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NITO Files A Complaint Against Secondary Market Scalpers With The FTC

NITO
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WASHINGTON D.C. (CelebrityAccess) — The National Independent Talent Organization, a trade association representing the interests of independent music booking agencies and managers in the United States, has filed a formal complaint with the Federal Trade Commission (FTC) alleging that the ticket resale industry has engaged in widespread violations of the Better Online Ticket Sales (BOTS) Act of 2016.

The complaint, which was signed by more than 42 of the leading independents in the sector, including companies such as Red Light Management, Madison House, and High Road Touring, was also shared with members of Congress, other Federal and State entities and the trade group’s partners in the Fix The Tix Coalition.

The NITO complaint details how multiple technology companies in the ticket resale space allegedly use a range of technologies, including virtual credit card services and proxy services, to knowingly bypass restrictions on ticket sales.

In the complaint, NITO details the use of the technology and explicates how they fly in the face of the BOTS Act. According to NITO, many of these technologies were openly on display on the trade show floor during the World Ticket Conference hosted by The National Association of Ticket Brokers in Nashville on July 24-26, 2024.

The complaint also offers recommendations rights holders and the Federal Trade Commission to combat these practices, including increased enforcement, legislative updates, and enhanced cooperation between stakeholders in the ticketing industry.

The list of recommended countermeasures includes a proposal that the FTC use its authority to subpoena customer lists from companies offering services that fall into the categories likely to facilitate BOTS Act violations as well as investment by stakeholders into advanced anti-bot technology.

NITO FTC Complaint

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