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A10500 Summary:

BILL NOA10500
 
SAME ASSAME AS S09461
 
SPONSORRules (O'Donnell)
 
COSPNSR
 
MLTSPNSR
 
Amd §§25.24, 25.07, 25.23 & 25.29, add §25.06, Arts & Cul L; amd §4, Chap 704 of 1991; amd §11, Chap 151 of 2010
 
Enacts into law components of legislation that relate to live event ticket sales; institutes civil penalties for utilizing ticket purchasing software; increases civil penalties currently in place and institutes new penalties for second offenses for licensees (Part A); requires full ticket prices to be disclosed prior to a customer purchasing such ticket; requires such price to remain the same during the purchase process (Part B); prohibits the resale of a ticket if such ticket was initially offered to the public at no charge (Part C); requires online resale marketplaces to clearly and conspicuously disclose the established price charged by the operator of a place of entertainment that is printed or endorsed on the face of each ticket (Part D); allows reasonable and actual costs to be charged for the physical delivery of certain tickets (Part E); extends the effectiveness of certain provisions relating to tickets to places of entertainment (Part F).
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A10500 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10500
 
                   IN ASSEMBLY
 
                                      May 30, 2022
                                       ___________
 
        Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. O'Donnell)
          -- read once and referred to the Committee on Ways and Means
 
        AN ACT to amend the arts and cultural affairs law, in relation to insti-
          tuting civil penalties for utilizing ticket purchasing software  (Part
          A); to amend the arts and cultural affairs law, in relation to requir-
          ing  ticket prices to be disclosed prior to a customer purchasing such
          ticket and requiring such price to remain the same during the purchase
          process (Part B); to amend the  arts  and  cultural  affairs  law,  in
          relation  to  prohibiting  the  resale  of a ticket if such ticket was
          initially offered to the public at no charge (Part C);  to  amend  the
          arts  and cultural affairs law, in relation to requiring online resale
          marketplaces to clearly and  conspicuously  disclose  the  established
          price  charged  by  the  operator  of a place of entertainment that is
          printed or endorsed on the face of each ticket (Part D); to amend  the
          arts  and cultural affairs law, in relation to allowing reasonable and
          actual costs to be charged for the physical delivery of certain  tick-
          ets  (Part  E); and to amend chapter 704 of the laws of 1991, amending
          the arts and cultural affairs law and chapter 912 of the laws of  1920
          relating  to  regulation  of  boxing and wrestling matches relating to
          tickets to places of entertainment, and chapter 151  of  the  laws  of
          2010, amending the arts and cultural affairs law relating to resale of
          tickets  of  places  of  entertainment,  in  relation to extending the
          effectiveness thereof (Part F)
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  This  act  enacts into law components of legislation that
     2  relate to live event ticket sales. Each component  is  wholly  contained
     3  within  a  Part  identified as Parts A through F. The effective date for
     4  each particular provision contained within such Part is set forth in the
     5  last section of such Part. Any provision in any section contained within
     6  a Part, including the effective date of the Part, which makes  reference
     7  to a section "of this act", when used in connection with that particular
     8  component,  shall  be  deemed  to  mean  and  refer to the corresponding
     9  section of the Part in which it is found, unless noted otherwise.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11376-22-2

        A. 10500                            2
 
     1                                   PART A
 
     2    Section 1. Paragraph (a) of subdivision 3, and subdivisions 4, 5 and 6
     3  of  section  25.24  of  the arts and cultural affairs law, as amended by
     4  chapter 472 of the laws of 2016, are amended to read as follows:
     5    (a) Any person,  firm,  corporation  or  other  entity  who  knowingly
     6  utilizes  ticket  purchasing software in order to purchase tickets shall
     7  be subject to a civil penalty  in  an  amount  of  no  less  than  [five
     8  hundred]  one  thousand dollars and no more than [one] two thousand five
     9  hundred dollars for each such violation and shall  forfeit  all  profits
    10  made from the sale of any such unlawfully obtained tickets.
    11    4.  Any  person,  firm,  corporation or other entity who intentionally
    12  maintains any interest in or maintains any control of the  operation  of
    13  ticket  purchasing  software  to  purchase tickets shall be subject to a
    14  civil penalty in an amount of no less than  [seven  hundred  fifty]  one
    15  thousand  dollars  and  no  more  than  [one]  two thousand five hundred
    16  dollars for each such violation and shall forfeit all profits made  from
    17  the sale of any such unlawfully obtained tickets.
    18    5. Any person, firm, corporation or other entity who knowingly resells
    19  or  offers  to  resell  a  ticket that such person, firm, corporation or
    20  other entity knows was obtained using ticket purchasing software and was
    21  not obtained for their own use or the use of their invitees,  employees,
    22  or  agents  shall  be subject to a civil penalty in an amount of no less
    23  than [five hundred] one thousand dollars and  no  more  than  [one]  two
    24  thousand  five hundred dollars for each such violation and shall forfeit
    25  all profits made from the sale of any such unlawfully obtained ticket.
    26    6. Any person who is subject to a civil penalty under this section and
    27  has been assessed a penalty under this section  in  the  previous  three
    28  years shall be guilty of a violation and may be fined no less than [one]
    29  two  thousand  dollars  and no more than [five] ten thousand dollars for
    30  each such violation and shall forfeit all profits from the sale  of  any
    31  such  unlawfully  obtained tickets. In addition, a person convicted of a
    32  violation under this section may be required  to  forfeit  any  and  all
    33  equipment used in the unlawful purchasing of tickets.
    34    §  2.  This  act  shall take effect on the sixtieth day after it shall
    35  have become a law.
 
    36                                   PART B
 
    37    Section 1. Subdivision 4 of section 25.07 of  the  arts  and  cultural
    38  affairs  law, as added by chapter 110 of the laws of 2018, is amended to
    39  read as follows:
    40    4. Every operator or operator's agent of a place of entertainment, any
    41  licensee or other ticket reseller, or platform that facilitates the sale
    42  or resale of tickets shall disclose the total cost of the ticket, inclu-
    43  sive of all ancillary fees that must be paid in order  to  purchase  the
    44  ticket,  and disclose in a clear and conspicuous manner [the total price
    45  of the ticket and] the portion of the ticket  price  stated  in  dollars
    46  that  represents  a service charge, or any other fee or surcharge to the
    47  purchaser. Such disclosure of the total cost and fees shall be displayed
    48  in the ticket listing prior to the ticket being selected  for  purchase.
    49  Disclosures  of subtotals, fees, charges, and any other component of the
    50  total price shall not be false or misleading, and may not  be  presented
    51  more  prominently  or in the same or larger size as the total price. The
    52  price of the ticket shall not  increase  during  the  purchase  process,
    53  excluding  reasonable  fees  for  the delivery of non-electronic tickets

        A. 10500                            3
 
     1  based on the delivery method selected by the purchaser, which  shall  be
     2  disclosed  prior to accepting payment therefor. Nothing in this subdivi-
     3  sion shall be construed to nullify, expand, restrict, or otherwise amend
     4  or  modify now existing laws or regulations outside of this article, and
     5  nothing in this subdivision shall be  construed  as  making  lawful  any
     6  fraudulent,  deceptive,  or  illegal  act  or  practice that is unlawful
     7  pursuant to now existing laws or regulations.
     8    § 2. This act shall take effect on the sixtieth  day  after  it  shall
     9  have  become a law provided, however, that the amendments to subdivision
    10  4 of section 25.07 of the arts and cultural affairs law made by  section
    11  one of this act shall not affect the repeal of such section and shall be
    12  deemed to repeal therewith.
 
    13                                   PART C
 
    14    Section  1.  The  arts and cultural affairs law is amended by adding a
    15  new section 25.06 to read as follows:
    16    § 25.06. Resale of tickets issued at  no  charge.  Notwithstanding  an
    17  individual's  ability to transfer a ticket to another party, it shall be
    18  unlawful for any person, firm or  corporation  to  resell  or  offer  to
    19  resell  any  ticket  or other evidence of right of entry to any place of
    20  entertainment if such ticket was initially offered to the public  at  no
    21  charge  and  access to such tickets is not contingent upon providing any
    22  form of monetary consideration.
    23    § 2. This act shall take effect on the sixtieth  day  after  it  shall
    24  have  become a law; provided, however, that the amendments to article 25
    25  of the arts and cultural affairs law made by section  one  of  this  act
    26  shall not affect the repeal of such article and shall be deemed repealed
    27  therewith.
 
    28                                   PART D
 
    29    Section 1. Subdivision 2 of section 25.23 of  the  arts  and  cultural
    30  affairs  law, as added by chapter 110 of the laws of 2018, is amended to
    31  read as follows:
    32    2.  An  online  resale  marketplace shall post a clear and conspicuous
    33  notice on the website that the website is for the secondary  sale  of  a
    34  ticket,  that  the  price of such ticket offered for sale may exceed the
    35  established price and shall also state the refund policy of the platform
    36  in connection with the cancellation or  postponement  of  an  event.  An
    37  online resale marketplace shall be required to clearly and conspicuously
    38  disclose  the  established  price  charged by the operator of a place of
    39  entertainment that is printed or endorsed on the face of each ticket  in
    40  accordance with section 25.07 of this article prior to the user complet-
    41  ing any transaction. An online resale marketplace shall require that the
    42  user  confirm  having  read  such [notice] notices before completing any
    43  transaction. For the purposes of this section, an "online resale market-
    44  place" means any operator or manager of a website  or  other  electronic
    45  service  that  resells  tickets  or  serves  as a platform to facilitate
    46  resale, or resale by way of a competitive bidding process.
    47    § 2. This act shall take effect on the sixtieth  day  after  it  shall
    48  have  become  a  law;  provided, however, that the amendments to section
    49  25.23 of the arts and cultural affairs law made by section one  of  this
    50  act  shall  not  affect  the  repeal of such section and shall be deemed
    51  repealed therewith.

        A. 10500                            4
 
     1                                   PART E
 
     2    Section  1.  Section  25.29  of  the arts and cultural affairs law, as
     3  amended by chapter 61 of the laws of 2007 and subdivision 1  as  amended
     4  by chapter 151 of the laws of 2010, is amended to read as follows:
     5    § 25.29. Unlawful  charges  in connection with tickets. 1. No operator
     6  of any place of entertainment, or  his  or  her  agent,  representative,
     7  employee or licensee shall, if a price be charged for admission thereto,
     8  exact, demand, accept or receive, directly or indirectly, any premium or
     9  price  in  excess  of  the  established  price plus lawful taxes whether
    10  designated as price, gratuity or otherwise; provided, however: (a) noth-
    11  ing in this article shall be construed to prohibit a reasonable  service
    12  charge  by  the operator or agents of the operator for special services,
    13  including but not limited to, sales away from  the  box  office,  credit
    14  card  sales  or  delivery;  and  (b)  nothing  in  this article shall be
    15  construed to prohibit an operator or its agent from offering for initial
    16  sale tickets by means of an auction.
    17    2. A reasonable and actual cost for the physical delivery  of  tickets
    18  may  be  charged by a seller or reseller based on the method of delivery
    19  selected by the purchaser; provided, however, that no delivery fee shall
    20  be charged by a seller or reseller for tickets delivered  electronically
    21  or tickets that may be printed independently by the purchaser.
    22    3.  In  any  prosecution under this section the attorney general shall
    23  have concurrent jurisdiction with any district attorney and in any  such
    24  prosecution he or she or his or her deputy shall exercise all the powers
    25  and  perform  all the duties which the district attorney would otherwise
    26  be authorized to exercise or perform therein.
    27    § 2. This act shall take effect on the sixtieth  day  after  it  shall
    28  have  become  a  law;  provided, however, that the amendments to section
    29  25.29 of the arts and cultural affairs law made by section one  of  this
    30  act  shall  not  affect  the  repeal of such section and shall be deemed
    31  repealed therewith.
 
    32                                   PART F
 
    33    Section 1. Section 4 of chapter 704 of the laws of 1991, amending  the
    34  arts and cultural affairs law and chapter 912 of the laws of 1920 relat-
    35  ing  to the regulation of boxing and wrestling matches relating to tick-
    36  ets to places of entertainment, as amended by chapter 148 of the laws of
    37  2021, is amended to read as follows:
    38    § 4. This act shall take effect on the sixtieth  day  after  it  shall
    39  have  become  a  law, provided, chapter 61 of the laws of 2007 shall not
    40  take effect with respect to the issuance  of  licenses  or  certificates
    41  under  this  article  by  the  secretary of state or department of state
    42  until January 1, 2008 and regulation under this article by  the  commis-
    43  sioners  of  licenses  of  the political subdivisions of the state shall
    44  continue through December 31, 2007, and shall remain in full  force  and
    45  effect only until and including June 30, [2022] 2025 when such act shall
    46  be  repealed  and  when, notwithstanding any other provision of law, the
    47  provisions of article 25 of title G of the  arts  and  cultural  affairs
    48  law,  repealed by such act, shall be reinstituted; provided further that
    49  section 25.11 of the arts and cultural affairs law, as added by  section
    50  one  of this act, shall survive such repeal date. Provided, however, the
    51  printing on tickets required pursuant to sections  25.07  and  25.08  of
    52  article  25  of the arts and cultural affairs law, as added by this act,
    53  shall not apply to tickets printed prior to enactment of such article so

        A. 10500                            5
 
     1  long as notice of the higher maximum premium price  and  prohibition  of
     2  sales  within one thousand five hundred feet from the physical structure
     3  of  the  place  of  entertainment,  where  applicable,  is   prominently
     4  displayed at the point of sale and at such place of entertainment.
     5    §  2. Section 11 of chapter 151 of the laws of 2010, amending the arts
     6  and cultural affairs law relating to resale  of  tickets  to  places  of
     7  entertainment, as amended by chapter 148 of the laws of 2021, is amended
     8  to read as follows:
     9    §  11.  Notwithstanding  the  provisions  of  article 5 of the general
    10  construction law, if this act shall take effect after May 15, 2010,  the
    11  provisions  of  article  25 of the arts and cultural affairs law, except
    12  section 25.11 are hereby revived and shall continue in  full  force  and
    13  effect as they existed on May 15, 2010 through June 30, [2022] 2025 when
    14  upon such date such provisions shall expire and be deemed repealed.
    15    § 3. This act shall take effect immediately.
    16    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
    17  sion,  section  or  part  of  this act shall be adjudged by any court of
    18  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    19  impair,  or  invalidate  the remainder thereof, but shall be confined in
    20  its operation to the clause, sentence, paragraph,  subdivision,  section
    21  or part thereof directly involved in the controversy in which such judg-
    22  ment shall have been rendered. It is hereby declared to be the intent of
    23  the  legislature  that  this  act  would  have been enacted even if such
    24  invalid provisions had not been included herein.
    25    § 3. This act shall take effect immediately; provided,  however,  that
    26  the  applicable effective date of Parts A through F of this act shall be
    27  as specifically set forth in the last section of such Parts.
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