I 

116TH CONGRESS 

1ST SESSION H. R. 3248 

To direct the Federal Trade Commission to prescribe rules to protect consumers from unfair and deceptive acts and practices in connection with 

primary and secondary ticket sales, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 13, 2019 

Mr. PASCRELL (for himself, Mr. PALLONE, and Mr. SIRES) introduced the 

following bill; which was referred to the Committee on Energy and Commerce 

A BILL 

To direct the Federal Trade Commission to prescribe rules 

to protect consumers from unfair and deceptive acts and 

practices in connection with primary and secondary ticket 

sales, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Better Oversight of 

5 Secondary Sales and Accountability in Concert Ticketing 

6 Act of 2019’’. 

7 SEC. 2. DEFINITIONS. 

8 As used in this Act, the following definitions apply: 


pbinns on DSK79D2C42PROD with BILLS
2 

•HR 3248 IH

1 (1) The term ‘‘ancillary charges’’ means all fees 

2 that must be paid in order to secure a ticket from 

3 a primary ticket seller or secondary ticket market4 place, including service fees, convenience charges, 

5 parking fees, taxes and other charges. 

6 (2) The term ‘‘base price’’ means the price 

7 charged for a ticket other than any ancillary 

8 charges. 

9 (3) The term ‘‘box office’’ means a physical lo10 cation where tickets are offered for primary sale. 

11 (4) The term ‘‘bundled series tickets’’ means 

12 packages of tickets for multiple events that are part 

13 of the same entertainment series. 

14 (5) The term ‘‘distribution method’’ means the 

15 manner in which a primary ticket seller distributes 

16 tickets to a particular event, whether through pri17 mary sale, limited presale promotions, donations to 

18 charity, reservations of season ticket holders, or allo19 cated to the primary ticket seller, team, artist, or 

20 venue. 

21 (6) The term ‘‘primary sale’’, with regards to a 

22 ticket, means the initial sale of a ticket that has not 

23 been sold previous to such sale, by a primary ticket 

24 seller to the general public on or after the advertised 

25 date of such sale. 


pbinns on DSK79D2C42PROD with BILLS
3 

•HR 3248 IH

1 (7) The term ‘‘primary ticket seller’’ means an 

2 owner or operator of a venue or a sports team, a 

3 manager or provider of an event, or a provider of 

4 ticketing services (or an agent of such owner, oper5 ator, manager, or provider) that engages in the pri6 mary sale of tickets for an event or retains the au7 thority to otherwise distribute tickets. 

8 (8) The term ‘‘purchaser’’ means any person 

9 who purchases a ticket from a primary ticket seller 

10 or a secondary ticket sales marketplace. 

11 (9) The terms ‘‘resale’’ or ‘‘secondary sale’’, 

12 with regards to a ticket, mean any sale of a ticket 

13 that occurs after the primary sale of the ticket. 

14 (10) The term ‘‘secondary ticket sales market15 place’’ means a business, including a website, soft16 ware application for a mobile device, any other dig17 ital platform, or portion thereof, of a physical seller 

18 whose primary purpose is to facilitate the resale of 

19 tickets to purchasers. 

20 (11) The term ‘‘ticket’’ means a ticket of ad21 mission to a sporting event, theater, musical per22 formance, or place of public amusement of any kind, 

23 including bundled series tickets. 


pbinns on DSK79D2C42PROD with BILLS
4 

•HR 3248 IH

1 SEC. 3. RULES ON TRANSPARENCY OF TICKET MARKETING, 

2 DISTRIBUTION, AND PRICING BY PRIMARY 

3 TICKET SELLERS. 

4 Not later than 180 days after the date of enactment 

5 of this Act, the Federal Trade Commission shall promul6 gate rules in accordance with section 553 of title 5, United 

7 States Code, that include the following requirements and 

8 prohibitions with regard to the primary sale, distribution, 

9 and pricing of tickets: 

10 (1) A requirement that a primary ticket seller 

11 disclose and display on the website and at the box 

12 office of such primary ticket seller the total number 

13 of tickets offered for sale to the general public by 

14 such primary ticket seller not less than 7 days be15 fore the date on which tickets shall be available for 

16 primary sale. 

17 (2) A requirement that the primary ticket seller 

18 clearly and conspicuously disclose all ancillary 

19 charges to purchasers at the beginning of a trans20 action before a ticket is selected for purchase. A pri21 mary ticket seller shall display the total cost of the 

22 ticket including all ancillary charges in all price 

23 quotes and advertisements. The price of the ticket 

24 may not change during the purchase process. 

25 (3) A requirement that a primary ticket seller 

26 include the total cost of a ticket in including all anVerDate Sep 11 2014 23:46 Jun 19, 2019 Jkt 034408 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3248.IH H3248

pbinns on DSK79D2C42PROD with BILLS
5 

•HR 3248 IH

1 cillary charges in any refund of a ticket that is pro2 vided for in the primary ticket seller’s refund poli3 cies. 

4 (4) A prohibition on restricting the ability of a 

5 purchaser who has purchased tickets from a primary 

6 ticket seller to resell any such tickets. 

7 (5) A prohibition on requiring a minimum price 

8 for the resale of any tickets purchased from a pri9 mary ticket seller. 

10 (6) A requirement that the primary ticket seller 

11 shall disclose any guarantee or refund policy before 

12 the completion of the sale of a ticket. 

13 SEC. 4. RULES FOR SECONDARY TICKET SALES MARKET14 PLACES. 

15 Not later than 180 days after the date of enactment 

16 of this Act, the Federal Trade Commission shall promul17 gate rules in accordance with section 553 of title 5, United 

18 States Code, that include the following requirements and 

19 prohibitions with regard to the secondary sale, distribu20 tion, and pricing of tickets: 

21 (1) A requirement that if the secondary ticket 

22 sales marketplace does not possess the ticket at the 

23 time of the sale that such secondary ticket sales 

24 marketplace provide— 


pbinns on DSK79D2C42PROD with BILLS
6 

•HR 3248 IH

1 (A) a clear and conspicuous statement that 

2 the secondary ticket sales marketplace does not 

3 possess the ticket; and 

4 (B) an explanation of how to obtain a re5 fund from the secondary ticket sales market6 place if the purchaser receives a ticket that does 

7 not match the description of the ticket by the 

8 secondary ticket sales marketplace. 

9 (2) A requirement that a secondary ticket sales 

10 marketplace disclose to a purchaser when the sec11 ondary ticket sales marketplace is also the primary 

12 ticket seller, venue, team, or artist associated with 

13 the event. 

14 (3) A requirement that a secondary ticket sales 

15 marketplace disclose all ancillary charges to pur16 chasers at the beginning of a transaction before a 

17 ticket is selected for purchase. A secondary ticket 

18 sales marketplace shall display the total cost of the 

19 ticket including all ancillary charges in all price 

20 quotes and advertisements. The price of the ticket 

21 may not change in the selection or during the pur22 chase process. 

23 (4) A requirement that a secondary ticket sales 

24 marketplace disclose upon offering a ticket for re25 sale— 


pbinns on DSK79D2C42PROD with BILLS
7 

•HR 3248 IH

1 (A) the distribution method and the total 

2 cost of each ticket including all ancillary 

3 charges; 

4 (B) the precise location of the seat or 

5 space to which the ticket would entitle the bear6 er, or, if information about the precise location 

7 of the seat or space is not available, descriptive 

8 information about the location of the seat or 

9 space, such as a description of a section or 

10 other area within the venue where the seat or 

11 space is located; and 

12 (C) if the secondary ticket sales market13 place purchased the ticket during a public sale 

14 of tickets to the event, the date and time of the 

15 purchase of the ticket by the secondary ticket 

16 sales marketplace. 

17 (5) A requirement that, if a secondary ticket 

18 sales marketplace guarantees delivery of tickets to a 

19 purchaser and fails to deliver such tickets, the sec20 ondary ticket sales marketplace shall provide a full 

21 refund for the total cost of the ticket, including all 

22 ancillary charges, barring non-delivery due to causes 

23 beyond reasonable control of the seller including a 

24 natural disaster, civil disturbance, or otherwise un25 foreseeable impediment. 


pbinns on DSK79D2C42PROD with BILLS
8 

•HR 3248 IH

1 (6) A requirement that the secondary ticket 

2 sales marketplace disclose to a person purchasing a 

3 ticket any delivery guarantee policy described in 

4 paragraph (5) before completion of the sale of the 

5 ticket. 

6 (7) A requirement that a secondary ticket sales 

7 marketplace— 

8 (A) not make any representation of affili9 ation or endorsement with a venue, team, or 

10 artist, as the case may be, without the express 

11 written consent of the venue, team, or artist, as 

12 applicable, except when it constitutes fair use 

13 and is consistent with applicable laws; and 

14 (B) in the case of an online secondary tick15 et sales marketplace, post a clear and con16 spicuous notice that the website or mobile appli17 cation is engaged in the secondary sale of tick18 ets and require purchasers to confirm having 

19 read such notice before registering for an ac20 count with the secondary ticket sales market21 place or starting a transaction. 

22 (8) A prohibition on the secondary sale of a 

23 ticket by an individual employee of any venue, pri24 mary ticket seller, team, artist, online resale market25 place, or box office that is involved in hosting, proVerDate Sep 11 2014 23:46 Jun 19, 2019 Jkt 034408 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H3248.IH H3248

pbinns on DSK79D2C42PROD with BILLS
9 

•HR 3248 IH

1 moting, performing in, or selling tickets if such sec2 ondary sale— 

3 (A) is for a higher price than the primary 

4 sale of the ticket; or 

5 (B) is made to any third party and the em6 ployee has actual knowledge, or knowledge fair7 ly implied on the basis of objective circumstan8 ces, that the third party intends to sell the tick9 et for a higher price than total cost of the tick10 et, including all ancillary charges. 

11 (9) A prohibition on the secondary sale of a 

12 ticket for the same seat to more than one person at 

13 the same time. 

14 (10) A requirement that no purchaser shall be 

15 sanctioned or denied admission to an event on the 

16 basis that such purchaser resold a ticket, gifted, or 

17 purchased a resold ticket. 

18 SEC. 5. ENFORCEMENT. 

19 (a) FEDERAL TRADE COMMISSION.—A violation of a 

20 rule prescribed pursuant to section 3 or 4 shall be treated 

21 as a violation of a rule defining an unfair or deceptive 

22 act or practice prescribed under section 18(a)(1)(B) of the 

23 Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)). 

24 The Federal Trade Commission shall enforce this Act in 

25 the same manner, by the same means, and with the same 


pbinns on DSK79D2C42PROD with BILLS
10 

•HR 3248 IH

1 jurisdiction as though all applicable terms and provisions 

2 of the Federal Trade Commission Act were incorporated 

3 into and made a part of this Act. 

4 (b) STATE ATTORNEYS GENERAL.— 

5 (1) IN GENERAL.—Except as provided in para6 graph (6), in any case in which the attorney general 

7 of a State has reason to believe that an interest of 

8 the residents of that State has been or is threatened 

9 or adversely affected by the engagement of any per10 son in a practice that violates a rule prescribed 

11 under section 3 or 4, the State, as parens patriae, 

12 may bring a civil action on behalf of the residents 

13 of the State in an appropriate district court of the 

14 United States or other court of competent jurisdic15 tion to— 

16 (A) enjoin that practice; 

17 (B) enforce compliance with the rule; 

18 (C) obtain damages, restitution, or other 

19 compensation on behalf of residents of the 

20 State; and 

21 (D) obtain such other relief as the court 

22 may consider to be appropriate. 

23 (2) NOTICE.—The State shall serve written no24 tice to the Commission of any civil action under 

25 paragraph (1) at least 60 days prior to initiating 


pbinns on DSK79D2C42PROD with BILLS
11 

•HR 3248 IH

1 such civil action. The notice shall include a copy of 

2 the complaint to be filed to initiate such civil action, 

3 except that if it is not feasible for the State to pro4 vide such prior notice, the State shall provide notice 

5 immediately upon instituting such civil action. 

6 (3) INTERVENTION BY FTC.—Upon receiving 

7 the notice required by paragraph (2), the Commis8 sion may intervene in such civil action and upon in9 tervening— 

10 (A) be heard on all matters arising in such 

11 civil action; 

12 (B) remove the action to the appropriate 

13 United States district court; and 

14 (C) file petitions for appeal of a decision in 

15 such civil action. 

16 (4) SAVINGS CLAUSE.—Nothing in this sub17 section shall prevent the attorney general of a State 

18 from exercising the powers conferred on the attorney 

19 general by the laws of such State to conduct inves20 tigations or to administer oaths or affirmations or to 

21 compel the attendance of witnesses or the production 

22 of documentary and other evidence. Nothing in this 

23 section shall prohibit the attorney general of a State, 

24 or other authorized State officer, from proceeding in 


pbinns on DSK79D2C42PROD with BILLS
12 

•HR 3248 IH

1 State or Federal court on the basis of an alleged vio2 lation of any civil or criminal statute of that State. 

3 (5) VENUE; SERVICE OF PROCESS; JOINDER.— 

4 In a civil action brought under paragraph (1)— 

5 (A) the venue shall be a judicial district in 

6 which the defendant or a related party is found, 

7 is an inhabitant, or transacts business, or wher8 ever venue is proper under section 1391 of title 

9 28, United States Code; 

10 (B) process may be served without regard 

11 to the territorial limits of the district or of the 

12 State in which the civil action is instituted; and 

13 (C) a person who participated with a de14 fendant or related party in an alleged violation 

15 that is being litigated in the civil action may be 

16 joined in the civil action without regard to the 

17 residence of the person. 

18 (6) PREEMPTIVE ACTION BY FTC.—Whenever a 

19 civil action or an administrative action has been in20 stituted by or on behalf of the Commission for viola21 tion of any rule described under paragraph (1), no 

22 State may, during the pendency of such action insti23 tuted by or on behalf of the Commission, institute 

24 a civil action under paragraph (1) against any deVerDate Sep 11 2014 23:46 Jun 19, 2019 Jkt 034408 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\H3248.IH H3248

pbinns on DSK79D2C42PROD with BILLS
13 

•HR 3248 IH

1 fendant named in the complaint in such action for 

2 violation of any rule as alleged in such complaint. 

3 (7) AWARD OF COSTS AND FEES.—If a State 

4 prevails in any civil action under paragraph (1), the 

5 State can recover reasonable costs and attorney fees 

6 from the lender or related party. 

7 (c) PRIVATE RIGHT OF ACTION.—Any person who 

8 suffers injury as a result of another person’s violation of 

9 a rule prescribed pursuant to section 3 or 4, may bring 

10 a civil action against such person in a United States dis11 trict court and may recover from such person damages 

12 for such injury plus $1,000 for each requirement or pro13 hibited act set forth in such sections that such person vio14 lated with respect to a ticket sold to the person bringing 

15 such action, and reasonable attorneys’ fees and costs. 

16 SEC. 6. NONPREEMPTION. 

17 Nothing in this Act shall affect the authority of any 

18 State or local government to establish or continue in effect 

19 a provision of law of the State or local government relating 

20 to the regulation of the resale of tickets to events or the 

21 pricing of such tickets for resale, except to the extent that 

22 such provision is inconsistent with this Act or a regulation 

23 promulgated under this Act, and then only to the extent 

24 of the inconsistency. A provision of law of a State or local 

25 government is not inconsistent with this Act or a regulaVerDate Sep 11 2014 23:46 Jun 19, 2019 Jkt 034408 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H3248.IH H3248

pbinns on DSK79D2C42PROD with BILLS
14 

•HR 3248 IH

1 tion promulgated under this Act if such provision provides 

2 equal or greater protection to purchasers than the protec3 tion provided under this Act or such regulation. 

4 SEC. 7. FTC STUDY OF TICKET MARKET. 

5 The Federal Trade Commission shall conduct a study 

6 of the ticket market to determine the effect of the 

7 Commissions’s enforcement actions of the BOTS Act 

8 (Public Law 114–274) since it was enacted on December 

9 14, 2016. The Commission shall transmit a report to Con10 gress that details all enforcement actions taken since the 

11 enactment of the BOTS Act (Public Law 114–274) and 

12 assesses the use of fraudulent identities to circumvent se13 curity measures of a ticket selling website in violation of 

14 such Act. 

Æ 


pbinns on DSK79D2C42PROD with BILLS