Tennessee House Bill HB1434

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/23
• Refer: 2/2/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 29; Title 39; Title 47; Title 48 and Title 67, relative to ticket sales.

Impact

If enacted, HB 1434 would have significant implications for the ticket sales industry in Tennessee. Specifically, the bill prohibits ticket vendors from charging fees that exceed 15% of the ticket's face value, thereby capping potential profits on resale. Additionally, it mandates that ticket vendors disclose all costs associated with the ticket purchase, enhancing transparency for consumers. This provision aims to protect consumers from deceptive practices in the ticket resale market, aligning with broader consumer protection goals enshrined in Tennessee state law.

Summary

House Bill 1434 aims to amend several sections of the Tennessee Code Annotated concerning ticket sales for entertainment events. The bill's primary focus is on regulating the resale of tickets, clarifying the roles of different types of vendors, and ensuring that consumers are informed about the costs associated with purchasing tickets. The act defines key terms related to ticket sales, including 'entertainment event,' 'face value,' 'primary authorized vendor,' and 'third-party vendor.' By establishing these definitions, the bill seeks to create a clear regulatory framework for how tickets can be sold and resold within the state.

Sentiment

The sentiment surrounding HB 1434 appears to be mixed, with support stemming from advocacy groups concerned with consumer rights and ticket transparency. Proponents argue that the bill addresses unfair pricing practices in the ticket reselling market, encouraging a fair economy for all parties involved. Conversely, there are concerns among some ticket vendors and industry stakeholders who fear that capping fees may limit their ability to operate profitably, leading to potential adverse effects on the market's vibrancy and dynamic pricing strategies.

Contention

Notable points of contention include the regulation of ticket prices and the power dynamics between primary vendors and secondary sellers. While proponents advocate for consumer protection and transparency, critics argue that the bill could inadvertently constrain market operations and diminish the profits of third-party vendors. Debate may also arise around how effectively the bill will be enforced and whether it will address broader underlying issues within the entertainment sector, including the availability and affordability of tickets for consumers.