Ticketmaster has initiated the removal of resale tickets for Ontario events to adhere to a new provincial law that mandates capping the price of these tickets at face value. The platform’s representative, Shabnum Durrani, mentioned that customers will have the option to relist their tickets next week once the resale marketplace has been updated. Durrani affirmed Ticketmaster’s dedication to establishing a fair and secure ticket marketplace in accordance with all relevant laws and regulations, with the company actively informing customers about the adjustments.
This action follows the passing of the budget bill by the Ontario government, which included the stipulation regarding resale ticket price limits. The bill received royal assent recently. The price cap was introduced in response to consumer grievances over resellers acquiring tickets for high-demand events like the World Series and Taylor Swift’s Eras tour, reselling them at significantly inflated prices.
Updates to the 2017 Ticket Sales Act were revealed by the government last month, following the premier’s commitment to reviewing legislation after the exorbitant resale prices seen during the World Series in Toronto. Premier Doug Ford’s government had previously revoked a portion of an anti-scalping law in 2019 that aimed to restrict resale prices to 50% above the original face value.
While initial expectations suggested that tickets for FIFA World Cup events in Toronto this summer would be exempt from the price cap, a spokesperson for the minister clarified that the cap would indeed apply to the sporting event. The immediate implementation of the price cap rule was confirmed by Minister Stephen Crawford, who indicated that the government would engage with ticket-selling entities.
StubHub and SeatGeek expressed differing responses to the change, with StubHub intending to comply despite disagreeing with the cap. Conversely, SeatGeek is assessing the legislation to determine its course of action while advocating for favorable outcomes for fans. Concerns have been raised regarding the impact of price caps on fans and the ticket resale market, with varying opinions on how effective and enforceable the new law will be in practice.
The implications of the law on reselling platforms like StubHub, the potential for increased market dominance by major companies like Ticketmaster, and the effectiveness of enforcement measures such as fines remain subjects of ongoing discussion and scrutiny. The law’s success in curbing ticket reselling practices and protecting consumer interests will depend on its enforcement and the deterrent effect it has on non-compliant entities.