Diamonds (and free couches) are a Red Sox fan's best friend

Retail promotions offering customers full refunds on their purchases if the Boston Red Sox win the World Series or one of their pitchers hurls a no-hitter may be running afoul of the law.

Some attorneys who specialize in retail law say promotions being run by Jordan's Furniture, Alpha Omega Jewelers Inc., and others appear to meet the definition of a lottery. A lottery is an illegal gambling activity in Massachusetts and most other states, except when it is being run by the state.

"It seems to me fairly clear-cut," said Michael Barkow of the New York law firm of Manatt, Phelps & Phillips, who advises firms on how to conduct legal retail promotions. "It strikes me as a substantial risk to run a game like this."

A lottery has three key elements: a prize, an element of chance, and consideration, usually the payment of money. Barkow said the Jordan's Furniture deal appears to qualify as a lottery because customers who bought furniture (the consideration) between March 7 and last Monday will receive a full rebate (the prize) if the Red Sox win the World Series (the element of chance).

Eliot Tatelman , who runs Jordan's Furniture, a division of Berkshire Hathaway Inc., said his company's attorneys analyzed the Monster Deal and concluded it was legal.

"We all feel comfortable with it," Tatelman said. "It's been a great promotion."

The deals appear to be gaining in popularity among retailers. They typically involve higher-priced items, like furniture or jewelry, and are used to boost sales. The companies generally tie the promotions to the outcome of a sports contest or the weather, and purchase insurance to protect themselves financially in case their customers beat the odds and win.

Alpha Omega Jewelers, which has stores in Cambridge, Boston, Burlington, and Natick, is offering discounts ("not prizes, as this is not a contest or sweepstakes," says a spokeswoman) to customers who buy an engagement ring this month.

If the Red Sox win on the day the ring is purchased, the buyer receives a $500 refund if a Sox player hits a home run. The refund rises to $1,000 if a Red Sox player hits a grand slam. If the Red Sox pitcher pitches a no-hitter, the customer gets a full refund. The last Sox no-hitter was April 27, 2002, by Derek Lowe, who now plays for the Los Angeles Dodgers.

Park Avenue Home Furnishings in Libertyville, Ill., is running the same promotion as Jordan's, but customers pin their hopes on the Chicago Cubs winning the World Series instead of the Sox. Elyse Jewelers in Reading refunds the cost of wedding and engagement rings if more than a half-inch of rain or snow falls over a six-hour period on the couple's wedding day.

A spokeswoman for Attorney General Martha Coakley said the office is monitoring these new promotions but hasn't taken any action because the law is murky and consumers aren't being harmed.

"We've seen no consumer complaints and seen no evidence of consumer harm," said the spokeswoman, Amie Breton .

From a legal perspective, Breton said, it's unclear whether the prize in these promotions -- the full or partial refund -- is really a prize. Is the consumer buying furniture or jewelry because of the potential for a full refund or simply because they need it? she asked.

"It's hard to get into the mindset of the consumer," Breton said.

Edgar Dworsky , a former Massachusetts assistant attorney general and the current editor of Consumerworld.org, said he believes the promotions are illegal and will proliferate unless brought into check.

"The final prices we pay for goods will be determined not by smart comparison shopping but by the bets we make on sporting events, the amount of snow that falls, or what the high temperature will be. How crazy is that?" he asked.

If the current law doesn't make sense, Dworsky said, it should be changed. "Until then, sellers can't just ignore the laws they dislike because some buyers are willing to play the game," he said.

Most other companies adapt their promotions to comply with the laws prohibiting lotteries. Typically, the companies sidestep legal problems by dropping one of the three key elements of a lottery.

The element of chance can be eliminated by creating a game where skill predominates, like shooting baskets or writing an essay. The consideration can be eliminated by allowing people to play without paying, the ubiquitous "no purchase necessary" that accompanies most promotions.

Kellogg Co., for example, is currently running a promotion that gives prizes to people who find a winning ticket inside their box of Pop-Tarts, Rice Krispie Squares, Nutri-Grain cereal bars, or Froot Loops snacks. The game rules eliminate the element of consideration, or payment, by allowing anyone to obtain a randomly selected contest ticket by mailing in a self-addressed envelope to Kellogg.

Jon Hurst , president of the Retailers Association of Massachusetts, said his furniture store members say the Jordan's promotion was a "phenomenal success" that may have cost them some business. But he said they were unaware there might be legal problems associated with the promotion.

"Because it was effective, you're bound to see copycat promotions," he said. "There probably needs to be some industry discussion on this."

Stephen P. Durchslag , an attorney at Winston & Strawn LLP in Chicago who specializes in intellectual property law, calls the new promotions "hybrids" and says they are subject to legal challenge. Asked if the promotions are legal, he said: "It could go either way."

Bruce A. Mohl can be reached at mohl@globe.com.