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NEW YORK DAWN™ > Blog > Entertainment > Why California’s combat over ticket fraud has change into a proxy battle towards Ticketmaster and Reside Nation
Why California’s combat over ticket fraud has change into a proxy battle towards Ticketmaster and Reside Nation
Entertainment

Why California’s combat over ticket fraud has change into a proxy battle towards Ticketmaster and Reside Nation

Last updated: January 29, 2026 12:44 pm
Editorial Board Published January 29, 2026
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A yr in the past, Colorado firefighters Rick Balentine and Tim Cottrell have been driving vehicles carrying donations from Aspen to Los Angeles for victims of the Eaton and Palisades fires.

“We knew they were aftermarket tickets,” Balentine stated, “but never in a million years did I think that tickets could get canceled.”

“I was very disappointed. There needs to be more protection out there, both for consumers and for artists, so people aren’t getting ripped off all the time.”

The rising demand for tickets has spurred a rising market for all types of high-profile dwell occasions, together with music excursions and sports activities collection just like the upcoming World Cup. Every time followers are unable to safe tickets on the first market, by way of sellers like Ticketmaster or AXS, many will flip to the secondary marketplace for resale tickets. These tickets are sometimes offered by way of platforms like StubHub, SeatGeek and Vivid Seats. Clients who purchased their passes immediately from Ticketmaster may also resell them on that platform.

Nearly all of secondary-market transactions could be straightforward, leaving each the reseller and the client glad. However with the rise of speculative or pretend tickets, like those Balentine and Cottrell purchased, securing legitimate tickets from the resale market has change into more difficult.

What are speculative tickets?

Speculative tickets are supplied by resellers who record live performance passes they don’t but have of their possession, with the intention that they are going to finally purchase the tickets and ship them to the client. In keeping with 2025 knowledge from Reside Nation, one in three People has fallen sufferer to a ticketing rip-off. However underneath California’s invoice, AB 1349, promoting speculative tickets could possibly be banned on all resale platforms within the state. On Monday, the invoice handed in an meeting vote and is headed to the state Senate for assessment.

Hundreds of followers take pleasure in Shakira’s efficiency at SoFi Stadium in August.

(Jason Armond/Los Angeles Instances)

Speculative tickets often pop up as quickly as a serious artist publicizes a tour. Most just lately, Ok-pop boy band BTS introduced a world tour that features 4 stops at SoFi Stadium. Earlier than the final sale started Jan. 24, some sellers on Vivid Seats had already began itemizing tickets for over $6,000. Listings like these often create a higher sense of shortage, which may drive up ticket costs much more.

If enacted, the proposed laws in California would require sellers to have occasion tickets of their possession earlier than providing them on the market. The itemizing should embrace the placement of the seat and particular refund rights. It prohibits an individual from utilizing software program that mechanically purchases extra tickets than the desired restrict, and it will elevate the utmost civil penalty for every violation from $2,500 to $10,000.

The dwell music trade is an important a part of the state’s financial system, contributing over $51 billion to California’s GDP and supporting over 460,000 jobs, in line with the database 50 States of Music.

Ticketing fraud tends to have an effect on extra than simply the patron. Every time an unknowing fan exhibits as much as a venue with a pretend ticket, it usually falls on the venue and its workers to take care of the state of affairs. Stephen Parker, the manager director of the Nationwide Unbiased Venue Affiliation, stated that if speculative tickets are banned in California, venues may save as much as $50,000 in staffing bills.

A general view of a portion of the stadium interior

Los Angeles’ SoFi Stadium, the place many concert events and ticketed dwell occasions are held.

(Icon Sportswire/Icon Sportswire through Getty Photos)

“They have to deal with fans who are crying, who are angry, who are upset because they thought they were going to go see their favorite artists that night, and they paid [over the] ticket’s face value only to not get a ticket that works or to not get a ticket at all,” stated Parker.

Combating ticket fraud and reining in a ticketing large

There are at present dozens of legislative payments all through the U.S. centered on occasion ticketing points. Some states like Maryland, Minnesota and Maine have already handed restrictions on speculative tickets.

The motion comes after each the Division of Justice and the Federal Commerce Fee sued Ticketmaster and its father or mother firm, Reside Nation Leisure, in 2024 and 2025. The DOJ’s lawsuit suggests breaking apart the corporate, which it accuses of participating in monopolistic practices. The criticism additionally alleges the corporate forces venues into unique ticketing contracts and influences artists to make use of solely its providers.

Based in 1976, Ticketmaster has been the trade’s largest ticket distributor since 1995, with round 80% of dwell concert events offered by way of the location. The corporate merged with Reside Nation in 2010.

Ticketmaster has additionally acquired a rising share of the resale market, underneath the platform Ticketmaster Resale. The positioning permits shoppers to record, promote or discover tickets to dwell occasions. The enterprise capabilities equally to different resale websites, however Ticketmaster doesn’t enable speculative ticket gross sales on its platform.

Moreover, Ticketmaster is not permitting customers to have a number of accounts, which made it simpler to buy extra tickets than the desired restrict, and it’s shutting down Commerce Desk, the controversial software program that helps resellers observe and worth tickets throughout a number of marketplaces.

Hundreds enjoy a performance by Banda Los Lagos during Jalisco Fest at the 2025 Santa Fe Springs Swap Meet.

A whole bunch take pleasure in a efficiency by Banda Los Lagos throughout Jalisco Fest on the 2025 Santa Fe Springs Swap Meet.

(Genaro Molina/Los Angeles Instances)

“The FTC case against us is very frustrating because we think they’re sort of blaming the victim here. We’re the ones that are dealing with millions and millions of bots attacking us every day,” stated Dan Wall, Reside Nation’s vp of company and regulatory affairs. “We’re trying to convince the federal government and state governments to get on the same page of recognizing where the problem is, which is overwhelmingly in the resale industry, and trying to do something about it.”

“We’re a much more artist and consumer-focused company, and so we don’t engage in the different kinds of business practices that are sketchy and unfair to the fans. We try to be a much more honest, legitimate outlet for getting resale tickets,” stated Wall.

Critics discover that the surge of anti-speculative ticketing payments across the nation is a method for Ticketmaster to divert consideration from its personal authorized troubles and shift consideration onto the resale market. Reside Nation is a key supporter of the California invoice. Diana Moss, the director of competitors coverage on the Progressive Coverage Institute, referred to as AB 1349 “overkill” in terms of the provisions and restrictions it locations on the secondary market.

Fans cheer Sexyy Red at the Rolling Loud concert at Hollywood Park in March.

Followers cheer Sexyy Crimson on the Rolling Loud live performance at Hollywood Park in March.

(Michael Owen Baker/For The Instances)

“A lot of these bills in the states are a vehicle to disable the resale markets and hinder how they operate. Resale markets are important to consumers,” stated Moss. “If you disable the resale market, then fans have no place to go — but back to Ticketmaster. That’s the whole game, disable the resale markets with legislation and regulation, and then everybody has to go back and deal with Ticketmaster and pay their monopoly ticket fees.”

Provisions in AB 1349 deem a ticket a license. The query of whether or not a ticket is a proper or a license is an ongoing controversy within the ticketing world. Opponents of the invoice are fearful that this transformation would give extra energy to Reside Nation, as they might impose restrictions on how the ticket can be utilized, corresponding to whether or not you’re allowed to promote your ticket on different platforms or when you can switch it in any respect. Meghan Callahan, from the Empower Followers Coalition, a bunch that opposes the invoice, equates this licensing change to taking a lease out on the ticket.

“Ticketmaster’s goal is to create less competition. This bill imposes restrictions on everybody else but themselves,” stated Callahan. “They are trying to use consumer-friendly concepts and sneak in these other provisions to embolden their monopoly.”

Wall at Ticketmaster stated that nothing on the shoppers’ finish would change if this invoice have been to go, including that tickets are already licenses “from the venue for you to come on the property during the time of the show and sit in that seat.”

“Honesty doesn’t favor one person or another. That’s what this [bill] is about,” stated Wall.

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