If you sell event tickets, you must have a fixed business location, include that address in ads, and follow local licensing rules. Not doing so could lead to up to six months in jail, a fine of up to $2,500, or both. Each illegal sale can result in a separate $2,500 civil penalty. This can be pursued by state or local prosecutors, and penalties can accumulate with other legal actions.
(a)CA Business and Professions Code § 22500(a) A ticket seller shall have a permanent business address from which tickets may only be sold and that address shall be included in any advertisement or solicitation, and shall be duly licensed as may be required by any local jurisdiction.
(b)CA Business and Professions Code § 22500(b) A violation of this section shall constitute a misdemeanor punishable by imprisonment in a county jail not exceeding six months, or by fine not exceeding two thousand five hundred dollars ($2,500), or by both.
(c)CA Business and Professions Code § 22500(c) Any person who engages, has engaged, or proposes to engage in a violation of this section shall be liable for a civil penalty not to exceed two thousand five hundred dollars ($2,500) for each violation, which may be assessed and recovered in a civil action brought in the name of the people of the State of California by the Attorney General, or a district attorney, or a city attorney of a city having a population in excess of 750,000, and, with the consent of the district attorney, by a city prosecutor in any city, county, or city and county having a full-time prosecutor in any court of competent jurisdiction. Payment of the civil penalty shall be made pursuant to the provisions of subdivision (b) of Section 17206. For the purposes of this section, each ticket sold or offered for sale in violation of this section shall constitute a separate violation. The remedies provided by this section are cumulative to each other and to the remedies or penalties available under all other laws of this state.
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(Amended by Stats. 1994, Ch. 1132, Sec. 1. Effective September 30, 1994.)
If you sell tickets, you have to keep track of all your ticket sales, any money you deposit, and any refunds you issue.
A ticket seller shall maintain records of ticket sales, deposits, and refunds.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
If you are selling tickets, you must tell the buyer where the seats are, either by describing their location or showing a map, before completing the sale.
A ticket seller shall, prior to sale, disclose to the purchaser by means of description or a map the location of the seat or seats represented by the ticket or tickets.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This law makes it illegal for ticket sellers to sell or take payment for tickets unless they meet certain conditions. First, the seller must have the ticket in hand. Alternatively, they need a contract guaranteeing they'll get the ticket at a set price from someone who either has it or can get it. If neither of these is true, the seller must clearly tell the buyer upfront, both verbally and in writing, that they might not be able to deliver the ticket at the price discussed. Sellers can take deposits to try to find a ticket for the buyer, but they have to explain the deal in detail when they accept the deposit.
It shall be unlawful for a ticket seller to contract for the sale of tickets or accept consideration for payment in full or for a deposit for the sale of tickets unless the ticket seller meets one or more of the following requirements:
(a)CA Business and Professions Code § 22502.1(a) The ticket seller has the ticket in his or her possession.
(b)CA Business and Professions Code § 22502.1(b) The ticket seller has a written contract to obtain the offered ticket at a certain price from a person in possession of the ticket or from a person who has a contractual right to obtain the ticket from the primary contractor.
(c)CA Business and Professions Code § 22502.1(c) The ticket seller informs the purchaser orally at the time of the contract or receipt of consideration, whichever is earlier, and in writing within two business days, that the seller does not have possession of the tickets, has no contract to obtain the offered ticket at a certain price from a person in possession of the ticket or from a person who has a contractual right to obtain the ticket from the primary contractor, and may not be able to supply the ticket at the contracted price or range of prices.
Nothing in this section shall prohibit a ticket seller from accepting a deposit from a prospective purchaser as part of an agreement that the ticket seller will make best efforts to obtain a ticket at a specified price or price range and within a specified time, provided that the ticket seller informs the purchaser orally at the time of the contract or receipt of consideration, whichever is earlier, and in writing within two days, of the terms of the deposit agreement, and includes in the oral and written notice the disclosures otherwise required by this section.
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(Added by Stats. 1994, Ch. 1132, Sec. 2. Effective September 30, 1994.)
This law makes it illegal for a ticket seller to promise tickets at a certain price or price range and then not deliver them at that price or on time.
It shall be unlawful for a ticket seller to represent that he or she can deliver or cause to be delivered a ticket at a specific price or within a specific price range and to fail to deliver within a reasonable time or by a contracted time the tickets at or below the price stated or within the range of prices stated.
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(Added by Stats. 1994, Ch. 1132, Sec. 3. Effective September 30, 1994.)
If a ticket seller breaks the rules about ticket sales and doesn't provide the tickets for the agreed price, they have to pay the buyer double the ticket price. Plus, they need to cover any non-refundable costs the buyer incurred trying to attend the event, along with the buyer's legal fees and court costs.
In addition to other remedies, a ticket seller who violates Section 22502.1 or 22502.2 and fails to supply a ticket at or below a contracted price or within a contracted price range shall be civilly liable to the ticket purchaser for two times the contracted price of the ticket, in addition to any sum expended by the purchaser in nonrefundable expenses for attending or attempting to attend the event in good faith reliance on seat or space availability, and reasonable attorney’s fees and court costs.
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(Added by Stats. 1994, Ch. 1132, Sec. 4. Effective September 30, 1994.)
This section defines a 'ticket seller' as someone who sells tickets to events like sports, concerts, theater, or any entertainment for money or a fee.
A ticket seller, as used in this chapter, means any person who for compensation, commission, or otherwise sells admission tickets to sporting, musical, theatre, or any other entertainment event.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This section of the law states that it doesn't apply to companies or people who directly oversee events and have a contract to sell tickets for those events. Basically, if you're in charge of an event and you have a written agreement to sell its tickets, you aren't affected by this chapter.
This chapter does not apply to any primary contractor or seller of tickets for the primary contractor operating under a written contract with the primary contractor.
“Primary contractor” means the person or organization who is responsible for the event for which tickets are being sold.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This law says that if someone is officially appointed as an agent for an airline, cruise line, or bus company, and they're selling tickets with a tour package through a promoter or the promoter's representative with a written contract, this rule doesn't apply to them.
This chapter does not apply to an officially appointed agent of an air carrier, ocean carrier or motor coach carrier who purchases or sells tickets in conjunction with a tour package accomplished through the primary event promoter or his or her agent by written agreement.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
If someone is selling six or fewer tickets to a single event, this rule doesn't apply to them as long as they sell the tickets somewhere other than the event site, like outside the venue or in nearby parking areas.
This chapter does not apply to any person who sells six tickets or less to any one single event, provided the tickets are sold off the premises where the event is to take place, including, but not limited to, designated parking areas and points of entry to the event.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
If you break any rule in this chapter, it's considered a misdemeanor, which is a type of criminal offense.
A violation of any provision of this chapter shall constitute a misdemeanor.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This law makes it illegal for anyone to intentionally use or sell software or services that bypass security or control systems designed to make buying event tickets fair for everyone. Essentially, it aims to stop people from cheating the system to buy or sell tickets in a way that disadvantages ordinary buyers who just want to attend the event. 'Event attendees' are defined as people buying tickets with the intent to attend, not those selling tickets. A fair ticket buying process may include limits on how many tickets one person can buy.
(a)CA Business and Professions Code § 22505.5(a) Notwithstanding Section 22503.5, 22503.6, 22504, or 22511, it shall be unlawful for a person to intentionally use or sell software or services to circumvent a security measure, access control system, or other control or measure that is used to ensure an equitable ticket buying process for event attendees.
(b)CA Business and Professions Code § 22505.5(b) For purposes of this section:
(1)CA Business and Professions Code § 22505.5(b)(1) ”Event attendee” means a person who purchases one or more tickets with the intent to attend the event for which the ticket or tickets are purchased. An event attendee does not include a ticket seller.
(2)CA Business and Professions Code § 22505.5(b)(2) “A control or measure that is used to ensure an equitable ticket buying process” includes limits on the number of tickets that a person can purchase.
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(Amended by Stats. 2019, Ch. 105, Sec. 1. (AB 1032) Effective January 1, 2020.)
If you pay a ticket seller a deposit for an event that hasn't got tickets available yet, you can get your money back, minus a service fee. This fee can't be more than 10% of what you paid, and the refund is available until the tickets are actually ready.
Any partial or full deposit received by a ticket seller on a future event for which tickets are not available shall be refundable except for a service charge of not more than 10 percent until tickets for the event are actually available.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
If an event is canceled, ticket sellers must give back the full ticket price within 30 days. If an event is postponed, rescheduled, or replaced, buyers can request a full refund, and sellers must comply within 30 days of the request. A rescheduled event can mean a chance to attend a similar event at another date. Local areas may require ticket sellers to hold a bond up to $50,000 to cover these refunds.
(a)CA Business and Professions Code § 22507(a) The ticket price of an event which is canceled shall be fully refunded to the purchaser by the ticket seller within 30 calendar days of the cancellation.
(b)CA Business and Professions Code § 22507(b) The ticket price of an event which is postponed, rescheduled, or replaced with another event at the same date and time, shall be fully refunded
to the purchaser by the ticket seller upon request within 30 calendar days of the refund request.
(c)CA Business and Professions Code § 22507(c) For purposes of this section, a rescheduled event includes a canceled occurrence of a recurring event for which the purchaser is offered the opportunity to attend another, materially identical occurrence of the same event at a different date or time.
(d)CA Business and Professions Code § 22507(d) A local jurisdiction may require a ticket seller to provide a bond of not more than fifty thousand dollars ($50,000) to provide for any refunds that may be required by this section.
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(Amended by Stats. 2021, Ch. 180, Sec. 1. (AB 1556) Effective January 1, 2022.)
If you're selling event tickets, you must clearly inform buyers if there's a service charge on top of the ticket price and mention this in any ads or promotions.
A ticket seller shall disclose that a service charge is imposed by the ticket seller and is added to the actual ticket price by the seller in any advertisement or promotion for any event by the ticket seller.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
If a ticket seller is offering tickets to an event as part of a package deal that includes things like transportation, meals, lodging, or drinks, they must clearly state the price of the tickets in any ads or marketing materials.
Any ticket seller who includes tickets to an event in conjunction with the sale of a tour or event package, including, among other things, transportation, meals, lodging, or beverages, shall disclose in any advertisements or promotional materials the price charged or allotted for the tickets.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This law allows local agencies to charge their own fees or taxes without restriction from this specific chapter.
Nothing in this chapter prohibits any local agency from imposing any local fees or taxes.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)
This rule doesn't apply to nonprofit charities that are selling tickets for their own events.
This chapter does not apply to any nonprofit charitable tax-exempt organization selling tickets to an event sponsored by the organization.
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(Added by Stats. 1986, Ch. 378, Sec. 1.)