Ontario has recently imposed a fine against a ticket resale platform, potentially the first instance under the province’s anti-scalping law. The action comes as resellers seek to offload tickets for events like the Toronto International Film Festival. SeatGeek Canada was fined $25,000 in late August, with no other ticket sellers currently facing fines, indicating SeatGeek may be the first to be penalized under the law enacted in April.
The fine breakdown includes $10,000 for allegedly selling a ticket above its face value, $5,000 for failing to disclose the original purchase price of a ticket, and an additional $10,000 for allegedly facilitating a transaction without proof of the original price. Ontario’s Minister of Public and Business Service Delivery, Stephen Crawford’s spokesperson, Cristian Buzo Tingarov, did not provide details on the specific event linked to the fines or whether more fines will be issued.
According to Tingarov, all ticket sellers in Ontario must adhere to legislation prohibiting ticket resale above face value, with potential fines of up to $250,000 for violators. It remains unclear whether SeatGeek will pay the fines or contest them. The company’s vice-president of government affairs, Joe Freeman, mentioned that while SeatGeek has advised third-party sellers on the law, they are seeking guidance from the province on compliance procedures.
StubHub Canada echoed similar challenges in confirming the original ticket value, citing difficulties in accessing such information from sellers, especially season ticket holders. They claimed limitations in verifying purchase prices and emphasized the need for collaboration with the government to address unresolved issues.
Regarding ticket pricing discrepancies, StubHub highlighted the absence of a mechanism to verify original prices, particularly for tickets purchased in packages or without price tags. The company stressed the necessity of data from the original purchase platform to comply with the law.
Meanwhile, Vivid Seats defended its practices, emphasizing ongoing dialogue with the Ontario government to ensure compliance with the new ticket resale regulations. Vivid Seats spokesperson, Julia Young, refuted claims of non-compliance, citing efforts to align with the province’s requirements and seeking clarity to support effective implementation.
The province had previously notified 27 ticket resale websites, including StubHub and Vivid Seats, of pending inspections for law compliance. Subsequent to these warnings, StubHub was listed for alleged lack of compliance, while Vivid Seats reported progress in rectifying identified areas of non-compliance as per government directives.