A day after they were added to a provincially run consumer watchlist, ticket resale sites SeatGeek and StubHub are saying the government has failed to provide them with enough clarity around a new law banning the resale of tickets above face value.
“We continue to engage in good-faith efforts with the Ontario government to obtain guidance on how to comply with this new law. We have not yet received meaningful direction,” Joe Freeman, vice-president of government affairs at SeatGeek, said in an email.
Back in March, the government said it would crack down on ticket resellers who gouge consumers and went on to pass legislation to ban the resale of tickets in the province above face value
A week ago, the Ford government said it would be increasing financial penalties up to $25,000 for repeat offenders from the previous limit of $10,000.
SeatGeek and StubHub were added to the province’s Consumer Beware List on Wednesday, just two days before the start of the World Cup in Toronto. The higher penalties came into effect the same day.
“StubHub has been complying to the best of our ability and remains committed to working with the government to address any outstanding issues,” the company said in an email.
“Over the past seven weeks, we have been seeking guidance on key details that are fundamental to compliance, such as what constitutes acceptable proof of a ticket’s original price. We received partial answers to these questions today and are continuing to work with the Ministry toward full compliance.”
In a statement, a spokesperson for Minister of Public and Business Service Delivery and Procurement Stephen Crawford said the government has been working with the ticket companies to implement the new legislation.
“All ticket sellers in Ontario must comply with our legislation that prohibits the resale of tickets above face value. Any seller who breaks those rules could face fines of up to $250,000 and be publicly identified on the consumer beware list,” the statement read.
SeatGeek said it has taken proactive steps to notify third-party sellers on its site that Ontario’s law is in effect and that they are expected to comply.
However, the company said enforcement remains difficult as original ticket sellers, such as Ticketmaster, have not been forthcoming with the original ticket prices.
“For secondary marketplaces like SeatGeek, one of the challenges is that many sellers, such as season ticket holders, do not have access to the original face value of their tickets,” Freeman said. “This is information that only a primary ticketer like Ticketmaster would have.”
The company questioned why Ticketmaster is not on the buyer-beware list since it is not providing the original ticket prices, and also questioned why the City of Toronto is not on the list since it is reselling World Cup tickets at a profit.
In a statement of its own, a Ticketmaster Canada spokesperson said the company supports the legislation and does enable customers to see their original purchase price.
“Every ticket sale comes with a receipt that reflects the purchase price and serves as a reliable record to support compliance with the new legislation,” the company said. “Any suggestion that this information cannot be made available to resale platforms is untrue and a refusal to comply with Ontario law at the expense of the consumer.”
The company said it is “happy to support fans with any concerns on the process” should they encounter any problems.
