There must be a sober referee to prevent cheating, to keep time, and to issue penalties. There are penalties for throwing up, spilling beer and cheating. The nature of the penalty is left up to the referee, but it is usually some some time penalty. If a player spills beer or throws up they have the option of "Zamboni-ing" (sucking it up off the floor or table) the spilled liquid in order to avoid penalty. The winning team receives some sort of prize, as well as the honor of winning the race.
Traditionally, The American Challenge is held on the last day of finals week in college. Inevitably the building where the event is held is irreparably trashed.
Naw man, I'm still scraping beer plastered puzzle pieces off the floor from last semester.
Bro #2: Hell no man, last time I tried the American Challenge I woke up naked in the cafeteria with puzzle pieces stuck to my face.