Controversial Contest Threatens to Halt New Real Estate Trend

The silence surrounding the Center Lovell Inn and Restaurant in Maine is a disappointment

to those who followed the essay contest that concluded last month. The Grand-Opening celebration scheduled to take place under the winner‘s new ownership on July 10th never transpired. Neither contest sponsor Janice Sage or winner Prince Roger Adams have addressed the public in regards to the inn’s future. The transfer of the property was supposed be finalized by July 7th, but no such transfer has been recorded. Even the liquor license has lapsed. No one’s home to answer phones or return calls to schedule reservations.

Passers-by say the building looks abandoned.

To the hundreds of members of the Center Lovell Contest Fair Practices Commission, the lull in Lovell is a sign. The Commission is a Facebook group made up of contestants who question the ethics and legality of the contest and hope to inspire a federal investigation as well as shine a new light on all similar contests.

“It’s the calm before the storm,” projects Commission member Chris Millar. “I think the feds have already stepped in. The consumer rights and regulations violated by Janice Sage while operating her contest made the whole thing an illegal lottery at best... possibly all-out fraud.”

With more of these contests popping up around the country daily, one must question the intentions behind such ventures. In the case of the Center Lovell Inn, owner and operator Janice Sage boasted total earnings upwards of $900,000 (7200+ entries at $125 a pop). Not bad considering she’s been unable to sell the the business for 2 years at an asking price of $659,000.

Sage and her contest have garnered criticism for misrepresenting the prize. The property was advertised at 12 acres when county land records prove it to be only 4 acres, and there are existing mortgages on the “historical” bed and breakfast despite Sage promising otherwise. Contestants have also alleged that the contest was deceptively marketed to folks who never had a chance of winning. Despite every article about the contest containing quotes from Sage about giving the business to someone who otherwise could not afford to own such a place, the winner and runner-up are both restaurant owners married to chefs. Janice Sage was also married to a chef and ran a restaurant when she won the inn in a similar contest 22 years ago. Many say they never would have entered the contest if they’d known of the culinary and business-ownership requirements. The criteria in the official rules listed no experience requirement. It was, after all, a writing contest. The winning essay is in question as well, as it contained grammatical errors and never addressed the required writing prompt: Why I want to own and operate a country inn.

The Maine State Police investigation into the contest ended earlier this month when police decided the contest was a game of skill; Maine does not have any gaming laws to regulate such contests. However, consumer rights laws in ALL states require that, in order for a contest to be considered a true game of skill, ALL entries must be judged by independent and qualified judges who must be identified in the official contest rules. The Center Lovell Inn Essay Contest broke those requirements by not identifying the judges and having contest operator Janice Sage choose only twenty essays out of thousands to be “judged.”

By paying the $125 entry fee without knowing who was judging their essays, or whether or not their essays would even be judged, all contestants essentially gambled.

Contests that require consideration (entry fees) in which the operator has control over the outcome (picking a limited selection to be judged) are considered lotteries and are, for the most part, illegal.

It’s clear that new gaming laws are needed throughout the country to protect consumers and preserve the integrity of legitimate contests.

Other articles on this subject:

INVESTIGATION OVER: State Police Say Game of Skill, Attorney General Says Game of Chance

Violations Pile Up in Maine Essay Contest Investigation

Open Letter from the Founder

Police Investigation of Real Estate Essay Contest Continues

Real-Estate Essay Contest Under Investigation by State Police