It just sounds like they're excluding Arizona and that all of the other 49 states are fine. This might be a reason why. It sounds like a real pain in the a$$ to have a contest in Arizona.
http://promomagazine.com/contests/marketing_playing_rules/
"Once you have decided on the type of contest you want to run and have developed specific judging criteria, decide what to do about running the contest in those states that prohibit an entry fee and/or that require registration of the contest. For example, Vermont and Maryland, among other states, do not permit a fee to be charged. One of your options is to exclude residents from these states from your contest.
Then there is Arizona, which requires that intellectual contests be registered and that no fee be charged other than or in addition to the regular price of a product. If you are running a puzzle contest and you want Arizona residents to participate, you must submit the Amusement Contest and Raffle Registration Form. For example, you are running a contest where entrants must buy certain designated jigsaw puzzles, put them together, discover clues in the finished puzzle that do not appear in the box cover art and answer correctly questions based on those clues. You have to register the contest in Arizona and provide the name and address of an Arizona resident to serve as your agent for service of process.
Arizona defines as lawful “amusement gambling” a game or contest played for entertainment if:
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The players actively participate in the game or contest;
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The outcome is not in the control to a material degree of any person other than the players;
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The prizes are not offered as a lure to separate the players from their money; and
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The event is an intellectual contest, the money paid to enter is part of an established purchase price for a product, no increment has been added to the price in connection with the contest and no drawing or lottery is held to determine the winners.
If you register the contest in Arizona, you must file a winners list within 10 days following the awarding of all prizes, along with an affidavit that no increment has been added to the purchase price for the product in connection with which the contest was run.
Your contest must have a set of rules that clearly sets forth all of the requirements for entry and eligibility and that does not mislead the potential entrants. In addition to the text, you must comply with state legal requirements and create rules that protect you if something goes wrong. These include waivers of liability for computer viruses, hackers and other risks for online games or contests; injuries caused by use or misuse of the prizes; and physical problems with paper entries such as illegible, lost, mutilated and misdirected entries. Provide that you may use the winners' likenesses and addresses without compensation, where legal. If you are giving away a vehicle as a prize, require a valid driver's license for eligibility. State that all entries become the property of the contest sponsor and require entrants to warranty that their entries are their original work. If children under the age of 13 are eligible to enter, you will have to comply with the privacy laws relating to collecting personal information from children.
Make sure the complete fee to enter the contest is clearly set forth within the rules, including any postage charges to enter. Provide that all prizes will be awarded. If the original prize winner turns out to be ineligible, or cannot be found, have an alternate skill-based method for choosing a substitute winner that does not involve any element of chance. Don't use a random draw to pick any new winners or break ties. Make sure the decisions of the judges can be supported if you receive complaints from disgruntled entrants."