The Office of the Maine Attorney General said it has already received 25 complaints about potential violations of a new law that regulates the resale market for tickets — a sector that venues and artists say is rampant with price gouging.
The law, which took effect Sept. 24, prohibits predatory tactics, such as using bots to scoop up seats to resell at huge markups, selling speculative tickets and hiding mandatory fees.
Other states, including Wisconsin and Ohio, are now considering similar legislation.
“From a consumer protection standpoint, this has changed the game,” said Stephen Parker, executive director at the National Independent Venue Association.
Here’s what ticket buyers need to know.
What does the new law do?
Maine law already protected consumers by requiring resellers to refund tickets if an event is canceled, if the ticket is not accepted by a venue because it is fake or invalid, if a ticket is canceled for any reason, or if a ticket is not delivered in time to attend the event.
Under the new law, consumers can get a refund if a reseller makes “a material misrepresentation” about the ticket. Sellers must disclose a ticket’s total price and are prohibited from:
- Selling speculative tickets, which are tickets not already in their possession.
- Using bots to buy tickets online.
- Using deceptive website addresses in order to sell tickets.
- Selling or reselling more than one copy of the same ticket.
- Charging more than 10% of the total price of the original ticket for the service of providing a resale marketplace.
I paid a big markup on a concert ticket. Is that illegal now?
Not necessarily.
The attorney general’s office says the new law does not set a price cap for ticket resales in Maine. What it says is that a business can’t charge more than 10% of the original ticket price “for the service of providing a marketplace for the resale of a ticket.”
The law sets a cap for the reseller’s service fee, but not on the total price of the ticket itself. This point appears to have caused some confusion. Parker, who was involved in discussions about the bill in the Legislature, believes the intent was to set a cap on the total price.
“I think we’re going to continuously see movement and progress toward protecting consumers and making sure we stop people from getting price gouged and are able to enforce price caps,” said Mollie Cashwell, director of the Cultural Alliance of Maine.
Who will enforce the law and how?
The attorney general will enforce the law. A violation is an unfair trade practice, which may result in a civil penalty of up to $10,000, an order for restitution or an injunction.
“Filing a complaint with our office may allow us to mediate any potential issues, or bring suit in the case of a larger-scale problem,” Danna Hayes, a spokesperson for the attorney general’s office, said in an email to the Press Herald this month.
To support a complaint, the Cultural Alliance of Maine suggests consumers compile evidence, including screenshots of receipts or emails with the reseller; information about the reseller, such as the website used for the purchase; event and ticket details, and information about the potential violation, including what was done to try to resolve it with the reseller.
Consumers can file a complaint with the attorney general’s office at maine.gov/ag/consumer.
Hayes said individuals may also file private civil action under the Maine Unfair Trade Practices Act.
What action has been taken on complaints?
Hayes said the attorney general’s office has received 25 complaints about potential violations. The office hasn’t taken any public enforcement action yet.
What do ticket sellers in Maine say about the law?
Local arts and cultural organizations were the primary drivers of the law because they say resellers take advantage of their patrons.
Some have described customers who paid hundreds more than face value for tickets to a musical, fans who showed up for a concert only to learn their tickets were fake, and staff spending hours every week challenging purchases by bots.
Liz Currier, co-director and operations manager at PortTix, sees the disappointment when patrons realize a special night out isn’t going to be how they imagined.
“You just see the life drain right out of people,” Currier said. “It’s awful.”
Curt Dale Clark, artistic director of Maine State Music Theatre in Brunswick, said he meets people who complain that they paid hundreds for tickets and he has to tell them that they didn’t buy those tickets from the theater itself.
“Maine State Music Theatre does not sell a single ticket for more than $168,” he said. “If there’s anything more than that, you know you are being scammed.”
What kind of tickets are subject to this law?
The law applies to tickets for “entertainment events,” which includes performances, concerts, exhibits, games or contests. These protections apply if the buyer is a Maine resident or if the transaction occurs in Maine.
How do I know if I’m buying a ticket from a reseller or the original vendor?
Venues say that customers often think they’re buying from the original website when they’re not. They offered tips on how to know the difference, including:
- Be cautious about clicking the first result in an internet search. Double check to make sure you’re on the website of your chosen venue.
- Check the address of the business hosting the website. If the address doesn’t match the location — or isn’t in the same country as your chosen venue — that’s a red flag.
- Look for and call the phone number listed on the website.
- Beware of high prices and few choices.
- Check ticket prices on the website or social media accounts for the artist, act or team. If the amount you see at checkout is much higher, do more research to understand why.
Who is considered a reseller?
The law defines a ticket reseller as “a business entity whose primary business is the sale or resale of tickets.” So the terms don’t apply to a person as an individual trying to resell a ticket, for example, to a friend. Consumers should always double check with the original vendor to confirm the rules for reselling or transferring a ticket.
Is the law making a difference so far?
For some, yes.
“Since that legislation has passed, not one show of ours has been hit by bots,” said Wayne at the State Theatre, where box office employees have handouts ready about how to file a complaint.
Others said they still see some indicators of predatory behavior or don’t have enough data to know the impact yet. Maggie LaMee, director of finance and administration at Ogunquit Playhouse, said she’ll be watching closely when single tickets go on sale in a couple of months.
“We’ll make sure that people are armed with that information,” she said.
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