Johnson Ticket Bill Bans Listing Unheld Tickets, Mostly

The text as introduced · 1,379 words

89R6172 SCR-F

By: Johnson
S.B. No. 1820

A BILL TO BE ENTITLED

AN ACT

relating to certain disclosures and other requirements and

prohibited conduct relating to the sale of tickets for concerts and

other events.

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

SECTION 1. Subtitle B, Title 10, Business & Commerce Code,

is amended by adding Chapter 330 to read as follows:

CHAPTER 330. SALE OF EVENT TICKETS

Sec. 330.001. DEFINITIONS. In this chapter:

(1) "Base ticket price" means the purchase price of a

ticket for an event. The term does not include an event ticket fee

or any taxes.

(2) "Charitable organization" has the meaning

assigned by Section 84.003, Civil Practice and Remedies Code.

(3) "Charitable purpose" has the meaning assigned by

Section 163.003, Property Code.

(4) "Event" means a concert, theatrical performance,

sporting event, exhibition, show, or similar scheduled activity

that:

(A) is open to the public;

(B) is held in a public or private venue; and

(C) requires payment of an admission fee to

attend the activity.

(5) "Event ticket fee" means a fee or charge added to

the base ticket price to obtain an event ticket from either a

primary ticket seller or secondary market ticket seller. The term:

(A) includes:

(i) a service fee or charge;

(ii) an order processing fee;

(iii) a delivery fee; and

(iv) a facility charge fee; and

(B) does not include:

(i) a tax;

(ii) a reasonable postage or carrier charge

incurred to ship nonelectronic tickets based on the location or

delivery method selected by the purchaser; or

(iii) a charge or fee for an optional

product or service associated with the event.

(6) "Nonprofit organization" has the meaning assigned

by Section 541.001.

(7) "Optional product or service" means a product or

service that a person is not required to purchase to use or take

possession of an event ticket.

(8) "Primary sale" means the initial sale of a ticket

for an event.

(9) "Primary ticket seller" means any of the following

persons that are engaged in the primary sale of tickets for an

event:

(A) an owner or operator of a venue;

(B) a manager or provider of an event;

(C) a provider of ticketing services; or

(D) an agent of a person described by Paragraph

(A), (B), or (C).

(10) "Resale" or "reselling" means the sale of an

event ticket by a primary ticket seller occurring any time after the

primary sale of the ticket.

(11) "Secondary market ticket exchange" or "exchange"

means a person that operates a platform or exchange for

advertising, listing, or selling resale tickets on the person's own

behalf or on behalf of a vendor or secondary market ticket seller.

The term includes a primary ticket seller offering tickets for

resale.

(12) "Secondary market ticket seller" means an entity

engaged in the business of reselling event tickets to the public.

(13) "Total ticket price," with respect to a ticket

for an event, means the total cost of the ticket. The term includes

the base ticket price and an event ticket fee.

(14) "Venue" means a stadium, arena, theater, concert

hall, or other place used for events.

Sec. 330.002. APPLICABILITY OF CHAPTER. This chapter

applies only to the sale, including resale, of a ticket for an event

held or to be held in a venue in this state with a seating or

attendance capacity of more than 200 people.

Sec. 330.003. TRANSPARENCY OF MARKETING, DISTRIBUTION, AND

PRICING OF TICKETS. (a) Except as provided by Subsection (b), a

primary ticket seller, secondary market ticket seller, or secondary

market ticket exchange may not offer for sale an event ticket unless

the seller or exchange:

(1) clearly and conspicuously discloses to a potential

purchaser the total ticket price from the time the price is first

displayed and continuously throughout the ticket purchasing

process;

(2) does not increase the total ticket price from the

time the price is first displayed to a potential purchaser; and

(3) if applicable to the seat and venue, identifies

the row number and zone or section of the ticket.

(b) Subsection (a)(2) does not apply if a potential ticket

purchaser's transaction time expires before making a purchase.

Sec. 330.004. PRIMARY TICKET SELLER REQUIREMENTS. (a) A

primary ticket seller may not restrict or impair the ability of a

purchaser of an event ticket sold by the seller or by the venue

holding the event from reselling the ticket:

(1) independently of the seller or of any secondary

market ticket exchange owned by or affiliated with the seller; or

(2) on a secondary market ticket exchange chosen by

the purchaser.

(b) A primary ticket seller may not require a minimum or

maximum price for the resale of any ticket purchased from the

seller.

(c) For purposes of this subsection, a sanction includes

denial of admission to an event or denial of rights to or renewal of

bundled series tickets. A primary ticket seller may not sanction or

discriminate against a ticket purchaser for:

(1) reselling or gifting a ticket; or

(2) purchasing a resold ticket.

(d) A primary ticket seller shall deliver an event ticket to

a ticket purchaser not later than the seventh day after the date the

purchaser purchases the ticket.

(e) Subject to the requirements of Subsections (a)-(d),

this section may not be construed to prohibit an operator of a venue

at which an event is held or to be held from maintaining and

enforcing policies regarding access control to, or conduct or

behavior at, the venue. An operator of a venue may revoke or

restrict tickets:

(1) for a reason relating to a violation of venue

policies that are available in writing;

(2) for the safety of the venue's patrons; or

(3) to address misconduct occurring on the venue's

premises.

(f) An operator of a venue may prohibit the resale of a

ticket initially offered:

(1) at no charge and access to which is not contingent

on providing any form of monetary consideration; or

(2) by or on behalf of a charitable organization for a

charitable purpose if all the ticket sale proceeds are provided to

the charitable organization.

(g) Notwithstanding any other provision of this section to

the contrary, any educational institution or nonprofit

organization associated with the educational institution may

establish and enforce prohibitions, restrictions, or conditions on

the resale and transfer of tickets sold or otherwise made available

to the educational institution's or nonprofit organization's

officers, directors, employees, sponsors, or vendors.

Sec. 330.005. REQUIREMENTS FOR SECONDARY MARKET TICKET

SELLERS AND EXCHANGES. (a) A secondary market ticket seller or

exchange may not sell, or offer or advertise for sale, an event

ticket unless the seller or exchange has actual or constructive

possession of the ticket.

(b) This section may not be construed to prohibit a

secondary market ticket seller or exchange from offering a service

to a consumer to obtain an event ticket on the consumer's behalf if

the seller or exchange:

(1) does not market or list the service as an event

ticket;

(2) maintains a clear, distinct, and easily

discernible separation between the service and the direct purchase

of event tickets through an unavoidable visual demarcation that

persists throughout the entire service selection and purchasing

process;

(3) clearly and conspicuously discloses to a potential

purchaser that purchase of the service:

(A) is not considered the direct purchase of an

event ticket; and

(B) does not guarantee the purchaser will receive

an event ticket;

(4) if the service is unable to obtain tickets to a

specified event purchased through the service, provides to the

purchaser of the service within a reasonable time:

(A) a full refund for the total cost charged by

the service to obtain the event ticket; or

(B) subject to availability, a replacement event

ticket in the same or a comparable location with prior approval of

the purchaser; and

(5) does not obtain more tickets than the maximum

number of tickets that can be purchased in a single transaction as

set by the venue and artist for each event.

Sec. 330.006. OTHER LAWS NOT AFFECTED. This chapter may not

be construed to nullify, expand, or otherwise affect any other law

regarding the sale of a ticket for a concert or other event.

SECTION 2. This Act takes effect October 1, 2025.