The Ontario government has initiated actions against ticket scalpers and resale platforms to ensure compliance with recent regulations that limit ticket resale prices to face value. Despite the new rules, some platforms continue to list tickets at inflated prices.
Minister of Public and Business Service Delivery and Procurement, Stephen Crawford, mentioned that notifications of inspections have been sent out to resellers, with inspections currently ongoing. The crackdown targets various resellers, including ticket brokers and major companies such as StubHub and SeatGeek.
The legislation, part of Ontario’s provincial budget, prohibits the sale of tickets above their original purchase price. Consequently, FIFA withdrew resale World Cup tickets for upcoming Toronto games, and Ticketmaster adjusted its site to prevent listings above face value.
Enforcement activities this week may involve communication with resellers regarding their practices, requesting records, site visits, and potential penalties. Violations could result in fines ranging from $3,000 to $250,000, as stated by a ministerial spokesperson.
While some companies are still offering tickets above face value, they claim to be cooperating with regulators for compliance. StubHub, for instance, is determining the applicability of the price cap to pre-existing listings. Viagogo’s Frank Mulqueen mentioned the challenge of verifying face values and emphasized the need for clarity before the law’s enforcement.
Minister Crawford emphasized a collaborative approach with companies for compliance but warned of penalties if necessary. The need for swift action was stressed for companies continuing to sell tickets above face value.
Concerns remain regarding the enforcement of price caps, with experts suggesting that limitations may drive transactions to unofficial channels. Despite potential challenges, the new regulations aim to curb excessive pricing practices in ticket resale markets.