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AccueilEconomicsCalifornia’s 10% ticket resale price cap dies in Senate committee, as StubHub’s...

California’s 10% ticket resale price cap dies in Senate committee, as StubHub’s state lobbying spend hits $3.4M this year

California‘s bid to cap live event ticket resale prices at 10% above face value is dead for this legislative session.

The California Senate Appropriations Committee held AB 1720 on its suspense file on Thursday (August 13), one day before the deadline for the state’s fiscal committees to report bills to the floor.

A companion ticketing measure, AB 1349, was released from suspense at the same hearing and can now proceed to a Senate vote.

AB 1720, the California Fans First Act, was introduced in February by San Francisco Assemblymember Matt Haney, as reported by MBW.

It would have limited the resale price of concert and live event tickets to 10% above face value, with the ceiling covering fees, and would have capped the fees charged by resale marketplaces.

The bill was narrowed by amendment in May, limiting its reach to independent venues with capacities of 3,000 or fewer, plus certain nonprofit venues.

An independent venue was defined in the Haney bill as a space that derives a majority of its revenue from ticket events, is not majority owned by a publicly traded company and does not operate venues in more than 10 states.

Professional sports and a range of other athletic events were exempt from AB 1720.

The California Department of Justice put the cost of enforcing the measure at around USD $1.6 million in fiscal year 2026–27, $1 million the year after, $812,000 in 2028–29 and about $582,000 a year thereafter.

The state’s Department of Finance opposed the bill at an Appropriations hearing on August 3, citing those enforcement costs and the potential burden on California courts.

Haney said in a statement that he is “going to keep working with the coalition of fans, artists, and venues who recognize the urgency of this issue and continue pushing for solutions that put tickets back in the hands of the people they were intended for.”

“This isn’t a fringe idea, and it isn’t partisan,” said Haney.

“From Kid Rock to Noah Kahan, artists across genres have called for solutions to runaway ticket resale practices. Independent venues have spoken out. Fans have demanded change.

“AB 1720 would have helped remove the incentives that fuel predatory ticket resale while still allowing someone who can’t attend a show to resell their ticket and recover their costs.”

Matt Haney, California State Assembly

“Several states and countries have already adopted resale caps because they recognize the urgency of this issue. AB 1720 would have helped remove the incentives that fuel predatory ticket resale while still allowing someone who can’t attend a show to resell their ticket and recover their costs.”

AB 1720 dies with the two-year session and cannot carry over, so Haney would need to introduce a new bill when the Legislature reconvenes in December.

“This is a disappointing outcome,” said Ron Gubitz, Executive Director of the Music Artists Coalition, which campaigned for the bill. “Every fan, at every show, needs to be protected. Period.”

“We’re grateful for the work Asm. Haney has put into this fight,” Gubitz added. “He’s been a fierce advocate for fans, artists, and venues alike.”

“Every fan, at every show, needs to be protected. Period.”

Ron Gubitz, Music Artists Coalition

AB 1720 was also backed by the National Independent Venue Association (NIVA), the National Independent Talent Organization and the Future of Music Coalition, alongside Live Nation Entertainment.

NIVA said in March that it was “proud to help architect” both AB 1720 and AB 1349.

StubHub reported close to $2.6 million in California lobbying expenses between April and June, according to state filings reviewed by The Hollywood Reporter.

That took the company’s California lobbying spend to $3.4 million for the calendar year and made the April-to-June quarter its heaviest on record in the state, THR reported.

Citing the Capitol Morning Report, THR said the outlay made StubHub the second-largest lobbying spender in California for the quarter, behind Pacific Gas & Electric and ahead of Chevron, Verizon, AT&T and OpenAI.

More than $1 million of that quarterly outlay went to the Ticket Policy Forum, a coalition whose members include StubHub, SeatGeek, Vivid Seats and TickPick.

SeatGeek reported about $40,000 in California lobbying this year and Vivid Seats reported $500, while Live Nation reported about $91,000.

Asked about the legislation before the hearing, StubHub said its platform “exists to give fans access to live events on their own terms through a secure, verified marketplace — including fans who couldn’t get tickets during the original on-sale, or who want the option of grabbing a great deal as prices shift closer to the event.”

“We believe that more choice, flexibility, and access put fans first and help everyone get into the events they love,” StubHub said.

California is one of the biggest concert markets in the country. If California goes in terms of consumer protections around ticketing, we think the rest of the nation will soon follow.”

Stephen Parker, National Independent Venue Association

NIVA Executive Director Stephen Parker characterized StubHub‘s spending as an act of “desperation.”

California is one of the biggest concert markets in the country. If California goes in terms of consumer protections around ticketing, we think the rest of the nation will soon follow,” Parker said.

Ticket Policy Forum Executive Director Brian Berry argued that rising prices originate on the primary side and that the bill would have entrenched Ticketmaster by regulating resale alone.

“Capping only resale does nothing to address this source of rising ticket prices. AB 1720 would let the Live Nation-Ticketmaster monopoly keep raising costs unchecked while jeopardizing the benefits fans stand to gain as remedies are decided in the ongoing Live Nation-Ticketmaster antitrust case,” said Berry.

AB 1720 would let the Live Nation-Ticketmaster monopoly keep raising costs unchecked while jeopardizing the benefits fans stand to gain as remedies are decided in the ongoing Live Nation-Ticketmaster antitrust case.”

Brian Berry, Ticket Policy Forum

Robert Herrell, Executive Director of the Consumer Federation of California, told ABC7 that “this bill by Assemblymember Haney only harms the competition to the monopoly.”

“That’s going to end badly, and history shows us again and again and again that the losers are consumers who want to see shows and don’t want to have to pay an arm and a leg to go see a show,” said Herrell.

Geoff Vetter, a spokesperson for the Coalition for Ticket Fairness, said: “We’ve seen time and again how efforts to restrict resale backfire. AB 1720 does nothing to address what tickets cost when they first go on sale.

“Instead, it restricts the competitive resale market and will further consolidate power with Ticketmaster and Live Nation.”

“At a time when Ticketmaster and Live Nation are already facing an ongoing federal antitrust case over their market power, California should be encouraging more competition, not less.”

Geoff Vetter, Coalition for Ticket Fairness

“At a time when Ticketmaster and Live Nation are already facing an ongoing federal antitrust case over their market power, California should be encouraging more competition, not less,” Vetter added.

Resale price caps have passed elsewhere in the US over the past year or so, with Maine, Vermont, and Washington, D.C. all adopting limits.

Massachusetts Governor Maura Healey moved in July to put a 110% ceiling into her state’s supplemental spending bill.

A federal jury in Manhattan found in April that Live Nation and Ticketmaster had illegally monopolized US ticketing, and a coalition of states is pressing for a breakup of the company.

House Democrats opened a probe in July into StubHub CEO Eric Baker over his stake in a fund that backs brokers reselling tickets on his own platform.

AB 1349, authored by Los Angeles Assemblymember Isaac Bryan, targets speculative ticket sales, bot and queue circumvention, and deceptive ticketing websites.

It cleared all three Senate policy committees unanimously, and must now clear the Senate floor and return to the Assembly for concurrence in the Senate’s amendments before the August 31 deadline for both houses to pass bills.Music Business Worldwide

California’s legislative efforts to regulate live event ticket resales have faced significant setbacks this session, particularly with the failure of Assembly Bill 1720, known as the California Fans First Act. This bill aimed to limit the resale price of concert and live event tickets to a maximum of 10% above their face value, including fees. It was introduced in February by Assemblymember Matt Haney from San Francisco and was specifically designed to protect fans from predatory resale practices. The bill was amended in May to focus on independent venues with a capacity of 3,000 or fewer and certain nonprofit venues, excluding professional sports events from its provisions.

Despite its intentions, the California Senate Appropriations Committee placed AB 1720 on its suspense file, effectively killing it for the remainder of the two-year legislative session. The Department of Justice estimated that enforcing the bill would cost California approximately $1.6 million in the fiscal year 2026-27, with costs decreasing in subsequent years. This financial burden, along with concerns raised by the Department of Finance regarding the strain on California courts, contributed to the bill’s demise.

Matt Haney expressed disappointment but vowed to continue advocating for fan protection, emphasizing that the issue of ticket resale practices is not partisan and has garnered support from artists across various genres. He highlighted the need for solutions that prioritize fans and artists, as AB 1720 was aimed at eliminating incentives for predatory ticket reselling while still allowing legitimate resale for those unable to attend events.

The Music Artists Coalition, which supported the bill, echoed Haney’s sentiments, asserting that all fans deserve protection. Their Executive Director, Ron Gubitz, praised Haney’s commitment and reiterated the need for consumer safeguards in the ticketing market. Other supporters of AB 1720 included the National Independent Venue Association (NIVA), the National Independent Talent Organization, and the Future of Music Coalition.

In contrast, significant lobbying efforts against AB 1720 were reported, particularly from StubHub, which spent around $2.6 million on lobbying in California between April and June. This brought its total lobbying expenditure for the year to $3.4 million, making it the second-largest lobbying spender in the state during that quarter. StubHub argued that its platform provides fans with necessary access to live events and that the proposed resale cap would limit choices and flexibility for consumers.

NIVA’s Executive Director, Stephen Parker, criticized StubHub’s lobbying as desperate, pointing out that California’s decisions regarding ticket resale regulations could influence practices nationwide. On the other hand, opponents of AB 1720, such as Brian Berry from the Ticket Policy Forum, contended that capping resale prices would not address the root causes of rising ticket prices in the primary market and could inadvertently strengthen the monopoly held by companies like Live Nation and Ticketmaster.

Critics also included Robert Herrell from the Consumer Federation of California, who argued that the bill would harm competition and ultimately disadvantage consumers. Similarly, Geoff Vetter from the Coalition for Ticket Fairness claimed that attempts to restrict resale are misguided and could further consolidate power among major ticketing companies.

While AB 1720 did not pass, a companion bill, AB 1349, aimed at addressing issues related to speculative ticket sales, bots, and deceptive practices in ticketing, successfully moved forward and is now set for a Senate vote. This bill has garnered bipartisan support and could potentially become law, as it aligns with ongoing conversations about transparency and fairness in the ticketing marketplace.

Overall, the legislative efforts in California highlight the complex dynamics at play in the live event ticketing industry, where the interests of fans, artists, and large corporate entities often collide. With ongoing discussions about ticketing practices and a federal antitrust investigation into Live Nation and Ticketmaster, the landscape remains fluid, and future efforts to regulate ticket resales may emerge as lawmakers continue to seek solutions that prioritize consumer protection while balancing the interests of the industry.

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