Ticket websites would block automated rule-bypassing and report incidents

The provision would treat using software to bypass a ticket website’s posted purchase rules or security controls as a violation. It covers applications used to buy event tickets through an internet website or online service, including software that bypasses access controls or other security measures. The conduct must circumvent the website’s posted ticket-purchasing order rules. The provision concerns automated applications used to purchase event tickets.

Ticket issuers would have to enforce posted purchase limits, protect their websites and customer information, report known circumvention incidents, and take reasonable steps to address them. These duties cover ticket issuers that own or operate websites or online services that facilitate or carry out event-ticket sales, including their relevant service providers. Safeguards would need to match the issuer’s size, activities, customer information, and known or foreseeable risks. Issuers would need procedures requiring applicable service providers to use reasonable safeguards and would need to review those providers. Issuers would report only incidents they actually know about. Reports would be due within a reasonable time and no later than 30 days after discovery. The Commission would create a public complaint website within 180 days after enactment and publish issuer guidance within one year after enactment.

The Commission would be able to sue in federal court for violations, and violators would face civil penalties. The enforcement provisions apply to violations of the bill’s ticket-purchase and issuer-duty provisions, including intentional violations. Penalties would be at least $10,000 for each day a violation continues and at least $1,000 for each violation. An intentional violation would carry an additional penalty of at least $10,000 per violation. The Commission could seek injunctions and other appropriate relief.