Here is the thing, once you purchase something, its yours, and if you want to sell it for a profit, that's your decision, but if it doesn't sell before the event, you lost money. During a time of disaster, selling, leasing, or licensing "any necessary goods and services at an unconscionable price.". For any supplier of a "necessary property or service" to "profiteer from a disaster" by charging 25% or more than the pre-disaster price for such goods/services. One of the biggest concerns is how honest people are exploited by the resale industry, where, particularly for popular events, ticket scalpers can dominate ticket sales and hike up the price exponentially. A tickets service fee cannot be more than $3, unless the promoter or venue owner and ticket agency agree, in writing, to a service fee greater than the amount for initial ticket sales by the ticket agent. I sold one more pair of tickets that season and made another $400, so I only paid $600 for six sets of great regular season tickets, plus preseason games. I sold the tickets for $500 apiece, making back half of the money for my season tickets in one sale. I paid about 2000 for two season tickets, but ended up seeing most of the games for much cheaper. There are no federal laws prohibiting ticket scalping. It's not "fair?" The resale price will then be raised exponentially, with the scalper charging those seeking tickets far more than they would have paid through registered outlets. Opinion | Retail scalping should be illegal. The practice attracts profiteers when theres something of value in limited supply. An individual who resells tickets must guarantee a full refund to a buyer if the: These guarantees do not apply to student tickets from higher education institutions for sporting events. Some states ban price increases during a state of emergency, while others cap price increases at a number considered reasonable, such as 10 percent. Law, Intellectual Filing, service, and copying fees. 60 countries, states and territories have deemed corporal punishment illegaldo you think the U.S. should follow suit? The day after, across the country, much-needed medical supplies began to be stripped from local vendors with the intent to make a profit . For instance, some states like Texas have no restrictions on ticket scalping, while others like New York and New Jersey, impose strict limitations and penalties on those who are found guilty of illegally scalping tickets. Party reselling tickets has obtained a registration certificate for wholesale merchants, retailers, and facilitators and pays sales and use tax to the state. But I just got a flyer in the mail about a show I had no idea about. The state of New York has adopted a law known as the Arts and Cultural Affairs law, which prohibits the reselling of tickets for an amount that is ten percent or five dollars more than the original cost of the ticket. A ticket's service fee cannot be more than $3, unless . Those who can enforce the law at races or football games include box office personnel, supervisors, venue managers, ticket agents, security agents, event promoters and seat holders. Unlike bigger ticket scalpers who buy a ton of tickets at once, this is buying and selling tickets from secondary markets. While entertainment is a luxury, certain drugs are necessities for those battling an illness or disease. Meeting with a lawyer can help you understand your options and how to best protect your rights. They want your money, you want their ticket; open market regulates the price based on supply/demand. Real fans follow their teams or favorite artists, and know when the tickets go on sale. For the best deals on tickets, and to avoid being ripped off, always purchase from registered vendors. Discovery activities are placed on hold from the time the motion is filed until the court has ruled on it, although the judge may permit . I've had a difficult time figuring out where this scenario fits. Scalpers are not guaranteed a return on their investment, even as far as having to sell them for less than face value. There are exceptions to this law. Civil penalty of up to $5,000 per violation. The practice of scalping is currently defined as a misdemeanor by 15 US states individually, with nothing more than a slap on the wrist for destroying an entire sector of the economy and forcing consumers to use sketchy third parties to purchase potentially life-changing products and services. This can involve the creation of different accounts, personas, or identities, all of which will meet the minimum requirements for online purchasing. Tickets are limited, so snatching up tickets in essence limiting availability to others is criminal. If you feel a company is unfairly boosting prices during a state of emergency, contacting your state attorney generals officeis your best recourse. Jaclyn started at LegalMatch in October 2019. Raising prices excessively during an extreme shortage, commonly referred to as price gouging, takes the law of supply and demand to the extreme. Rules vary from state to state and laws often change; do not rely on this website if making a legal decision, seek a lawyer. in prison. Internet sites that resell tickets are regulated, tax-paying websites that capitalize on fans eagerness to buy tickets at any cost. The day of 3 Major technology companies next generation of gaming hardware was put on sale, it was en masse bought out before any real customers could buy them and put on resale on eBay for ridiculous prices. Due to the complex nature of US federal and state law, the rules surrounding ticket scalping can vary greatly, depending on the state, city, and venue in question. This depends on private contracts with the specific teams, who can form business partnerships with legitimate second hand ticket selling marketplaces. . In many cases though, there are very limited restrictions on when and how they can sell, and scalpers can post ads through newspapers and ticket broker websites to sell their wares. It provides that a "manufacturer or wholesale drug distributor shall not engage in price gouging in the sale of an essential off-patent or generic drug.". & These states are as follows: Idaho; Iowa; Kansas; Maine; Minnesota; Mississippi; Montana; Nebraska; Nevada; New Hampshire: North Dakota; South Dakota; Oklahoma; Texas; Utah; Vermont; Washington; West Virginia; Wyoming. @ FrameMaker- I disagree with you. Some states require a special license to resell tickets. Some restrictions are more effective than others. Efforts to make the practice illegal are overshadowed by such websites. The practice attracts profiteers when there's something of value in limited supply. Seems perfectly fair to me. Note: State laws are always subject to change. the United States of America. A: Scalping in California is not legal if: a) a person sells a ticket for admission to an event without the written permission of the owner or operator of the property where the event is taking . Buyer is denied admission to the event (This does not apply if the buyers action or omission caused their not being able to get in.). By Joseph Knoop. We are no longer supporting IE (Internet Explorer), potentially profit unfairly from the emergency, supplies ahead of an approaching hurricane, illness breakouts at food production facilities, National Conference of State Legislatures, contacting your state attorney generals office, I Tried a Hands-Free Dog Leash, and I No Longer Dread Walking My Dog, What to Do Within the First Year After Moving Into Your New Home, New Countertop Appliance Claims to Kill Coronavirus on Household Items, Do not Sell or Share My Personal Information. Contact us. *New York has declared a state of emergency due to the COVID-19 pandemic. Many people also feel threatened by physical resellers, and dislike their presence outside shows and venues. Oklahoma City and the City of Las Vegas both prohibit the practice. | Last updated March 24, 2020, When disaster strikes, whether it's a Category 5 hurricane, a pandemic, or an uncontrollable wildfire, consumers are often left scrambling for basic necessities such as drinking water and medical supplies. One of the most profitable industries in the United States, ticket scalping draws in around $5 billion dollars annually. *The governor has issued a state of emergencyprohibiting any increase in the selling price of any commodity during the time the state of emergency is in force. Upon the declaration of a state emergency, charging "grossly excessive" prices for food, construction services, emergency supplies, or other vital goods or services. When retailers take advantage of these spikes in demand (often coupled with supply bottlenecks) by charging exorbitant prices for necessities, it's referred to as "price gouging.". However, some cities, like Houston and Arlington, have ordinances restricting scalping. Otherwise, such conduct will be considered to be illegal in Maine. Others, with lower demand and excess capacity, face significant investment to retool and produce products targeted at a new market. Would the rules be different if I did this regularly versus infrequently (making two to five transactions a week versus two to five transactions a month, would the rules that apply be different)? Selling items or services determined by the Governor during a declared state of emergency to be necessary for public safety at a higher cost than they were immediately prior to the declaration. *Senate Bill 6699 has been introduced prohibiting price gouging at the time of disaster. Class A misdemeanor (up to $2,500 fine and up to one year in jail per violation). A few states regulate ticket scalping. Misdemeanor, punishable by up to 1 yr. in jail and/or up-to a $10,000 fine; civil penalties of up to $2,500 per violation (plus injunction and restitution). Finally, if you need help with negotiating a plea deal or if you need legal representation in court for a ticket scalping issue, your attorney will also be able to provide these services too. An hour later, the event was declared sold out. *The governor of Maine has declared a state of emergency to help prevent the spread of COVID-19. in prison and up to $10,000 fine). Some have been known to forge tickets, selling them to unsuspecting people who will later be unable to enter into the event they believe they have paid for. Ticket prohibition will not be valid until 30 days after the posting of the notice. As some people purchase scalped tickets unknowingly, it would be difficult to enforce many rules against individuals purchasing the tickets. Subject to civil penalties of up to $5,000 per violation (up to $15,000 per violation if an injunction has been issued); may be charged as a misdemeanor (fine of up to $1,000 and/or 30 days in jail). Most states base their response on laws that govern unfair or deceptive trade practices. Is it illegal to buy tickets from one secondary market (anywhere other than the original ticket seller such as Ticketmaster or directly from a team/arena from a site like eBay, StubHub, Vivid Seats, other ticket resale marketplaces) and sell them at a different price in another secondary market. A person who knowingly distributes, gives, possesses, sells, transfers or uses software designed or created to interfere with an online seller who sells theater, concert, sports tickets or tickets for any kind of public entertainment by circumventing security or access control measures on the ticket seller's site is in violation of state law. in prison).