On February 27, 2016, Ministerial Resolution N° 0126-2016-IN whereby the requirements to obtain an authorization from the National Bureau of Internal Affairs (ONAGI) to carry out commercial promotions are simplified, was published in "El Peruano" Official Gazette.

Locally, the Regulations on Commercial Promotions and Raffles for Charity Purposes, approved by Supreme Decree N° 006-2000-IN, establishes that a sponsor that offers prizes valued at more than USD 170 (approximately) through a draw, sale-exchange, exchange for no valuable consideration, contest, any combination of the above or any other modality, in order to encourage the sale of their products, must previously obtain an authorization from ONAGI.

In order to obtain such authorization, the sponsor had to file an application, accompanied by several documents such as the original certificate of validity of power of attorney granted in favor of the sponsor´s representative; an authenticated or notarially certified copy of the invoices showing that the prizes offered have been paid in full; or a bank letter of guarantee issued in favor of ONAGI for the total amount of the prizes.

This procedure required the approval of the authority. It was a cumbersome procedure subject to constant observations and bureaucracies by the authority, which made it difficult to carry out promotions.

Presently, with the latest amendment, this procedure will be carried out online through a software application, and sponsors will be only required to submit the following documents to ONAGI: (i) an application containing the organizing company's details and explaining the promotion rules, (ii) a sworn statement evidencing the ownership or domain of the prizes and, if applicable, indicating that they are free of any encumbrance, and (iii) a copy of the voucher evidencing payment of the relevant fees.

Additionally, it has been established that the procedure is subject to the application of the positive administrative silence. Therefore, if ONAGI does not provide an answer within a term of five (5) days after the application is filed, such application shall be understood to have been approved.

This amendment eliminates the requirement to attach letters of guarantee; transfers to the authority the responsibility for verifying whether the sponsor´s representative is duly authorized (this information is accessible by the public from the Office of Public Registries); and assumes that the information provided by the sponsor is true and valid.

This modality of application for commercial promotion authorization shall come into operation as from March 08, 2016.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.