S.B. 338
- *SB338*
SENATE BILL NO. 338–SENATORS PAZINA, FLORES, DOÑATE,
CRUZ-CRAWFORD; CANNIZZARO, DALY, DONDERO LOOP,
LANGE, NGUYEN, OHRENSCHALL AND TAYLOR
MARCH 12, 2025
____________
Referred to Committee on Commerce and Labor
SUMMARY—Revises provisions relating to the sale of tickets to a
live entertainment event. (BDR 52-590)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State: Yes.
~
EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to trade practices; revising provisions relating to
the sale of tickets for certain live entertainment events;
requiring providers of live entertainment tickets to clearly
and conspicuously disclose certain information relating to
pricing; prohibiting providers of live entertainment tickets
from misrepresenting certain information relating to
pricing; requiring providers of live entertainment tickets
to issue refunds in certain circumstances; providing
penalties; and providing other matters properly relating
thereto.
Legislative Counsel’s Digest:
On January 10, 2025, The Federal Trade Commission published a final trade 1
regulation rule in the Federal Register entitled “Rule on Unfair or Deceptive Fees” 2
(“the Rule”). (90 Fed. Reg. 2066 (Jan. 10, 2025)) The Rule, which will take effect 3
on May 12, 2025, prohibits a business that sells or offers live-event tickets from 4
offering, displaying or advertising the price of a live-event ticket without clearly 5
and conspicuously disclosing the maximum total price that a consumer must pay 6
for the live-event ticket, inclusive of all fees or charges that the consumer must pay 7
for any mandatory good or service sold as part of the purchase of the ticket. The 8
seller of live-event tickets is authorized to exclude from the total price required to 9
be disclosed for the live-event ticket any governmental charges, shipping charges 10
and charges for optional goods or services that the consumer may purchase as a part 11
of the same transaction. (16 C.F.R. § 464.1, 464.2; 90 Fed. Reg. 2066, 2166-67 12
(Jan. 10, 2025)) The Rule prescribes particular means by which a disclosure must 13
be “clearly and conspicuously” made to a consumer. (16 C.F.R. § 464.1; 90 Fed. 14
Reg. 2066, 2167 (Jan. 10, 2025)) Additionally, the Rule prohibits a seller of live-15
event tickets from misrepresenting any fee or charge. (16 C.F.R. § 464.3; 90 Fed. 16
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Reg. 2066, 2167 (Jan. 10, 2025)) Finally, the Rule provides that state law or 17
regulation may provide consumers with protection that is greater than, or at least 18
not inconsistent with, the protections for consumers prescribed by the Rule. (16 19
C.F.R. § 464.4; 90 Fed. Reg. 2066, 2167 (Jan. 10, 2025)) 20
Existing state law prohibits a reseller, a secondary ticket exchange or an 21
affiliate of a reseller or secondary ticket exchange from reselling a ticket for a live 22
entertainment event without disclosing to the purchaser the total amount that the 23
purchaser will be charged for the ticket. (NRS 598.39795) Section 12 of this bill 24
repeals this provision. Instead, section 4 of this bill prescribes certain requirements 25
for businesses that sell tickets to live entertainment events, which are equivalent to 26
the requirements established in the Rule. Specifically, section 4 prohibits a ticket 27
provider from offering, displaying or advertising any price of a ticket for a live 28
entertainment event unless the ticket provider clearly and conspicuously discloses 29
the total price of the ticket. Section 4 also requires certain information to be clearly 30
and conspicuously disclosed to a consumer before the consumer agrees to 31
purchases a ticket from the ticket provider. Section 4 prescribes certain means by 32
which a ticket provider must clearly and conspicuously make such disclosures to 33
consumers, which are identical to those means prescribed in the Rule. Section 4 34
also prohibits a ticket provider from misrepresenting any fee or charge. 35
Section 5 of this bill requires a ticket provider to provide a refund of the full 36
amount a purchaser paid to the ticket provider for a ticket to a live entertainment 37
event, including all applicable fees and governmental charges, if the event to which 38
the ticket pertains is cancelled. Section 5 requires that the refund be provided to the 39
purchaser not more than 30 days after the sponsor of the event notifies the public 40
that the live entertainment event is cancelled. 41
Existing law prohibits certain other practices and acts relating to the sale and 42
resale of tickets for live entertainment events. (NRS 598.397-598.3984) Existing 43
law entitles a person who is injured by a violation of such provisions to bring a civil 44
action against the reseller, secondary ticket exchange or affiliate of the reseller or 45
secondary ticket exchange that committed the violation. Existing law prescribes 46
certain statutory awards, in addition to other damages, that a court may award a 47
prevailing plaintiff based on the number of violations previously committed by the 48
violator. (NRS 598.3982) Section 9 of this bill: (1) authorizes a person injured by a 49
violation of section 4 or 5 to bring such civil action against the ticket provider that 50
committed the violation; and (2) increases the statutory amounts that may be 51
awarded to a plaintiff injured by a violation of any provision relating to the sale or 52
resale of tickets for live entertainment events. Section 8 of this bill requires the 53
Bureau of Consumer Protection in the Office of the Attorney General to accept 54
reports of violations of sections 4 and 5 using the mechanisms by which the 55
Bureau receives reports of violations of other provisions relating to the sale and 56
resale of tickets for live entertainment events. (NRS 598.3981) Sections 10 and 11 57
of this bill provide that a willful violation of section 4 or 5 is punishable by certain 58
criminal penalties, which are currently applicable to willful violations of other 59
provisions relating to the sale or resale of tickets for live entertainment events. 60
(NRS 598.3983, 598.3984) 61
Existing law defines various activities involving businesses and occupations 62
that constitute deceptive trade practices. (NRS 598.0915-598.0925) If a person 63
engages in a deceptive trade practice, the person may be subject to the imposition 64
of certain restraints by injunction and civil and criminal penalties. (NRS 598.0979, 65
598.0985, 598.0999) Existing law makes a knowing violation of provisions relating 66
to the sale and resale of tickets for live entertainment events a deceptive trade 67
practice. (NRS 598.09223) Section 6 of this bill makes a knowing violation of 68
section 4 or 5 a deceptive trade practice, thereby subjecting a violator of those 69
sections to additional civil and criminal penalties. 70
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Sections 2 and 3 of this bill define certain terms, and section 7 of this bill 71
establishes the applicability of those definitions. 72
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 598 of NRS is hereby amended by adding 1
thereto the provisions set forth as sections 2 to 5, inclusive, of this 2
act. 3
Sec. 2. “Governmental charges” means any taxes, fees or 4
charges that the Federal Government or this State, or any agency 5
or political subdivision thereof, or a tribal government imposes on 6
or requires to be collected in connection with the sale of a ticket or 7
a transaction involving the sale of a ticket. 8
Sec. 3. “Ticket provider” means a natural person, 9
proprietorship, corporation, partnership, trust, unincorporated 10
organization or other enterprise that is engaged in the business of 11
selling tickets, reselling tickets or offering tickets for sale, 12
including, without limitation, a primary ticket provider, reseller or 13
secondary ticket exchange. 14
Sec. 4. 1. A ticket provider shall not offer, display or 15
advertise any price of a ticket without clearly and conspicuously 16
disclosing the total price of the ticket. A ticket provider may 17
exclude from the total price: 18
(a) Governmental charges; 19
(b) Shipping charges; and 20
(c) Fees and charges for optional ancillary goods or services. 21
2. A ticket provider shall clearly and conspicuously disclose 22
to a consumer, before the consumer agrees to purchase a ticket: 23
(a) The nature, purpose and amount of any fee or charge that 24
has been excluded from the total price of the ticket and the identity 25
of the good or service for which the fee or charge is imposed; and 26
(b) The final amount of payment for the transaction. 27
3. A ticket provider shall display the total price of the ticket 28
more prominently than any other information relating to the price 29
of the ticket. Where the final amount of payment for the 30
transaction for the ticket is displayed, the final amount of payment 31
must be disclosed more prominently than, or as prominently as, 32
the total price. 33
4. For the purposes of subsections 1 and 2, a ticket provider 34
makes a clear and conspicuous disclosure if the disclosure is 35
easily noticeable and understandable by an ordinary consumer, 36
and: 37
(a) The disclosure uses clear and comprehensible language, 38
diction and syntax that is easily understandable to an ordinary 39
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consumer or, if the communication containing the disclosure is 1
specifically targeted at a specific subset of consumers, including, 2
without limitation, children or seniors, the disclosure uses clear 3
and comprehensible language, diction and syntax that is easily 4
understandable to consumers in that subset of consumers. 5
(b) The disclosure is not contradicted or mitigated by, or 6
inconsistent with, anything else contained within the 7
communication containing the disclosure. 8
(c) The disclosure, if displayed visually, stands out from any 9
accompanying text or other visual elements by its size, contrast, 10
location, the length of time it appears and other characteristics, so 11
that it is easily noticed, read and understood. 12
(d) If the disclosure is made through audible means, 13
including, without limitation, by telephone or streaming video, the 14
disclosure is delivered in a volume, speed and cadence that would 15
allow an ordinary consumer to easily hear and understand the 16
disclosure. 17
(e) If the communication requiring the disclosure is displayed 18
using an interactive electronic medium, including, without 19
limitation, an Internet web browser or mobile application, the 20
disclosure is unavoidable. 21
(f) If the communication requiring the disclosure is made 22
through solely audible or solely visual means, the disclosure is 23
made through the same means as the whole communication. 24
(g) If the communication requiring the disclosure is made 25
through both visual and audible means, including, without 26
limitation, through a television advertisement, the communication 27
is presented simultaneously in both the visual and audible portion 28
of the communication, even if the representation requiring the 29
disclosure is made in only one means. 30
(h) The disclosure complies with all of the requirements of this 31
subsection in each medium through which it is received, 32
including, without limitation, all electronic devices and face-to-33
face communications. 34
5. A ticket provider shall not misrepresent any fee or charge, 35
including, without limitation, misrepresenting: 36
(a) The nature, purpose or refundability of any fee or charge; 37
or 38
(b) The identity of any good or service for which the fee or 39
charge is imposed. 40
6. As used in this section: 41
(a) “Ancillary good or service” means any additional good or 42
service offered to a consumer as part of a transaction for the 43
purchase of a ticket. 44
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(b) “Shipping charges” means the fees or charges that 1
reasonably reflect the amount that a ticket provider incurs to 2
deliver or send a physical ticket to a consumer. 3
(c) “Total price” means the maximum total of all fees or 4
charges that a consumer must pay to complete a transaction to 5
purchase a ticket, including, without limitation, a fee or charge for 6
any mandatory ancillary good or service. 7
Sec. 5. A ticket provider that sells a ticket to a purchaser 8
shall provide the purchaser with a refund of the full amount that 9
the purchaser paid the ticket provider for the ticket, inclusive of all 10
fees and governmental charges, if the athletic contest or live 11
entertainment event to which the ticket pertains is cancelled. A 12
ticket provider must provide a refund required pursuant to this 13
subsection not more than 30 days after the rights holder or 14
sponsor of the athletic contest or live entertainment event, as 15
applicable, notifies the public that the athletic contest or live 16
entertainment event to which the ticket pertains is cancelled. 17
Sec. 6. NRS 598.09223 is hereby amended to read as follows: 18
598.09223 A person engages in a “deceptive trade practice” 19
when, in the course of his or her business or occupation, he or she 20
knowingly violates a provision of NRS 598.397 to 598.3984, 21
inclusive [.] , and sections 2 to 5, inclusive, of this act. 22
Sec. 7. NRS 598.397 is hereby amended to read as follows: 23
598.397 As used in NRS 598.397 to 598.3984, inclusive, and 24
sections 2 to 5, inclusive, of this act, unless the context otherwise 25
requires, the words and terms defined in NRS 598.3971 to 26
598.3977, inclusive, and sections 2 and 3 of this act have the 27
meanings ascribed to them in those sections. 28
Sec. 8. NRS 598.3981 is hereby amended to read as follows: 29
598.3981 1. The Bureau of Consumer Protection in the 30
Office of the Attorney General shall establish a toll-free statewide 31
hotline and an Internet website by which a person may file a 32
complaint relating to a suspected violation of NRS 598.397 to 33
598.3984, inclusive, and sections 2 to 5, inclusive, of this act and 34
obtain information and directions regarding the preferred method for 35
filing such a complaint. 36
2. Any form made available by the Bureau of Consumer 37
Protection for receiving complaints relating to a suspected violation 38
of NRS 598.397 to 598.3984, inclusive, and sections 2 to 5, 39
inclusive, of this act must be designed specifically for receiving 40
such complaints. 41
Sec. 9. NRS 598.3982 is hereby amended to read as follows: 42
598.3982 1. A person injured by a violation of any provision 43
of NRS 598.397 to 598.3984, inclusive, and sections 2 to 5, 44
inclusive, of this act may bring a civil action against a ticket 45
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provider, a reseller, a secondary ticket exchange or any affiliate of a 1
ticket provider, reseller or secondary ticket exchange who 2
committed the violation in a district court in any county: 3
(a) In which the cause therefor accrued; 4
(b) In which the defendant resides or may be found; 5
(c) In which the plaintiff resides; or 6
(d) In which an athletic contest or live entertainment event to 7
which the ticket pertains occurred or will occur, if the violation 8
relates to the sale, purchase or advertisement of a ticket. 9
2. If the person bringing the action is the prevailing party, the 10
court shall award that person: 11
(a) Declaratory and injunctive relief. 12
(b) For the first violation, [$1,000] $5,000 or actual damages, 13
whichever is greater. 14
(c) For the second violation, [$2,500,] $7,500, treble the amount 15
of actual damages and reasonable attorney’s fees and costs, if any. 16
(d) For the third and all subsequent violations, [$5,000,] 17
$10,000, treble the amount of actual damages, reasonable attorney’s 18
fees and costs, if any, and punitive damages, which are subject to 19
the provisions of NRS 42.005. 20
3. An action may not be brought pursuant to this section 21
against a natural person employed by a ticket provider, a reseller, a 22
secondary ticket exchange or any affiliate of a ticket provider, 23
reseller or secondary ticket exchange. 24
Sec. 10. NRS 598.3983 is hereby amended to read as follows: 25
598.3983 Unless a greater penalty is provided in NRS 26
598.0999 or 598.3984, a person who knowingly violates the 27
provisions of NRS 598.397 to 598.3984, inclusive, and sections 2 to 28
5, inclusive, of this act is guilty of a misdemeanor. 29
Sec. 11. NRS 598.3984 is hereby amended to read as follows: 30
598.3984 1. A person who willfully and knowingly violates 31
the provisions of NRS 598.397 to 598.3984, inclusive, and sections 32
2 to 5, inclusive, of this act relating to the sale of a ticket to an 33
entertainment facility which is operated by a governmental entity or 34
a public-private partnership is guilty of a gross misdemeanor. 35
2. As used in this section: 36
(a) “Governmental entity” means: 37
(1) The government of this State; 38
(2) An agency of the government of this State; 39
(3) A political subdivision of this State; and 40
(4) An agency of a political subdivision of this State. 41
(b) “Public-private partnership” means a contract entered into by 42
a person and a governmental entity for the support of an 43
entertainment facility. 44
Sec. 12. NRS 598.39795 is hereby repealed. 45
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TEXT OF REPEALED SECTION
598.39795 Resale of ticket without first disclosing total
amount to be charged prohibited. A reseller, a secondary ticket
exchange or any affiliate of a reseller or secondary ticket exchange
shall not resell a ticket, in person or remotely, without first
disclosing to the purchaser the total amount that the purchaser will
be charged for the ticket, including any fees which represent a
portion of the total amount to be charged.
H