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ARIZONA STATE SENATE
Fifty-Sixth Legislature, Second Regular Session
event online ticket sales
Purpose
Prohibits a person from using or creating a bot to purchase tickets for an event online ticket sale in excess of the posted limit or to circumvent or disable a system used to facilitate an online ticket sale or authorized event entry. Authorizes the Attorney General (AG) to investigate and bring an action against a person who violates event online ticket sale regulations.
Background
The federal Better Online Ticket Sales Act of 2016 (BOTS Act) prohibits the circumvention of a ticket issuer's online security measure, access control system or other technological measure that is used to enforce posted event ticket purchasing limits or to maintain the integrity of posted online ticket purchasing order rules for a public event with an attendance capacity exceeding 200 persons. The BOTS Act prohibits the sale of an event ticket obtained through such a circumvention violation if the seller participated in, had the ability to control, or should have known about the violation. A violations of the BOTS Act is treated as an unfair or deceptive act or practice under the Federal Trade Commission Act and the Federal Trade Commission and each state is authorized to enforce violations (P.L. 114-274, 114th Congress, 2016).
Statute prohibits a person from selling an entertainment event ticket purchased for the purpose of resale for a price that exceeds the face value of the ticket, including taxes and other charges, while being within 200 feet of entry to the venue where the event is being held or the venue's parking area. Additionally, a person may not alter a ticket's printed price without the original vendor's written consent. A person who violates the prohibitions is guilty of a petty offense (A.R.S. § 13-3718).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Prohibits a person from using or creating a bot to:
a) purchase tickets in excess of the posted limit for an online ticket sale;
b) use multiple internet protocol addresses, multiple purchaser accounts or multiple email addresses to purchase tickets in excess of the posted limit for an online ticket sale;
c) circumvent or disable an electronic queue, waiting period, presale code or other sales volume limitation system associated with an online ticket sale; or
d) circumvent or disable a security measure, access control system or other control or measure that is used to facilitate authorized entry to an event.
2. Defines bot as any automated software program that:
a) performs automatic and repetitive tasks and that is designed to impersonate or replicate human activity online; and
b) does not include autofill or password management features built into an internet browser or provided through separate software.
3. Defines event as 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 event.
4. Defines ticket as a physical or electronic certificate, voucher, document, token or other evidence of a right for admission to enter a place of entertainment for one or more events at one or more specified dates and times.
5. Authorizes the AG to investigate a claim that a person violated the event online ticket sales prohibition.
6. Authorizes the AG to bring action against a person who violates the event online ticket sales prohibition for injunctive relief and authorizes the AG to seek restitution and petition a superior court for an assessment of a civil penalty.
7. Sets the civil penalty for violations of event online ticket sales prohibition at a maximum of $10,000 for each violation and specifies that each ticket transaction in which a ticket is acquired to be sold constitutes a separate violation.
8. Prohibits a civil penalty from exceeding $100,000 for a person who violates a court order or injunction issued to enforce the event online ticket sales regulation.
9. Authorizes the AG to recover all reasonable costs relating to bringing an action for the enforcement of event online ticket sale regulations, including court costs, reasonable attorney fees and investigation costs.
10. Becomes effective on the general effective date.
House Action
COM 1/23/24 DP 9-1-0-0
3rd Read 2/22/24 43-15-1-0-1
Prepared by Senate Research
March 14, 2024
MG/JC/cs