HF 1989

4th Engrossment - 93rd Legislature (2023 - 2024) Posted on 04/11/2024 08:32pm

A bill for an act
relating to consumer protection; requiring disclosures relating to ticket sales;
prohibiting conduct in connection with ticket sales; requiring disclosure of data
to the commissioner of commerce; allowing enforcement by the commissioner of
commerce; proposing coding for new law in Minnesota Statutes, chapter 325F.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [325F.676] TICKET SALES.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
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new text begin (b) "Commissioner" means the commissioner of commerce.
new text end

new text begin (c) "Entertainment" means all forms of entertainment, including but not limited to
theatrical or operatic performances, concerts, motion pictures, entertainment at fairgrounds,
amusement parks, athletic competitions and other sports, and all other forms of diversion,
recreation, or show.
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new text begin (d) "Internet domain name" means a globally unique, hierarchical reference to an Internet
host or service, which is assigned through a centralized Internet naming authority and which
is composed of a series of character strings separated by periods with the rightmost string
specifying the top of the hierarchy.
new text end

new text begin (e) "Online ticket marketplace" means the administrator of a website or other electronic
service, including an agent, employee, or assignee of the administrator, that sells tickets or
maintains a platform to facilitate the sale of tickets.
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new text begin (f) "Operator" means a person, including an agent, employee, or assignee of the person,
who:
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new text begin (1) owns, operates, or controls a place of entertainment;
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new text begin (2) produces entertainment; or
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new text begin (3) sells a ticket to a place of entertainment for original sale.
new text end

new text begin (g) "Person" means a party, individual, partnership, association, corporation, or other
legal entity.
new text end

new text begin (h) "Place of entertainment" means an entertainment facility, including but not limited
to an amphitheater, theater, stadium, arena, racetrack, museum, amusement park, venue,
club, or other place where performances, concerts, exhibits, athletic games, contests, or
other forms of entertainment are held. For the purposes of this section, place of entertainment
does not include movie theaters.
new text end

new text begin (i) "Ticket reseller" means a person that offers or sells tickets for resale after the original
sale to an entertainment event located in this state and includes an operator to the extent
that the operator offers or sells tickets for resale. Sales by a ticket reseller include sales by
any means, including but not limited to in person or by telephone, mail, delivery service,
facsimile, Internet, email, or other electronic means. A ticket reseller does not include a
person that purchases a ticket solely for the person's own use or the use of the person's
invitees, employees, or agents.
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new text begin (j) "URL" means a uniform resource locator for a website on the Internet.
new text end

new text begin Subd. 2. new text end

new text begin Disclosures. new text end

new text begin (a) An operator, ticket reseller, or online ticket marketplace must,
at all times during the ticket listing and purchasing process, disclose in an easily readable
and conspicuous manner and in dollars:
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new text begin (1) the total cost of the ticket, inclusive of all fees and surcharges that must be paid in
order to purchase the ticket;
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new text begin (2) the portion of the ticket price that represents a service charge; and
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new text begin (3) any other fee or surcharge charged to the purchaser.
new text end

new text begin (b) The disclosure of subtotals, fees, charges, and all other components of the total price
must not be false or misleading, and must not be presented more prominently or in the same
or larger size than the total price. The disclosure of subtotals, fees, charges, and all other
components of the total price may be displayed in a manner that allows the purchaser to
hide or minimize the itemized list. The price of a ticket must not increase with respect to a
particular person after the ticket is first displayed to the person, excluding reasonable fees
for the delivery of nonelectronic tickets based on the delivery method selected by the
purchaser and any additional purchases made by the purchaser, which must be disclosed
prior to accepting payment.
new text end

new text begin (c) A ticket reseller and online ticket marketplace must disclose in an easily readable
and conspicuous manner on the ticket reseller's or online ticket marketplace's website or
electronic service:
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new text begin (1) that the website or electronic service is owned or operated by a ticket reseller or
online ticket marketplace and that the price of a resale ticket offered for sale may be higher
or lower than the original purchase price;
new text end

new text begin (2) that the purchaser is responsible for checking with the place of entertainment for
information on changes to the event or cancellations prior to the event's start time; and
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new text begin (3) the refund policy of the ticket reseller or online ticket marketplace.
new text end

new text begin A ticket reseller or online ticket marketplace must require a purchaser to confirm having
read the disclosures required by this paragraph before completing a transaction.
new text end

new text begin (d) A ticket reseller or online ticket marketplace must provide to the purchaser proof of
purchase, which must include all event and ticket information, within 24 hours of the
purchase, including:
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new text begin (1) that the purchaser is responsible for checking with the place of entertainment for
information on changes to the event or cancellations prior to the event's start time; and
new text end

new text begin (2) the refund policy of the ticket reseller or online ticket marketplace.
new text end

new text begin (e) An online ticket marketplace must not use any combination of text, images, trademark,
copyright, web designs, or Internet addresses that is identical or substantially similar to text,
images, trademark, copyright, web designs, or Internet addresses associated with a place of
entertainment without the written permission of the place of entertainment duly authorized
to provide the permission. This paragraph does not prohibit an online ticket marketplace
from using text containing the name of a place of entertainment or of an event in order to
describe the location of the event or the event itself. This paragraph does not prohibit an
online ticket marketplace from providing information or images identifying the specific
seat or area the purchaser will occupy in the place of entertainment.
new text end

new text begin (f) The obligations of paragraphs (a) to (d) do not apply to any person, unless the person
engaged in annual aggregate transactions that were equal to or greater than $5,000.
new text end

new text begin Subd. 3. new text end

new text begin Prohibitions. new text end

new text begin (a) A ticket reseller or online ticket marketplace must not:
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new text begin (1) sell or offer to sell more than one copy of the same ticket to a place of entertainment;
new text end

new text begin (2) directly or indirectly employ another person to wait in line to purchase tickets for
the purpose of reselling the tickets if the practice is prohibited or if the place of entertainment
has posted a policy prohibiting the practice;
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new text begin (3) sell or offer to sell a ticket without first informing the person of the location of the
place of entertainment and the ticket's assigned seat, including but not limited to the seat
number, row, and section number of the seat;
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new text begin (4) sell or offer to sell a ticket for which there is no assigned seat without first informing
the person of the general admission area to which the ticket corresponds; or
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new text begin (5) advertise, offer for sale, or contract for the sale of a ticket before the ticket has been
made available to the public, including via presale, without first obtaining permission from
the place of entertainment and having actual or constructive possession of the ticket, unless
the ticket reseller owns the ticket pursuant to a season ticket package purchased by the ticket
reseller.
new text end

new text begin (b) A person must not use or cause to be used an Internet domain name or subdomain
thereof in an operator, ticket reseller, or online ticket marketplace website's URL that contains
any of the following, unless acting on behalf of the place of entertainment, event, or person
scheduled to perform or appear at the event:
new text end

new text begin (1) the name of a place of entertainment;
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new text begin (2) the name of an event, including the name of a person scheduled to perform or appear
at the event; or
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new text begin (3) a name substantially similar to those described in clause (1) or (2).
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new text begin (c) A person must not:
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new text begin (1) circumvent any portion of the process for purchasing a ticket on the Internet or for
admission to a place of entertainment, including but not limited to security or identity
validation measures or an access control system; or
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new text begin (2) disguise the identity of a purchaser for the purpose of purchasing a number of tickets
for admission to a place of entertainment that exceeds the maximum number of tickets
allowed for purchase by a person.
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new text begin (d) A person must not sell a ticket obtained in violation of paragraph (c) if the person:
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new text begin (1) participated in or had the ability to control the conduct committed in violation of
paragraph (c); or
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new text begin (2) knew that the ticket was acquired in violation of paragraph (c).
new text end

new text begin (e) An operator, online ticket marketplace, or ticket reseller must not sell a ticket unless:
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new text begin (1) the ticket is in the possession or constructive possession of the operator, online ticket
marketplace, or ticket reseller; or
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new text begin (2) the operator, online ticket marketplace, or ticket reseller has a written contract with
the place of entertainment to obtain the ticket.
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new text begin (f) Pursuant to United States Code, title 15, section 45c, circumvention of a security
measure, access control system, or other technological control measure used by an online
ticket marketplace to enforce posted event ticket purchasing limits or to maintain the integrity
of posted online ticket purchasing order rules is prohibited.
new text end

new text begin Subd. 4. new text end

new text begin Commissioner data requests; data practices. new text end

new text begin Upon request by the
commissioner, an online ticket marketplace must disclose to the commissioner information
about technology and methods used in an alleged violation of subdivision 3, paragraph (f).
Data collected or maintained by the commissioner under this subdivision are civil
investigative data under section 13.39 and the commissioner may share with the attorney
general any not public data, as defined in section 13.02, subdivision 8a, received under this
subdivision.
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new text begin Subd. 5. new text end

new text begin Enforcement. new text end

new text begin The commissioner may enforce this section under section 45.027.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2025, and applies to tickets
sold on or after that date.
new text end