Colorado lawmakers advance bill on transparency in ticketing industry

A panel of House legislators on Wednesday advanced legislation that sponsors say will increase transparency in the online ticketing industry and protect consumers who purchase tickets for live entertainment and sports games.

bill that originated in the Senate last year also sought to tackle transparency issues within the ticketing industry but Gov. Jared Polis ultimately vetoed it. This year’s bill, House Bill 1378, is a more consumer-oriented approach, said sponsor Rep. William Lindstedt, D-Broomfield.

Lindstedt said he and cosponsor Rep. Alex Valdez, D-Denver, have had extensive discussions with ticketing companies and venues, which support the bill.

“We’ve worked in good faith with all of the folks on all sides of this issue to try to get to a good set of ground rules,” Lindstedt said. “I think these are all things that everyone can agree to make buying tickets in this state just a little bit better for consumers.”

The bill requires ticket sellers to guarantee consumer refunds under certain circumstances, such as if an event is canceled. It also prohibits a venue from denying entry to individuals who purchased their tickets from a reseller, which has happened in the past due to concerns over the authenticity of resold tickets.

The bill amends the state’s consumer protection statutes to expand upon actions that constitute deceptive trade practices. These include creating websites designed to look like legitimate ticket sales sites with the intent of misleading consumers, selling a ticket without disclosing its total cost, and increasing the price of a ticket once it has been selected for purchase.

Lindstedt said the bill represents a step forward for consumer rights in the live entertainment industry.

“I think this bill sets really good groundwork for protecting consumers in this space, and we’ll do the right thing so residents here in Colorado can go enjoy the things that make our state such a great place to live in,” he said.

Brian Hess of the Sports Fans Coalition agreed with the bill’s sponsors and highlighted the importance of the consumer protections outlined in the bill for Coloradans in particular.

“Colorado has one of the richest sports cultures in the country, a vibrant live event industry, and has been a leader in consumer protections for many years,” he said. “Passing House Bill 1378 will cement Colorado’s years-long leadership in ticketing policy for many years to come.”

Sean Auyash of StubHub, the world’s leading ticket reselling platform, said Colorado’s ticketing laws have been a model for other states’ legislation for over 15 years. He said the company also supports the bill because it ensures a “safe, transparent, and competitive ticketing marketplace.”

“We believe a competitive marketplace provides consumers greater access to the events they want to experience and the ability to purchase tickets at a fair and market-driven price,” Auyash said.

The bill passed through the House Business Affairs and Labor Committee, 8-1, with Rep. Stephanie Luck, R-Penrose, being the only no vote.

Lindstedt said the work parties put in over the past several months to reach a mutual agreement ensured the bill wouldn’t hit the same roadblocks as the previous year.

“We’ve been working on this for a long time,” he said. “While it doesn’t have anything in it that every stakeholder would’ve loved, I think it represents good consensus-based negotiations to protect consumers in this state and address some of the worst behavior we’ve seen in this industry.”

Lindstedt added: “It’s a really good step forward. It’ll be foundational for consumers in the state to be able to go see shows and be able to get tickets to sporting events and have a good time enjoying some of the best parts of Colorado.”

Valdez said the bill would go a long way toward rebuilding the relationships between consumers and ticketing companies, which he said have been eroding for some time.

“Folks are gonna feel like right up front they know what they’re getting into. They’re gonna know what their rights are in the event of a cancellation, and that’s just better for everybody, including bands, sporting teams, and ticket-sellers, but especially for consumers,” he said.

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