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Home»Entertainment»Why California’s battle over ticket fraud has turn out to be a proxy battle in opposition to Ticketmaster and Dwell Nation
Entertainment

Why California’s battle over ticket fraud has turn out to be a proxy battle in opposition to Ticketmaster and Dwell Nation

dramabreakBy dramabreakJanuary 29, 2026No Comments8 Mins Read
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Why California’s battle over ticket fraud has turn out to be a proxy battle in opposition to Ticketmaster and Dwell Nation
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A yr in the past, Colorado firefighters Rick Balentine and Tim Cottrell have been driving vans carrying donations from Aspen to Los Angeles for victims of the Eaton and Palisades fires.

As they headed west, they deliberate to cease in Las Vegas and, whereas there, made a spontaneous choice to see the Eagles’ residency on the Sphere. Balentine and Cottrell purchased resale tickets on StubHub for round $400 every. Cottrell used his bank card and obtained a affirmation e mail. However as soon as they arrived to the venue, they weren’t allowed in. The vendor didn’t ship the tickets.

All Cottrell might discover was an e mail that stated his tickets had been canceled, moments earlier than the live performance was to start out. Aside from getting their a refund, there was no additional rationalization.

“We knew they have been aftermarket tickets,” Balentine stated, “however by no means in one million years did I believe that tickets might get canceled.”

“I used to be very disillusioned. There must be extra safety on the market, each for customers and for artists, so folks aren’t getting ripped off on a regular basis.”

The rising demand for tickets has spurred a rising market for all types of high-profile stay occasions, together with music excursions and sports activities sequence just like the upcoming World Cup. Each time followers are unable to safe tickets on the first market, via sellers like Ticketmaster or AXS, many will flip to the secondary marketplace for resale tickets. These tickets are usually bought via platforms like StubHub, SeatGeek and Vivid Seats. Prospects who purchased their passes instantly from Ticketmaster can even resell them on that platform.

The vast majority of secondary-market transactions will be simple, leaving each the reseller and the shopper happy. However with the rise of speculative or pretend tickets, like those Balentine and Cottrell purchased, securing legitimate tickets from the resale market has turn out to be more difficult.

What are speculative tickets?

Speculative tickets are supplied by resellers who checklist live performance passes they don’t but have of their possession, with the intention that they’ll finally purchase the tickets and ship them to the customer. In accordance with 2025 knowledge from Dwell Nation, one in three Individuals has fallen sufferer to a ticketing rip-off. However underneath California’s invoice, AB 1349, promoting speculative tickets could possibly be banned on all resale platforms within the state. On Monday, the invoice handed in an meeting vote and is headed to the state Senate for evaluation.

Thousands of fans enjoy Shakira's performance at SoFi Stadium

1000’s of followers get pleasure from Shakira’s efficiency at SoFi Stadium in August.

(Jason Armond/Los Angeles Instances)

Speculative tickets normally pop up as quickly as a significant artist broadcasts a tour. Most not too long ago, Okay-pop boy band BTS introduced a world tour that features 4 stops at SoFi Stadium. Earlier than the normal sale started Jan. 24, some sellers on Vivid Seats had already began itemizing tickets for over $6,000. Listings like these normally create a higher sense of shortage, which may drive up ticket costs much more.

If enacted, the proposed laws in California would require sellers to have occasion tickets of their possession earlier than providing them on the market. The itemizing should embody the situation of the seat and particular refund rights. It prohibits an individual from utilizing software program that routinely purchases extra tickets than the required restrict, and it might increase the utmost civil penalty for every violation from $2,500 to $10,000.

The stay music trade is an important a part of the state’s economic system, contributing over $51 billion to California’s GDP and supporting over 460,000 jobs, based on the database 50 States of Music.

Ticketing fraud tends to have an effect on extra than simply the patron. Each time an unknowing fan reveals as much as a venue with a pretend ticket, it typically falls on the venue and its employees to cope with the scenario. Stephen Parker, the manager director of the Nationwide Impartial Venue Affiliation, stated that if speculative tickets are banned in California, venues might save as much as $50,000 in staffing bills.

A general view of a portion of the stadium interior

Los Angeles’ SoFi Stadium, the place many concert events and ticketed stay occasions are held.

(Icon Sportswire/Icon Sportswire through Getty Photos)

“They should cope with followers who’re crying, who’re indignant, who’re upset as a result of they thought they have been going to go see their favourite artists that night time, and so they paid [over the] ticket’s face worth solely to not get a ticket that works or to not get a ticket in any respect,” stated Parker.

Combating ticket fraud and reining in a ticketing big

There are at the moment dozens of legislative payments all through the U.S. centered on occasion ticketing points. Some states like Maryland, Minnesota and Maine have already handed restrictions on speculative tickets.

The motion comes after each the Division of Justice and the Federal Commerce Fee sued Ticketmaster and its mother or father firm, Dwell Nation Leisure, in 2024 and 2025. The DOJ’s lawsuit suggests breaking apart the corporate, which it accuses of participating in monopolistic practices. The criticism additionally alleges the corporate forces venues into unique ticketing contracts and influences artists to make use of solely its providers.

Based in 1976, Ticketmaster has been the trade’s largest ticket distributor since 1995, with round 80% of stay concert events bought via the positioning. The corporate merged with Dwell Nation in 2010.

Ticketmaster has additionally acquired a rising share of the resale market, underneath the platform Ticketmaster Resale. The positioning permits customers to checklist, promote or discover tickets to stay occasions. The enterprise features equally to different resale websites, however Ticketmaster doesn’t enable speculative ticket gross sales on its platform.

The Federal Commerce Fee is at the moment suing the corporate on accusations that it engaged in unlawful ticket vendor practices for its resale enterprise, like deceptive artists and customers with so-called “bait-and-switch pricing,” the place marketed costs are decrease than the precise whole. Following the FTC’s criticism, the ticket vendor made adjustments to its insurance policies.

Moreover, Ticketmaster is now not permitting customers to have a number of accounts, which made it simpler to buy extra tickets than the required restrict, and it’s shutting down Commerce Desk, the controversial software program that helps resellers observe and value tickets throughout a number of marketplaces.

Hundreds enjoy a performance by Banda Los Lagos during Jalisco Fest at the 2025 Santa Fe Springs Swap Meet.

A whole bunch get pleasure from a efficiency by Banda Los Lagos throughout Jalisco Fest on the 2025 Santa Fe Springs Swap Meet.

(Genaro Molina/Los Angeles Instances)

“The FTC case in opposition to us could be very irritating as a result of we expect they’re type of blaming the sufferer right here. We’re those which can be coping with hundreds of thousands and hundreds of thousands of bots attacking us day by day,” stated Dan Wall, Dwell Nation’s vice chairman of company and regulatory affairs. “We’re making an attempt to persuade the federal authorities and state governments to get on the identical web page of recognizing the place the issue is, which is overwhelmingly within the resale trade, and making an attempt to do one thing about it.”

“We’re a way more artist and consumer-focused firm, and so we don’t have interaction within the completely different sorts of enterprise practices which can be sketchy and unfair to the followers. We attempt to be a way more sincere, legit outlet for getting resale tickets,” stated Wall.

Critics discover that the surge of anti-speculative ticketing payments across the nation is a manner for Ticketmaster to divert consideration from its personal authorized troubles and shift consideration onto the resale market. Dwell Nation is a key supporter of the California invoice. Diana Moss, the director of competitors coverage on the Progressive Coverage Institute, referred to as AB 1349 “overkill” in terms of the provisions and restrictions it locations on the secondary market.

Fans cheer Sexyy Red at the Rolling Loud concert at Hollywood Park in March.

Followers cheer Sexyy Crimson on the Rolling Loud live performance at Hollywood Park in March.

(Michael Owen Baker/For The Instances)

“Plenty of these payments within the states are a car to disable the resale markets and hinder how they function. Resale markets are essential to customers,” stated Moss. “When you disable the resale market, then followers haven’t any place to go — however again to Ticketmaster. That’s the entire recreation, disable the resale markets with laws and regulation, after which everyone has to return and cope with Ticketmaster and pay their monopoly ticket charges.”

Provisions in AB 1349 deem a ticket a license. The query of whether or not a ticket is a proper or a license is an ongoing controversy within the ticketing world. Opponents of the invoice are fearful that this transformation would give extra energy to Dwell Nation, as they may impose restrictions on how the ticket can be utilized, comparable to whether or not you’re allowed to promote your ticket on different platforms or if you happen to can switch it in any respect. Meghan Callahan, from the Empower Followers Coalition, a gaggle that opposes the invoice, equates this licensing change to taking a lease out on the ticket.

“Ticketmaster’s purpose is to create much less competitors. This invoice imposes restrictions on everyone else however themselves,” stated Callahan. “They’re making an attempt to make use of consumer-friendly ideas and sneak in these different provisions to embolden their monopoly.”

Wall at Ticketmaster stated that nothing on the customers’ finish would change if this invoice have been to move, including that tickets are already licenses “from the venue so that you can come on the property in the course of the time of the present and sit in that seat.”

“Honesty doesn’t favor one particular person or one other. That’s what this [bill] is about,” stated Wall.

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