Relating To Consumer Protection.
If enacted, this law will amend Chapter 481B of the Hawaii Revised Statutes, instituting a ban on the resale of event tickets at rates higher than the original price charged by the primary vendor. Notably, there is an exception for charitable organizations, allowing them to resell tickets at higher prices in the context of fundraising activities. Additionally, the bill will repeal existing regulations concerning ticket brokers that previously required them to disclose fees and refund service charges upon ticket cancellations. The intention is to create a more straightforward purchasing landscape for consumers by eliminating unfair pricing strategies associated with ticket resales.
Senate Bill 1160, introduced in the 33rd Legislature of Hawaii, focuses on consumer protection by addressing the issue of ticket scalping for events held within the state. The bill aims to combat the unethical practices of scalpers who use automated software to purchase large quantities of tickets the moment they go on sale and subsequently resell them at exorbitant prices. One significant case highlighted was the 2018 concert by Bruno Mars, where numerous tickets ended up on resale platforms at inflated prices. The intent of this legislation is to prohibit the resale of tickets above the original price set by the primary venue ticket provider, thereby protecting consumers from price gouging.
The overall sentiment surrounding SB 1160 is positive among consumer advocates who support measures that limit the influence of scalpers and promote fair ticket sales. Proponents argue that the bill will enhance consumer rights by ensuring more equitable access to tickets for popular events. However, while many stakeholders look favorably upon the bill’s objectives, there may be friction from ticket brokers and certain vendors who could be adversely affected by the stricter regulations, thus resulting in mixed feelings across the stakeholder spectrum.
While SB 1160's primary focus is to prohibit excessive ticket pricing, it raises potential contention regarding the implications for ticket brokers and the event market. Critics might argue that the new regulations could restrict the free market and impact the ability of ticket brokers to operate effectively. Additionally, discussions may arise around the balance of regulatory oversight and market freedom, questioning whether this law adequately addresses the underlying issues of scalping without imposing unnecessary restrictions on legitimate ticket selling practices. The complexity of this balance reflects broader concerns over consumer rights versus industry freedoms.