Is it illegal to resell concert tickets?

  • Posted on: 10 Jul 2024
    Is it illegal to resell concert tickets?

  • Can You Sell Concert Tickets Twice?

    Purchasing tickets to the most wanted concert and then selling them by a higher price is an excellent and profitable idea for some individuals. But there are legalities and certain limitations that one has to be aware of as far as ticket resale is concerned. Here is some information about the law surrounding ticket resale, as well as some things to remember.

    Anti-Scalping Laws

    It is worth pointing out that some states have laws against scalping or laws that limit in what manner and for how much one could resell the tickets. The common laws that have been put in place in the various countries are aimed at removing predatory pricing and making tickets more affordable to fans.

    For instance, in New York, ticket scalping is prohibited within a distance of 1,500 feet from the venue if the ticket re-sale price is higher than 45 % of the face value. Other states ban the use of software to purchase tickets in large numbers for example, by buying many tickets for a concert. See if there is a law against scalping in your state and if there is, what it covers.

    Terms and Conditions

    Most of the tickets bought from an artist, promoter, or venue come with certain terms and conditions that dictate that the tickets cannot be resold, and if sold, they must be sold for face value. What this means is that even in the case where you are not barred or prohibited by the law from reselling tickets in your state, you could still be in breach of the terms of the purchase contract.

    Ticketmasters, one of the largest ticket-selling companies, now employs technology to prevent ticket laundering and the setting of high resale prices. In this case, if you frequently buy your tickets from such retail stores, you ought to read the policies and restrictions regarding the transfer or sale of tickets. In a nut shell, non-adherence to the laid-down policies results in the cancellation of the tickets without a refund being offered.

    Websites Like StubHub

    Official ticket brokers such as Stub Hub and Vivid Seats also help fans sell any unused tickets. Often, this is possible because exceptions to anti-scalping laws are added into them. Some states exclude resale platforms that are pre-approved by government.

    But the price tags depend on the supply and demand for the products in these sites, not face value. Many of the sites themselves are legal, however, individual sellers might still be breaching terms and conditions. The sellers also bear the responsibility of having a clear understanding of any restriction that might apply to their tickets.

    Professional Resellers

    There are people who create their entire companies based on the direct purchase of event tickets for the purpose of their resale. This is somewhat more on the border of legal than a man who buys a ticket and then sells it to another person. 

    Anti-scalping laws may target large-scale ticket brokers with the use of bots, among other tactics, to purchase tickets in bulk. They also end up buying large quantities of tickets, which reduces ticket availability for fans and thus makes them costly. Business reselling may be unlawful or against the terms of purchase, even if made through licensed markets.

    Ethical Issues

    While there may not necessarily be a law against it, many individuals consider such an act to be wrong and unfair, as those who bought tickets at face value are denied access to the venue in favor of those who aimed to make high profits from the tickets they purchased. It holds the tickets away from real fans of the shows and performances. But some people think that this is nothing but an application of the fundamental law of supply and demand.

    Although major artists and venues have negative feelings towards professional scalpers, they do patronize approved sites for resale. This is true; markets assist in avoiding situations whereby non-transferable tickets end up unused if a holder is unable to attend the event. With regards to the use of extra tickets by individuals, there are reasons that may be given in support of either side of the ethical argument.

    Minimizing Legal Risks

    If you do want to resell your tickets, there are some precautions you can take:If you do want to resell your tickets, there are some precautions you can take:

    The use of tickets often comes with certain requirements stated at the time of purchase; therefore, always ensure to read through all the terms and conditions so as to understand any resale limitations.

    It is also important to ensure that you are familiar with the laws of your state concerning ticket resale.

    StubHub needs to be used, and the ticket price should be reasonable as per their guidelines.

    Do not sell tickets within the compound on the actual day of the show since this normally triggers the attention of the police.

    Therefore, although there are certain legal implications and ethical issues associated with ticket reselling, certain measures ensure that the individual does not face legal repercussions over it. First of all, it is necessary to study all laws and policies regulating the resale process and then think about how and where it is better to continue the resale.

    Why restrict reselling?

    Promoters, venues, and politicians have claimed that anti-scalping legislation and limitations for ticket resale are beneficial, as tickets should remain cheap and available for fans of the performer. The rationale for this is that higher form regulation will reduce price proximity with face value since it dissuades professional brokers.

    Consumer advocates have argued in return that the market should be free to set the price itself. Preventing third-party sales just takes the game and all the profit out of it and gives it just to the artist and the primary ticket sellers. The effect of strict resale bans is also that buyers have to resort to employing unsafe unauthorized intermediaries, with no consumer protection at their disposal.

    As is usually the case in most policy-related discourses, there are noble intentions for those supporting the bill as well as those opposing it. It is now clear that artists also have vested interests in protecting their concerts from being duplicated and distributed in the market. Fans must be able to get goods and services at reasonable prices. Professional resellers as well as individuals, who act as resellers, view it as an economic benefit. These rules work to mediate the clash of these interests, but they are also aware that the secondary market is already a part of society.

    Reselling concert tickets is still legal, but here is the bottom line you need to know:

    In other words, despite the fact that ticket scalping is quite common, there are several aspects related to matters of legality and/or ethicality to take into account. Always source tickets from credible outlets, learn and/or seek professional counsel on the various state laws that govern ticket sales and use, and finally, set your ticket prices correctly. It is advisable not to sell them individually, hand in hand, within the premises of the venue.

    Thus, if buyers and sellers exercise a bit of caution and self-recalcitrant responsibility to the fans and their expenses, the tendency to resell excess tickets is not wholly reprehensible. It is just fine to play by the rules, but be smart enough to know how to avoid the pitfalls of these rules. It is noteworthy that tickets to concerts contribute to a highly active resale market while at the same time, attracting more attention from the government and law enforcement agencies. Repent of your sins before you start counting your reward.