HomeMy WebLinkAbout2023-4167Retailer Number
106732
frl I tl N EsoTA
LOTTERY
MINNESOTA STATE LOTTERY
RETAILER CONTRACT
THls AGREEMENT is entered rnto this 15'h day of Jury, 2023, by and between the
MINNESoTA srATE LorrERy (hereinafter referred to as the 'MSL" or the -Lottery,') and.
TOP VALU, a Corporation, whose business address ts
4950 CENTRAL AVE NE. coLUMBtA HE|GHTS. MN 55421 (hereinafter referred to as the
''Retailer" ).
ln signing thls agreement, the parties acknowledge that they have read and understood the
terms of this Contract and agree to be bound thereby.
THE MI OTA ST TTERY TOP VALU
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By
Title:
Date:
I iillcn Sre|.llur(
By
Lottery Director InLerim C-i L y l4anage r
July 15, 2023
1 Oefinitions
a 'Accountrng Week' - The start of busrness on Tuesday through lhe end of bustness on the subsequentMonday
b -Buslness Locatron'- The site. as descflbed by lhe address stated rn thrs Contract where the Retarler !sauthonzed to selt Lottery Trcketsc -Contract" - Thls agreement between the Retarler and lhe MSL authonzrng the Retarler to selt LotteryTrckets
d 'Drrector- - The Director of the Mrnnesota State Lottery or lhe Drrector's desrgneee 'Lottery Games" - Lotto Games and Scralch Gamesf -Lottery Tickets- - Lotto Game Trckels and Scratch Game Trcketsg 'MSL" - The Mrnnesota Lotteryh "Lotto Game" - A lottery game sord lo the pubrrc through the use ot a Lotto Game TermrnarI -Lotto Game Terminal" - A lermrnal rnstalled by the MSL at the Ret3rler's Eusrness Locatron that rs
connected to a MSL system for the purpose of selftng and redeemrng Lotto Game Trckets and Scralch
Game Tickets
, 'Lotto Game Trcket" - A trcket purchased for partrcrpatron In a Lotto Gamek. "Retarler" - The busrness authorized by the MSL to sell Lottery Trckets| "Scratch Game" - A lottery game sold to lhe public on pre-pflnted trckets containrng play data under a latex
coalrng
m. "scratch Game Trcket" A pre-printed trcket purchased for particrpation in a scratch Game
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Title:
Date
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Contract #2023-4167
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Scope of the Contract; Term
Thrs Contract authorrzes lhe Retarler to sell Lottery Trckets for the MSL accordrng to the terms of thrs ContractThe Retarler agrees to only sell Lonery Tickets at the Retarler's Business Location Thrs Contract is sublect tothe terms and provrsrons of Mrnnesola Statutes. chapter 3494 Mrnnesota Rules. chapter zeSO. inJ ttre gameprocedures adopted by the Drrector for each Lottery Game and the Retarler agrees to comply and be bound byany applrcable law rule rnstruclron and order rssued by the Lottery Thrs Contract rs effectrvl on the date rt rsfinally executed by both parties and shall remarn rn efiect for one year. from Juty t S. ZOZ3 unirt mrOnignt onJvly 14 2Q21 unless canceled or suspended by erther party Thrs Conract rs not assrgnable or transierable toany person or entrty nor is rt transferable to any locatron The Retailer shall not conducl any busrness or holdltself out as a Lottery Retarler unle55 3 1.g6syr31 Contract has be€n trmely granted
Sale and Redemption of Lottery Ticketsa The Retarler musl ofler for sale all Lotto Garnes offered by the MSL and must offer for sale a mrnrmum
number of Scratch Games set by the MSLb The Retarler may nol sell Lottery Trckets to any person undertheageof lSyears or rede€m apr,zelot ap€rson under the age of 18 yea!'sc The Relarler must promrnently drsplay the mosl current odds Fosters tor Lottery Games suppt€d by the
MSL
d The Retarler must drsplay lhe problern gambhng helplrne strcker supplied by the MSL at or near the pornt
where Lottery T,ckets a.e solde The Relarler must drsplay at rts Busrness Locatron the cenficate to sell Lottery Ttckets rssued by lhe MSLf The Retarler n]usl mouol a decal provrded by lhe MSL rn a promtnent place near the entrance to tts
Busrness Locationg The Retarler must sell Lottery Trckels only for corn currency money orders. debiucheck cards or checksh The Retailer must only sell Lotlery Trckels at a pnce set by the Oirector pursuant to the game procedures
adopted for each Lottery GameI The Retarler must not condrlron the sale of Loltery T,ckets oo the purchase of any other rtem or servGe or
impose any slmilar restriction upon the sale of a Loltery Trcket
J The Retarler must make the purchase of Lottery Trckets convenrent and readily accessible to the public
and make Lollery Trckels available for purchase during normat business hoursk The Retarler must begrn the sale ol Scratch Game Tickets on the date set by the MSL for each Scratch
Game and must cease selllng Scratch Game Trckets for a particular Scratch Game on the date set by the
MSLI The Retarler must valrdale and pay all pnzes from wrnnrng Lottery Tickets up to 5600. conststent wrth the
Retarler's normal busrness hours and cash on hand polrcres or as agreed lo between the MSL and the
Retarler The Retarler rnay be responsrble for redeemed Lottery Tickets that are not valadated praor to
payment lo a player
m The Relarler must seltle packs ol Scratch Game Trckets to aclrvate brl|ng accordrng to procedures
established by the MSLn The Retarler acknowledges thal funds recerved from the sale of Lottery Tckets conshtute a trust fund unhl
pard to the MSL and that the Retarler rs personally lrabte for those fundso The Retarler musl marntarn a bank account for payment of proceeds lo the MSLp The Retarler must deposrt rn rts desrgnated bank account all funds due lhe MSL from the previous
Accountrng Week pnor lo the Thursday followrng the end of the accountrng week The amount due to the
MSL wrll be electronrcally taken from thrs bank account by the MSL each Thursdayq Fatlure to trmely pay the MSL all amount due from a pa(rcular Accountrng Week may subJect lhe Retarter
lo a penalty of S20 and Interesl as designated by rule The Retailer agrees that rt may be habte for costs
rncurred by the MSL to collect any amount due to the MSL under this Contract. inctudrng attorney,s fees
Compensation/Payments to Retailers
The MSL wrll pay lhe Relarler a commrssron of 5)ir,c for lotto sold by the Retarler. a 606 commrssron for eachpack of scratch trckels sold by the Retarler and pay the Retarler a commissto of 1'/2o/o of the value of Lottery
Tlckels redeemed and vahdaled by the Retarler The MSL wrll rermburse the Retarler for all pflzes paid by the
Retarler accordrng to the procedures establrshed by the MSL
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{rarketing Requirements
The Retarler aqrees to comply wrlh all MSL marketrng requrrernents and to drsplay MSL provtded point-of-purchase materrals and srgnage rn a promrnent area of rts Busrness Locatlon accordrng to rnstructions rssued
by the MSL Retaller agrees to utrllze Scratch trcket drspensers (rncludrng any in-counLr drspensers) provrded
by the MSL rn lhe manner prescrrbed by the MSL The Retarler agrees to abrde by alt promotronal gurdehnes
adopted by the MSL
Security Deposit
The MSL may requrre the Retarler to marnlarn a securrly deposrl rn the amount set by lhe Drrector if theRelarler does nol have a favorable credrt hrslory. has rep€ated accounting problems and/or NSF's. or has nocredrt hrstory The securrty depos( must be rn a form as set out rn Mrnneiota Statutes section 349A.06,
subdrvrs|on 3
Minimum Sales
The MSL has the nqht to set a mrnrmum sales level for a Retarler lf the MSL sets a mrnrmum sales level for aretailer, the Retailer must maintarn that sales level rn order to remain a Lottery Retailer
Property Provided by MSL
All prspgrly provrded to lhe Retarler by lhe MSL or a vendor under Conlract with the MSL rs and shafi remarnthe property of the MSL or rls vendofs The MSL or (s vendors shall have the nght to enter the propeny of theRerailer durng regular business hours to rnsral and remove any and alr such prJperty at any trme The
Retarler agrees nor to rerocate reparr or modrfy any property of the MSL or its vendors w,rhlur rhe pnor
written agreement of the MSL. The MSL wrll provrde the Retarler w(h drspensers lo be utrlrzed to sell ScratchGame Tickets and a Lotto Game Termtnal The Retailer must provrde suflicient counter space for the LottoTerminal and Scratch Game Ticket drspensers The Retarler musl provid€ appropriate electrrcat utilities forMSL provided equlpment. Upon exprratron of lhis Contract. the Retatler shall return or allow MSL employeesor vendors to remove all MSL property
Responsibility for Tickets
The Retailer agrees that all Scralch Game Trckets accepted from the MSL or rts drstnbutor are deemed tohave been purchased by the Retarter at the pr,ce estabhshed by the MSL tess appropflate Retarlercommrsslon unless lhe unsold trckels are relurned to the MSL accordrng to procedures establshed by theMSL The Retarler agrees that all Lotto Game Tickels issued by the Rel,arler's Lotto Game Terminal a'redeemed to have been purchased by the Retailer unless canceled as authorEed by the MSt game proceouresThe Retailer will exercise drlgence rn the storage of Lotto Game Ticket stock and io provrde [hysrcal securrlyand control ol the Lotto Game Trckel slock The Retailer agrees not to borrow or tend Lotto 6ame Ticket slockor Scralch Game Trckets to/or from another Retarter or locatron The Retarter rs responsrble f;; lo; sioren. o|.mrssrng Lottery Trckets
Audit of Retailors
The Relatler must marntarn currenl and accurate records of alt lottery transactlons and make them avarlable forrnspe_ctron or audrt by employees of the MSL and to employees of the Department of pubhc Safety, Alcoholand Gambhng Enforcement Dtvrsron The Drrector may select an audrtor lo perform the aud,t and ihe Retartermay be required to pay the costs of the audrt
Cancellation, Suspension and Refusal to Renew ContractA Thrs Contract may be canceled by the Relarler at any trme upon notce to the MSLB The Drrector must cancel thrs Conlracl or prohrbrt the sale of Lottery Trckets if the Retarler hasa) been convrcted of a felony gross mrsdemeanor or a gambhng related offense:b) a person that owns more lhan Sori, of the Retarler. or an officer or dtrector of the Retarler that has beenconvrcted of a felony, gross mrsdemeanor. or gamblrng related offense:c) committed fraud. misrepresentatron. or deceit:d) provrded false or misleadrng rnformatron to the MSL.e) acted rn a manner prejudrcial to the pubtic confidence rn the rntegr(y of the MSLf) owes 5500 or more rn deltnquent laxes to the State of Mrnnesota org) been conduchng business solely to selt Lottery Trckets
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C The Drrector may cancel suspend or non-renew lhrs Contract. or prohrbrt the sate of Lottery Trckeis d tng'
Retarler has
a) ceased conductrng busrness at the Busrness Locatlonlb) failed to comply wrth any provrsion of thrs Contraclc) failed to accurately account for the proceeds trom the sate of Lottery Trcketsd) farled to rem( to the MSL on a trmely basrs the proceeds from the sate of Lottery T€kets.e) failed to account for Lottery Trckets recetved from lhe MSL.
f ) acted ln a manner such that the Relarler's partrcipatjon as a Retatler is tnconsrstent with the publtc
rnterest. conventence and necessity:
9) expenenced a malenal change in any faclor constdered by the Dtrector rn enleflng into this Contract.h) farled to marntarn a security deposrt as requrred by the MSL.r) failed to marntatn a mrnrmum level of Lottery Trcket sales as set by the MSLl) retarned an employee tnvolved in the sale of Lottery Trckets who has been conyrcled of a gambtrng-
related offense or a cflme rnvolvtng moral turpttudek) bartered. furnrshed. or gtven alcoholc beverages to a p€rson under 21 years of age rn violation of
Minnesota law. two or more trmes wrthrn a two-year peflod.l) experrenced a change so that it no longer has the frnancral stabilaty or responsibrhty to act as a
Retarler.
m) expeflenced a substantral change rn ownershtp.n) commatted an act which rmparrs the Retailer's reputation for honesty and integrity:o) sold Lotlery Trckets lo a person that the Retarler knows or has reason to know wrtl re-sell the Lottery
Trckets to anolher person
p) conducled rllegal gambhng at the Busrness Locatron or has allowed rllegal gamb|ng to be conducted
by others at the Busrness Locahonq) vrolated a p.ovrsron of Mrnnesota Statutes. chapter 3494 or Mrnnesota Rules. chapter 7856. game
procedures order or drrecllve rssued by the Drrector. orr) expenenced any materral change rn any of the qualficatrons for a Retarler under Minnesota Statutes.
sectron 3494 06. subdrvrsron 2 or Mrnnesota Rules part 7856.2020D The Dtrector may temporaflly suspend thrs Contract or prohrb the sale of Lottery Trckels at the Busrness
Locatron w(hout p.ror notrce to the Retailer for any reason speofied rn thrs Contract. provided thal
pursuant to Mrnnesota Statutes sectron 349A 06. subdivisron 1 1(e). a heanng is conducted withrn seven
days after a request for a heanng rs made by the RetailerE The cancellatron suspensron. or non-renewal of thrs Contract or the prohrbrtron ot lhe sale of Lottery
TEkels is a contested case under the Admrnrstratrve Procedures Act (Mrnnesota statutes. chapter 14)
Liability and lndemnification
The Retailer agrees that rn rts capacrty as a contractor to sell Lottery Trckets the Retarler rs not acttng on
behalt ol the MSL or the State of Mrnnesota as an ag€nt. offrcer. or employee. but rs actrng rn the capacrty of
an rndependent contractor The Retarler agrees to release. rndemnfy and hold harmless the MSL and the
State of Mrnnesota. rts offtcers drrectors employees and agents from and agatnst any and all loss. clarms
damages. expenses and costs (rncludrng attorney fees) ansrng out of or resultlng from any and all acts or
omrssrons of the Retarler rts owners employees or egenls artsrng in the connection wtth conducttng the sale
of Lottery Trckets The Retarler further agrees that any contractual or tortuous liabrlity rncurred by the Retaiter
rn connect,on wrtF the sale of Lottery Trckets shall be the Retarler's sole responstbrlrty
Miscellaneous
The Retarler agrees that rf they farl to comply with any term of thrs Contract. the Lottery may temporanly stop
delrvery of addrtronal Scratch Game Trckets and prohrbrt the use of the Retarler's Lotto Game Terminat and
pursue any other appropnate remedy to protect tts tnterests and property
Applicable Law and Venue
Thrs Contract and all matters relaled to ,t shall be governed by and rnterpreted by the taws of the State of
Mrnnesola Any matter ansrng under thrs Contract shall be brought rn a courl of competent ,unsdictton tn
Ramsey County M,nnesota
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MIN N ESOTA
LOTT E RY
t
Dear Retailer:
Your annual renewal application to sell lottery tickets has been approved and we have
enclosed your copy of the new contract. The $20 annual renewal fee has been charged
to your EFT bank account.
Lottery retailers must have a Lottery Certificate posted in an area visible to your
customers. lf you need a new certificate, or if you have any questions, please call
Retailer Contracts at (651 ) 635-81 1 I or toll free at 1-888-LOTTERY (1 -888-568-8379)
ext. Bl 19.
Sarah Mrozek
Retailer Contracts
Enc:
Sincerely,
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