Ontario has imposed a potential initial fine on a ticket resale platform under the province’s anti-scalping legislation, with SeatGeek Canada facing penalties amid resellers attempting to offload tickets for upcoming events like the Toronto International Film Festival. The consumer protection website of the province disclosed that SeatGeek Canada was fined $25,000 at the end of August, indicating it could be the first platform to face financial consequences under the ticket resale law implemented in April. The fine breakdown includes a $10,000 penalty for allegedly selling a ticket above its face value, $5,000 for not disclosing the original ticket purchase price, and an additional $10,000 for allegedly facilitating a transaction without proof of the original price.
Cristian Buzo Tingarov, a representative for Ontario’s Minister of Public and Business Service Delivery, Stephen Crawford, declined to provide details on the event connected to the fines or if additional fines will be issued. Sellers in Ontario are required to adhere to legislation prohibiting ticket resale above face value, with potential fines of up to $250,000 for violators.
Joe Freeman, SeatGeek’s vice-president of government affairs, did not confirm whether the company intends to pay the fines or contest them. Despite warning third-party sellers about the law, Freeman mentioned that SeatGeek is seeking guidance from the province on compliance procedures. The company faces challenges in verifying the original ticket value, especially since many sellers lack access to this information, such as season ticket holders.
StubHub Canada echoed similar sentiments regarding Toronto International Film Festival (TIFF) listings on its platform, emphasizing the difficulty in confirming original ticket prices due to the nature of ticket packages and potential tampering with receipts by resellers. StubHub highlighted the necessity of data from the original ticket purchase platform to ensure compliance with the law but noted unresolved issues in terms of verifying the original ticket price.
Some TIFF listings on Vivid Seats also indicated prices exceeding those reported by fans during member sales. Vivid Seats defended its actions, stating it has engaged in active discussions with the Ontario government to comply with the new ticket resale regulations. The province had previously informed 27 ticket resale websites, including StubHub and Vivid Seats, about potential non-compliance inspections. StubHub was subsequently added to a consumer beware list for alleged non-compliance, with ongoing conversations between Vivid Seats and the province to meet regulatory requirements.