§45c. Unfair and deceptive acts and practices relating to circumvention of ticket access control measures

(a) Conduct prohibited

(1) In general

Except as provided in paragraph (2), it shall be unlawful for any person-

(A) to circumvent a security measure, access control system, or other technological control or measure on an Internet website or online service that is used by the ticket issuer to enforce posted event ticket purchasing limits or to maintain the integrity of posted online ticket purchasing order rules; or

(B) to sell or offer to sell any event ticket in interstate commerce obtained in violation of subparagraph (A) if the person selling or offering to sell the ticket either-

(i) participated directly in or had the ability to control the conduct in violation of subparagraph (A); or

(ii) knew or should have known that the event ticket was acquired in violation of subparagraph (A).

(2) Exception

It shall not be unlawful under this section for a person to create or use any computer software or system-

(A) to investigate, or further the enforcement or defense, of any alleged violation of this section or other statute or regulation; or

(B) to engage in research necessary to identify and analyze flaws and vulnerabilities of measures, systems, or controls described in paragraph (1)(A), if these research activities are conducted to advance the state of knowledge in the field of computer system security or to assist in the development of computer security product.

(b) Enforcement by the Federal Trade Commission

(1) Unfair or deceptive acts or practices

A violation of subsection (a) shall be treated as a violation of a rule defining an unfair or a deceptive act or practice under section 18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)).

(2) Powers of Commission

(A) In general

The Commission shall enforce this section in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a part of this section.

(B) Privileges and immunities

Any person who violates subsection (a) shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act (15 U.S.C. 41 et seq.).

(C) Authority preserved

Nothing in this section shall be construed to limit the authority of the Federal Trade Commission under any other provision of law.

(c) Enforcement by States

(1) In general

In any case in which the attorney general of a State has reason to believe that an interest of the residents of the State has been or is threatened or adversely affected by the engagement of any person subject to subsection (a) in a practice that violates such subsection, the attorney general of the State may, as parens patriae, bring a civil action on behalf of the residents of the State in an appropriate district court of the United States-

(A) to enjoin further violation of such subsection by such person;

(B) to compel compliance with such subsection; and

(C) to obtain damages, restitution, or other compensation on behalf of such residents.

(2) Rights of Federal Trade Commission

(A) Notice to Federal Trade Commission

(i) In general

Except as provided in clause (iii), the attorney general of a State shall notify the Commission in writing that the attorney general intends to bring a civil action under paragraph (1) not later than 10 days before initiating the civil action.

(ii) Contents

The notification required by clause (i) with respect to a civil action shall include a copy of the complaint to be filed to initiate the civil action.

(iii) Exception

If it is not feasible for the attorney general of a State to provide the notification required by clause (i) before initiating a civil action under paragraph (1), the attorney general shall notify the Commission immediately upon instituting the civil action.

(B) Intervention by Federal Trade Commission

The Commission may-

(i) intervene in any civil action brought by the attorney general of a State under paragraph (1); and

(ii) upon intervening-

(I) be heard on all matters arising in the civil action; and

(II) file petitions for appeal of a decision in the civil action.

(3) Investigatory powers

Nothing in this subsection may be construed to prevent the attorney general of a State from exercising the powers conferred on the attorney general by the laws of the State to conduct investigations, to administer oaths or affirmations, or to compel the attendance of witnesses or the production of documentary or other evidence.

(4) Preemptive action by Federal Trade Commission

If the Commission institutes a civil action or an administrative action with respect to a violation of subsection (a), the attorney general of a State may not, during the pendency of such action, bring a civil action under paragraph (1) against any defendant named in the complaint of the Commission for the violation with respect to which the Commission instituted such action.

(5) Venue; service of process

(A) Venue

Any action brought under paragraph (1) may be brought in-

(i) the district court of the United States that meets applicable requirements relating to venue under section 1391 of title 28; or

(ii) another court of competent jurisdiction.

(B) Service of process

In an action brought under paragraph (1), process may be served in any district in which the defendant-

(i) is an inhabitant; or

(ii) may be found.

(6) Actions by other State officials

(A) In general

In addition to civil actions brought by attorneys general under paragraph (1), any other consumer protection officer of a State who is authorized by the State to do so may bring a civil action under paragraph (1), subject to the same requirements and limitations that apply under this subsection to civil actions brought by attorneys general.

(B) Savings provision

Nothing in this subsection may be construed to prohibit an authorized official of a State from initiating or continuing any proceeding in a court of the State for a violation of any civil or criminal law of the State.

( Pub. L. 114–274, §2, Dec. 14, 2016, 130 Stat. 1401 .)

Editorial Notes

References in Text

The Federal Trade Commission Act, referred to in subsec. (b)(2), is act Sept. 26, 1914, ch. 311, 38 Stat. 717 , which is classified generally to this subchapter. For complete classification of this Act to the Code, see section 58 of this title and Tables.

Codification

Section was enacted as part of the Better Online Ticket Sales Act of 2016 or the BOTS Act of 2016, and not as part of the Federal Trade Commission Act which comprises this subchapter.

Statutory Notes and Related Subsidiaries

Definitions

Pub. L. 114–274, §3, Dec. 14, 2016, 130 Stat. 1403 , provided that: "In this Act [see Short Title of 2016 Amendment note set out under section 58 of this title]:

"(1) Commission.-The term 'Commission' means the Federal Trade Commission.

"(2) Event.-The term 'event' means any concert, theatrical performance, sporting event, show, or similarly scheduled activity, taking place in a venue with a seating or attendance capacity exceeding 200 persons that-

"(A) is open to the general public; and

"(B) is promoted, advertised, or marketed in interstate commerce or for which event tickets are generally sold or distributed in interstate commerce.

"(3) Event ticket.-The term 'event ticket' means any physical, electronic, or other form of a certificate, document, voucher, token, or other evidence indicating that the bearer, possessor, or person entitled to possession through purchase or otherwise has-

"(A) a right, privilege, or license to enter an event venue or occupy a particular seat or area in an event venue with respect to one or more events; or

"(B) an entitlement to purchase such a right, privilege, or license with respect to one or more future events.

"(4) Ticket issuer.-The term 'ticket issuer' means any person who makes event tickets available, directly or indirectly, to the general public, and may include-

"(A) the operator of the venue;

"(B) the sponsor or promoter of an event;

"(C) a sports team participating in an event or a league whose teams are participating in an event;

"(D) a theater company, musical group, or similar participant in an event; and

"(E) an agent for any such person."

Executive Documents

Ex. Ord. No. 14254. Combating Unfair Practices in the Live Entertainment Market

Ex. Ord. No. 14254, Mar. 31, 2025, 90 F.R. 14699, provided:

By the authority vested in me as President by the Constitution and the laws of the United States of America, it is hereby ordered:

Section 1. Purpose. (a) America's live concert and entertainment industry is the envy of the world. But it has become blighted by unscrupulous middlemen who sit at the intersection between artists and fans and impose egregious fees while providing minimal value. Ticket scalpers use bots and other unfair means to acquire large quantities of face-value tickets and then re-sell them at an enormous markup on the secondary market, price-gouging consumers and depriving fans of the opportunity to see their favorite artists without incurring extraordinary expenses. By some reports, fans have paid as much as 70 times face value to obtain a ticket. When this occurs, the artists do not receive any profit. All profits go solely to the scalper and the ticketing agency.

(b) My Administration is committed to making as accessible as possible the arts and entertainment that enrich Americans' lives. The rent-seeking behaviors surrounding the ticketing industry are contrary to this goal. They are detrimental to consumers and capitalize on market distortions that must not be allowed to persist.

Sec. 2. Implementation. My Administration shall use all lawful authority to address the conduct described in section 1 of this order. Accordingly, I direct that:

(a) the Attorney General and the Federal Trade Commission (FTC) ensure that competition laws are appropriately enforced in the concert and entertainment industry, including where venues, ticketing agents, or combinations thereof operate to the detriment of artists and fans;

(b) the FTC rigorously enforce the Better Online Tickets Sales Act [of 2016], 15 U.S.C. 45c, and collaborate with State Attorneys General or other State consumer protection officers on enforcement of the Better Online Ticket Sales Act, including by providing such State officials with information or evidence obtained by the FTC when consistent with applicable law;

(c) the FTC take appropriate action, including proposing regulations if necessary, to ensure price transparency at all stages of the ticket-purchase process, including the secondary ticketing market;

(d) the FTC evaluate and, if appropriate, take enforcement action to prevent unfair, deceptive, and anti-competitive conduct in the secondary ticketing market; and

(e) the Secretary of the Treasury and Attorney General ensure, as appropriate, that ticket scalpers are operating in full compliance with the Internal Revenue Code [of 1986, 26 U.S.C. 1 et seq.] and other applicable law.

Sec. 3. Report. Within 180 days of the date of this order [Mar. 31, 2025], the Secretary of the Treasury, Attorney General, and Chairman of the FTC shall jointly submit a report to the Assistant to the President for Economic Policy and the Director of the Office and Management and Budget describing the actions they have taken to implement this order. The report shall also identify any recommendations for regulations or legislation necessary to protect consumers with respect to the live concert and entertainment industry.

Sec. 4. General Provisions. (a) Nothing in this order shall be construed to impair or otherwise affect:

(i) the authority granted by law to an executive department or agency, or the head thereof; or

(ii) the functions of the Director of the Office of Management and Budget relating to budgetary, administrative, or legislative proposals.

(b) This order shall be implemented consistent with applicable law and subject to the availability of appropriations.

(c) This order is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person.

Donald J. Trump.