Lottery validation and payment method

Abstract

This invention is directed to lottery validation and payment method, particularly intended for State lotteries, which accommodates promotional tickets, online tickets and instant tickets with improved functionality and capability.

1 . A method of validating a lottery ticket, comprising:
 (a) identifying a player seeking to redeem at least one lottery ticket;   (b) submitting the at least one lottery ticket to a lottery server or to a gaming vendor server dependent on the type of the at least one lottery ticket;   (c) creating a claim in the event the at least one lottery ticket is a winning ticket;   (d) applying business rules to determine if the claim for the winning ticket can be paid.   
     
     
         2 . The method of  claim 1  in which step (a) comprises communicating player information to the lottery server including any one or more of social security number, last name, first name, middle name, organization name, date-of-birth, address, postal code and player identification number. 
     
     
         3 . The method of  claim 2  in which step (a) includes conducting a search in the lottery server to determine the existence of a duplicate social security number in the event a social security number is the player information communicated to identify the player seeking to redeem a lottery ticket. 
     
     
         4 . The method of  claim 1  in which step (a) comprises locating a pre-existing player record stored in the lottery server. 
     
     
         5 . The method of  claim 1  in which step (a) comprises updating details of the pre-existing player record in real time. 
     
     
         6 . The method of  claim 1  in which step (a) comprises creating a new player record in the event player information for the player seeking to redeem at least one lottery ticket is not present in the lottery server. 
     
     
         7 . The method of  claim 6  in which step (a) includes creating a new player record by submitting the postal code of the player seeking to redeem a lottery ticket so that the player record is populated with the city, state and county of the player's residence. 
     
     
         8 . The method of  claim 1  in which step (b) includes determining if the at least one lottery ticket is an online ticket, an instant ticket or a promotional ticket. 
     
     
         9 . The method of  claim 8  in which step (b) includes submitting an online ticket or an instant ticket to the gaming vendor server. 
     
     
         10 . The method of  claim 8  in which step (b) includes submitting a promotional ticket to the lottery server. 
     
     
         11 . The method of  claim 8  in which the at least one lottery ticket includes any combination of one or more online tickets, instant tickets and promotional tickets, said step (b) including submitting the online tickets and instant tickets to the gaming vendor server and submitting the promotional tickets to the lottery server. 
     
     
         12 . The method of  claim 11  in which each of an online ticket, instant ticket and promotional ticket to be redeemed by the said player may be submitted to the lottery server or to the gaming vendor server by scanning a bar code on such tickets or by manually entering a ticket number present on such tickets. 
     
     
         13 . The method of  claim 8  in which step (b) includes conducting a search of the lottery server to if the ticket if from an instant lottery game that requires a pin number. 
     
     
         14 . The method of  claim 17  in which step (b) includes submitting from the same player, instant tickets that require a pin number and instant tickets that do not require a pin number. 
     
     
         15 . The method of  claim 1  in which step (d) includes applying claims created in step (c) to state-owed debts of the player. 
     
     
         16 . The method of  claim 1  in which step (d) includes determining if the at least one ticket is an online ticket, and, if so, comparing the stock number of the ticket with the stock number issued to the selling retailer. 
     
     
         17 . The method of  claim 1  in which step (d) includes applying business rules including one or more of determining if the prize redemption date of the at least one ticket the player seeks to redeem has expired, if the at least one lottery ticket requires a pin number, if the at least one ticket has been previously validated, if the prize amount is in excess of that permitted to be paid at the location where the at least one ticket is redeemed, if the player is not of minimum age, the residency of the player and if the player is responsible for State-owed debt, and, assigning an exception to the claim for each business rule that is violated. 
     
     
         18 . The method of  claim 1  in which the at least one lottery ticket comprises a number of lottery tickets. 
     
     
         19 . The method of  claim 18  further including the step of printing a report including a list of each of the lottery tickets which the player seeks to redeem, a list of the winning tickets of the player, a list of the non-winning tickets of the player, a list of claims of the player and a list of exceptions assigned to any one of the player's claims. 
     
     
         20 . A method of validating a promotional ticket, comprising:
 (a) identifying a player seeking to redeem at least one promotional ticket;   (b) submitting the at least one promotional ticket to a lottery server;   (c) creating a claim in the event the at least one promotional ticket is a winning ticket;   (d) applying business rules to determine if the claim for the winning ticket can be paid.   
     
     
         21 . The method of  claim 20  in which step (d) includes applying claims created in step (c) to state-owed debts of the player. 
     
     
         22 . The method of  claim 20  in which step (d) includes applying business rules including one or more of determining if the prize redemption date of the at least one ticket the player seeks to redeem has expired, if the at least one lottery ticket requires a pin number, if the at least one ticket has been previously validated, if the prize amount is in excess of that permitted to be paid at the location where the at least one ticket is redeemed, if the player is not of minimum age, the tax responsibility of the player and if the player is responsible for State-owed debt, and, assigning an exception to the claim for each business rule that is violated. 
     
     
         23 . The method of  claim 20  in which the at least one lottery ticket comprises a number of lottery tickets. 
     
     
         24 . The method of  claim 23  further including the step of printing a report including a list of each of the lottery tickets which the player seeks to redeem, a list of the winning tickets of the player, a list of the non-winning tickets of the player, a list of claims of the player and a list of exceptions assigned to any one of the player's claims. 
     
     
         25 . A method of validating a lottery ticket, comprising:
 (a) identifying a player seeking to redeem at least one lottery ticket;   (b) submitting the at least one lottery ticket to a lottery server or to a gaming vendor server dependent on the type of the at least one lottery ticket;   (c) creating a claim in the event the at least one lottery ticket is a winning ticket;   (d) applying the claim created in step (c) to the State-owed debt of the player.   
     
     
         26 . The method of  claim 25  in which step (d) includes determining that the amount of the claim exceeds a predetermined minimum. 
     
     
         27 . The method of  claim 25  in which step (d) includes comparing the identity of the player determined in step (a) to a listing of individuals provided to the lottery server by state agencies that are owed a debt. 
     
     
         28 . The method of  claim 27  in which step (d) includes reducing the amount of the claim by the amount of the debt owed by the player to the state or until the amount of the claim is depleted. 
     
     
         29 . The method of  claim 25  in which step (c) includes creating a separate claim for each winning ticket of the at least one lottery ticket, and step (d) includes applying all of the separate claims to the State-owed debt of the player. 
     
     
         30 . A method of validating a lottery ticket, comprising:
 (a) identifying a player seeking to redeem at least one lottery ticket;   (b) submitting the at least one lottery ticket to a lottery server or to a gaming vendor server dependent on the type of the at least one lottery ticket;   (c) creating a claim in the event the at least one lottery ticket is a winning ticket;   (d) applying business rules to determine if the claim for the winning ticket can be paid;   (e) assigning at least one exception to the claim in the event of a violation of any of the business rules;   (f) resolving the at least one exception before the claim is paid.   
     
     
         31 . The method of  claim 30  in which step (e) includes assigning multiple exceptions to the claim. 
     
     
         32 . The method of  claim 31  in which step (f) includes resolving all of the multiple exceptions before the claim is paid. 
     
     
         33 . The method of  claim 30  in which the at least one lottery ticket comprises a number of lottery tickets submitted by the player, step (e) including assigning one or more exceptions to one or more of the lottery tickets and no exceptions to one or more of the other lottery tickets. 
     
     
         34 . The method of  claim 33  in which step (e) includes approving for payment those lottery tickets with no exceptions independently of proceeding with step (f). 
     
     
         35 . The method of  claim 30  in which the at least one lottery ticket comprises a number of lottery tickets submitted by the player, wherein step (c) includes creating a claim for each of the lottery tickets determined to be a winning ticket, and step (e) includes assigning an exception to all of the claims created in step (c) in the event the player is determined to owe a State-owed debt following step (d). 
     
     
         36 . The method of  claim 35  in which step (f) includes applying the state-owed debt to all of the claims before all or part of any claim is paid to the player. 
     
     
         37 . A method of paying winning lottery tickets in a state lottery game, comprising:
 (a) identifying a claim created as a result of a validation process conducted on at least one winning lottery ticket by a server;   (b) identifying the type of player seeking to receive payment on the claim identified in step (a);   (c) determining adjustments to payment of the claim;   (d) applying payment rules to the claim;   (e) paying the claim.   
     
     
         38 . The method of  claim 37  in which step (b) includes identifying whether the player is an individual or a legal entity. 
     
     
         39 . The method of  claim 37  in which step (c) includes dividing the claim into multiple payments collectively equal in value to the amount of the claim. 
     
     
         40 . The method of  claim 37  in which step (c) includes dividing the claim into a payment of cash and a payment of new lottery tickets collectively equal in value to the amount of the claim. 
     
     
         41 . The method of  claim 37  in which step (c) includes selecting a method of payment of the claim including one or more of a wire transfer, a check, cash and new lottery tickets. 
     
     
         42 . The method of  claim 37  in which step (c) includes reducing payment of the claim by the amount of any federal income taxes applicable to the claim and any state-owed debt of the player. 
     
     
         43 . The method of  claim 37  in which step (d) includes preventing the same operator from creating the claim identified in step (a) and generating payment of the claim in step (f) in the event the claim exceeds a predetermined amount. 
     
     
         44 . The method of  claim 37  in which step (e) is performed at the headquarters and the district offices of a State lottery, and wherein step (d) includes restricting the form of payment of a claim and the amount of payment of a claim dependent on the location of payment. 
     
     
         45 . The method of  claim 37  in which step (e) includes generating a tax form for players that are United States residents. 
     
     
         46 . The method of  claim 37  in which step (e) includes generating a tax form for players that are residents of a foreign country. 
     
     
         47 . A method of paying winning lottery tickets, comprising:
 (a) identifying a claim created for each of a number of winning lottery tickets as a result of a validation process conducted by a server;   (b) identifying the type of player seeking to receive payment on the claims identified in step (a);   (c) determining adjustments to payment of the claims;   (d) applying payment rules to the claims;   (e) consolidating payment of the claims so that a single check, a single wire or a single cash amount is paid to the player for all of the claims.   
     
     
         48 . The method of  claim 47  further including the step of generating a payment report that identifies the player, provides an inventory of all of the lottery tickets and claims included in the validation process, provides an itemized explanation of claims that are taxable and claims that are not taxed, and, provides a listing of deductions for state-owed debt and the state agency that received payment. 
     
     
         49 . A method of detecting, collecting and remitting debts owed by players of a lottery game to agencies of the State in which the lottery game is operated, comprising:
 (a) identifying a player seeking to redeem at least one lottery ticket;   (b) submitting the at least one lottery ticket to a server for validation;   (c) creating a claim in the event the at least one lottery ticket is determined in step (b) to be a winning ticket;   (d) searching State-owed debt records maintained in the server that list individuals who owe money to one or more State agencies;   (e) determining if an individual listed on a state-owed debt record matches a player seeking payment of a claim;   (f) reducing the player's claim, in the event of a match, by the amount of the State-owed debt until the amount due is satisfied or until the claim is depleted;   (g) remitting the funds obtained in step (f) to one or more State agencies.   
     
     
         50 . The method of  claim 49  in which step (d) includes acceptance of a file from all State agencies submitting files for owed debts from individuals and importing the files to the server. 
     
     
         51 . The method of  claim 49  further including deducting federal income taxes from the claim prior to performing steps (f) and (g). 
     
     
         52 . A method of reporting the proceeds from a winning lottery ticket to a group of players that have agreed to share the prize winnings, comprising:
 (a) conducting a search for a claim assigned to a winning lottery ticket as a result of a ticket validation process conducted on a server;   (b) assigning an exception to the claim;   (c) processing a request for the distribution of the amount of the claim among the group of players which includes one winning player and one or more participating players;   (d) printing a tax form for the winning player and printing a tax form for each of the participating players;   (e) creating a report including the information from step (d) for submission to the Internal Revenue Service.   
     
     
         53 . The method of  claim 52  in which step (c) includes preventing payment of the claim prior to completion of step (d). 
     
     
         54 . The method of  claim 52  in which step (c) includes reporting the distribution of the payable amount of the claim in a lump sum or in installments equally among the winning player and the participating players. 
     
     
         55 . The method of  claim 52  in which step (c) includes reporting of the distribution of the tax responsibility of the claim payable in a lump sum or in installments in different amounts to the winning player and the participating players. 
     
     
         56 . The method of  claim 52  in which step (c) includes creating a record for the identification of the winning player and each of the participating players in the group, and editing such records in the event corrections are required to be made. 
     
     
         57 . The method of configuring a promotional lottery game on a lottery server, comprising:
 (a) selecting a game type from a list on the lottery server;   (b) assigning a beginning date, an ending date and an end redemption date to the promotional game;   (c) creating a prize structure for the promotional game including the designation of a payment method, the number of payments, a prize type, a prize amount and payment frequency;   (d) creating winning tickets for the promotional game including specifying a prize structure, a ticket number and a prize amount.   
     
     
         58 . The method of  claim 57  in which step (c) includes determining federal taxes to be paid by the operator of the promotional lottery game for prizes other than cash so that the value of the prize to the winning player is not reduced by the amount of the federal tax. 
     
     
         59 . The method of  claim 57  in which step (c) includes providing for the reduction of the amount of a cash prize by the amount of any State-owed debt of the winning player. 
     
     
         60 . The method of  claim 57  in which step (c) includes providing for an award of a prize payable throughout the life of the winning player. 
     
     
         61 . The method of  claim 57  further including the step of linking the promotional game determined from steps (a) and (b) to the prize structure created in step (c).