaway the winner receives a prize.  So if someone enters, they may be expecting to win something, not pay for it. It is just best to watch how things are labeled to avoid confusion.

Links to learn more:



http://www.nals.org/?p=1340 (pertaining to fundraising raffles)

http://www.rafflefaq.com/united-states-raffle-laws/ (pertaining to fundraising raffles)


https://www.khlaw.com/3155  (Structuring Online Sweepstakes and Contests: New Challenges for Marketers)






Meet the Hybrid Fitted: A guide to know what you are buying and what to expect

When you first started cloth diapering you were probably told about Bum Genius diapers, which are pocket diapers or all-in-ones, but did anyone tell you about hybrid fitteds? The hybrid fitted is probably the most popular WAHM (work-at-home-mom) diaper among cloth diaper enthusiasts, but what exactly is a hybrid fitted and why are they so popular? 

A hybrid fitted is an adaption from a regular fitted to allow a fitted diaper to be used for extended periods of time without a cover. With a regular fitted, liquid doesn't know where to go. It will travel around and spread throughout the whole diaper until the diaper is fully saturated, inside and out. With a hybrid fitted, there is a hidden layer of polyester fleece that will push and repel the liquid back towards the super absorbent insert instead of allowing liquid to pass to the outside of the diaper. Although hybrid fitted diapers are not waterproof, they are water-resistant and can be worn for 3+ hours (a diaper change) without feeling wet on the outside. They are excellent as nighttime diapers for moderate to heavy wetters when paired with a cover. If your child is a super heavy wetter, a true fitted diaper may be a better option (paired with a cover of course). 

Many parents have also seen a reduction in rashes when using hybrid fitteds. This statement hasn't been researched a ton or evaluated by the FDA, but it makes sense. PUL is breathable, but it isn't nearly as breathable as fleece and some babies need that air circulation to keep their booty dry and not sweating in a waterproof material. With hybrid fitteds, I also find it easier to know when to change baby. Lets face it, it is hard to know when a cloth diapered baby is wet. There's no blue chemical line that appears like in Pamper's diapers. Sometimes you just have to keep an eye on the clock, but with hybrid fitteds the first place to feel damp is near the legs. This is an eco-friendly "blue line" to tell you that you need to change your baby! Changing a baby when they first urinate is also an excellent way to help prevent rashes!

This brings me to another topic, what materials are typically used in a hybrid fitted? 
Well here you go! ;)
Outer: Decorative KNIT fabric (woven fabric can be used, but isn't as popular because it changes the fit of the diaper)
Hidden: Polyester Fleece 
Inner: Cotton Velour
Insert: Usually a blend of one or two of the following: cotton/hemp/bamboo (viscose or rayon) topped with cotton velour.




This style of diaper is also popular among cloth diaper makers (I know that my favorite diapers to make are hybrid fitteds :) Nothing can beat all the cute fabric options!) because it allows many different cute prints to be used for the outside of the diaper shell without the worry of wicking.  When a waterproof diaper (like a pocket diaper, Ai2, AiO, etc) contains a hidden layer of PUL and a natural fiber fabric outer, there is a chance for wicking to happen much sooner than in a hybrid fitted causing the whole outside of the diaper to be wet. Hybrid fitteds generally contain more absorbent material than other typical waterproof diapers and when liquid travels outside of a hidden PUL diaper, there is no way for the liquid to be absorbed back into the diaper like with a hybrid fitted, since PUL is completely waterproof. 

With all this said, I have to mention that NOT ALL HYBRID FITTEDS ARE CREATED EQUAL
I am serious when I say this. If you have tried a hybrid fitted and hated them and had a bunch of leaking problems, you may have bought a lesser quality diaper that contained poor quality fleece. FLEECE IS WHAT MAKES A HYBRID FITTED A HYBRID FITTED. If a diaper manufacturer (aka WAHM) is using low grade polyester fleece, the fleece may be ABSORBING instead of REPELLING like it is supposed to. If your diaper is feeling sopping wet on the outside, this is probably the case. Recently, Joann's Fabric Store changed their fleece manufacturer and they now carry low grade fleece that is absorbing instead of repelling. This makes for a horrible hybrid fitted. Before purchasing a hybrid fitted I would ask what type of fleece they use. The best quality fleeces (for hybrid fitteds) that can be bought are Polartec Classic 200 and Polartec Windpro Fleece created by Malden Mills Textiles and Winterfleece created by Baum Textiles. These fleeces are high quality and are proven to repel water extremely well. Be careful though, many cheap fleece manufacturers try to confuse people into buying their products and will name their fleeces "Wind Pro" or "Polar tec" or "Winter Fleece". These are not the same quality fleeces as those made by Baum Textiles and Malden Mills Textiles. 

Not all cotton velour is created equal either. One of the best cotton velours you can get is referred to as "juicy" cotton velour. It is a thicker and softer fabric that allows for more wear and more absorption. There is organic cotton velour available as well, but it is double the cost of juicy cotton velour. 

Insert material is also not created equal. Here is a quick run down of the two popular fabrics:
Organic Bamboo Fleece comes in different absorption's, 300 gsm (OBF), 400 gsm (HOBF), and 500 gsm (SHOBF). SHOBF is the most absorbent, but it tends to get stiff when wet. Bamboo Fleece is the most popular in the WAHM world, but many people don't know that Bamboo is not Eco Friendly. It is so processed that it isn't really even bamboo anymore. It is either viscose or rayon from bamboo. Yes, it is referred to "organic" bamboo fleece, but the "organic" part is referring to the cotton contained in the Bamboo Fleece.
Hemp Fleece usually comes in an absorption around 400 gsm. Hemp is VERY sustainable and environmentally friendly. It absorbs so well that stink may become an issue if not washed properly. Hemp requires a lot of water (in the form of rinses or soaks) to come clean. It absorbs so well that it can lock in the stink. If this happens, it just means that it needs to be soaked in water and rinsed a few times so the water can penetrate the fabric deeply and remove the stink. Hemp also tends to be stiffer, but when topped with a soft fabric like cotton velour, it is hardly noticeable. 

Now that you have read this I hope you have a better understanding of what a hybrid fitted is. Here is a quick summery (picture) of the topics discussed. I hope you enjoy your hybrid fitteds as much as I do! :)