Lawsuit claims Naperville Rotary Charities raffle is breaking law
Questions about where ticket sales took place are at the heart of a lawsuit against Naperville Rotary Charities that claims the organization's House of Dreams Charity Raffle is breaking the law.
The lawsuit sought to stop the group's June 2 grand prize drawing for a house, two cars, a jet ski and a California vacation, or their equivalent values totaling $1,062,500, but a Cook County judge allowed the drawing to go on.
Now the organization is fighting the lawsuit filed in Cook County court by Oak Lawn resident James Anderson and Oak Park resident Larry Dakof on behalf of all losing raffle ticket purchasers since 2011. The next scheduled court date is June 28.
The suit seeks to have the raffle declared null and void and to force the Rotary to not only repay all losing tickets purchased since 2011, but to pay damages worth triple the cost of each losing ticket purchased during those six years.
The suit is based on gambling laws governing raffles that allow ticket sales only where the raffle is licensed.
Naperville Rotary Charities - a group spun off several years ago from the Rotary Club of Naperville to oversee the annual House of Dreams raffle - is licensed in Naperville. Its 2016 license "shall authorize the sale of raffle chances only within the borders of the city," according to the city's raffle license application.
The lawsuit claims the club violated that provision because Anderson was able to buy a ticket online this May from his house in Oak Lawn and Dakof bought a ticket online in May 2015 from his house in Oak Park.
But Charles Harper, the attorney defending Naperville Rotary Charities, wrote in a motion submitted to the court June 2 that all ticket sales - whether by mail, internet or phone - were received, processed and finalized in Naperville. Under Illinois law, Harper's motion argues that means all ticket sales were made in Naperville.
"When the city grants the license, internet sales at our website are included in our application and considered by the city," Harper said.
The House of Dreams Charity Raffle has been conducted since 1993, donating $3.5 million to charity in that time including roughly $350,000 last year. This year's beneficiary is the Rehabilitation Institute of Chicago.
Online sales have been going on for several years, charity representatives say, and the city has never raised any legal questions about the raffle's adherence to its permit.
City spokeswoman Linda LaCloche said this year's raffle was authorized to conduct drawings Jan. 14, Feb. 19, March 31, May 5 and June 2 at Naperville Rotary Charities at 442 Fort Hill Drive. Licensed raffle holders are required to be religious, charitable, labor, fraternal, educational or veterans organizations and to "follow the intent of the permit," LaCloche said.
In a statement, Naperville Rotary Charities, which is led by Chairman Bill Anderson, called the lawsuit "sensationalized" and "without merit." Harper's June 2 motion to the court claims James Anderson "purchased 2016 raffle tickets for the purpose of bringing this lawsuit."
"We will vigorously defend the charity's assets against this form of legal harassment and remain confident that justice will prevail," the statement says.
James Anderson and Dakof also filed a similar lawsuit against the Springfield-based Hope Institute for Children and Families, claiming its Chicago Dream House raffle conducted ticket sales outside of the jurisdiction where it is licensed in Sangamon County.
Attorneys for James Anderson and Dakof did not return calls or emails seeking comment. James Anderson did not return a call and Dakof could not be reached for comment.