House passes Matzie bill to ban ‘speculative ticketing’

Would ban deceptive practice that allows resellers to list tickets they don’t yet have

HARRISBURG, Oct. 17 – The House today passed legislation introduced by state Rep. Rob Matzie that would prohibit “speculative ticketing” – a practice that allows ticket resellers to list event tickets for resale even though they have not yet obtained – and may never obtain – those tickets.

Matzie, who is majority chairman of the House Consumer Protection, Technology and Utilities Committee, said he introduced H.B. 1658 to eliminate a predatory practice that is hurting consumers and businesses alike.

“When a consumer pays for a ticket, they have a right to assume the seller has that ticket in hand,” Matzie said. “That’s not always the case because of speculative ticketing – a deceptive practice that allows resellers to sell tickets they don’t yet have but are ‘betting’ they can obtain. If the reseller fails to obtain the ticket, it’s the consumer who loses out. At best case, they may get a refund. At worst case, they’re out the price of the ticket and any other money they’ve laid out on travel, hotels, and other expenses.

“Area businesses lose, too. When the promised ticket fails to materialize, the venue loses credibility in the eyes of the public, and businesses like restaurants, bars and parking garages lose vital income.”

Matzie’s bill would deter speculative ticketing by barring resellers from selling tickets unless they actually have them in hand. The bill would add speculative ticketing to the list of offenses enforceable under the state’s unfair trade practices act and allow consumers and venues to sue for damages.

The bill – which is supported by Ticketmaster, LiveNation and the Pennsylvania Attorney General – would also prohibit resellers from creating deceptive websites or images that trick consumers into thinking they are purchasing their tickets directly from the venue.

Matzie said his legislation is not intended to eliminate a market for secondary sellers, but to do away with a predatory and deceptive practice that can leave consumers empty-handed.

“My bill addresses a simple question: How can you sell something you don’t have? We would never allow these practices to happen with private resale of other consumer goods. Why should we allow them when it comes to event tickets?”

The bill passed with broad bipartisan support.

The legislation is one of several consumer protection measures the committee approved for House consideration. Yesterday, the House passed legislation that would prohibit “Grinch Bots,” which scalpers use to purchase mass quantities of in-demand products and resell them for inflated prices. The House is also poised to vote this week on legislation that would prohibit “junk fees” added to consumer purchases.