Ontario has imposed what could potentially be its initial penalty against a ticket resale platform under the region’s anti-scalping legislation, as resellers continue to navigate selling tickets for upcoming events like the Toronto International Film Festival.
According to Ontario’s consumer-alert website, SeatGeek Canada was fined $25,000 in late August, with no other fines listed for ticket vendors, indicating that SeatGeek might be the first entity facing financial consequences under the ticket resale law introduced in April.
The fine breakdown reveals that the company was penalized $10,000 for allegedly vending a ticket above its original value, $5,000 for failing to disclose the initial purchase price of a ticket, and an additional $10,000 for purportedly facilitating a transaction without proof of the ticket’s original cost.
When inquired about the events linked to the fines and potential future penalties, Cristian Buzo Tingarov, a spokesperson for Ontario’s Minister of Public and Business Service Delivery Stephen Crawford, did not provide details but emphasized that all ticket sellers in Ontario must adhere to the legislation prohibiting ticket resale above face value, with violators facing fines up to $250,000 and public disclosure.
Regarding the fines, SeatGeek’s Vice President of Government Affairs Joe Freeman refrained from confirming whether the company intends to pay the penalties or contest them. Freeman mentioned that while SeatGeek has alerted third-party sellers about the law, they are seeking guidance from the province on compliance procedures.
Freeman highlighted the challenge of verifying the original ticket value, especially when sellers like season ticket holders lack access to the face value information. He stated that independent platforms such as SeatGeek have limited means to verify the price paid for tickets at their primary sale.
StubHub Canada presented a similar argument when questioned about listings for Toronto International Film Festival (TIFF) screenings on their platform, emphasizing the difficulty in confirming original ticket prices due to the absence of pricing on package tickets and potential manipulation of receipts by resellers.
StubHub stressed the necessity for data from the original ticket purchase platform to ensure compliance with the law, highlighting unresolved issues in determining the proof sellers should provide for verifying a ticket’s initial price.
TIFF listings on Vivid Seats also appeared to exceed prices reported by fans during member sales, with tickets for premieres like “Fjord” and “Rapinoe” listed at elevated prices. Vivid Seats defended its compliance efforts, stating that it is engaging with the government and making changes to meet the province’s ticket resale regulations.
The province had previously notified 27 ticket resale websites, including StubHub and Vivid Seats, of impending inspections for compliance with the new law. StubHub was later added to the consumer alert list for alleged non-compliance, while Vivid Seats informed that it had rectified most areas of non-compliance identified by the government.
Overall, the developments demonstrate the ongoing efforts by ticket resale platforms to navigate the regulatory landscape and comply with Ontario’s anti-scalping legislation.
