Vermont committee reviews draft bill to regulate event ticket resale

The Vermont House Committee on Commerce & Economic Development on May 15 heard a briefing on H.512, a short-form bill to regulate the resale of event tickets by improving price transparency, requiring refunds in certain cases and creating licensing and enforcement provisions.

The measure, modeled on an existing New York statute, aims to enhance consumer protections for people who buy tickets for concerts, sporting events and other public events, committee members were told.

Cameron Wood of the Office of Legislative Council summarized the draft for the committee, saying the bill would require resellers or platforms that facilitate resale to guarantee a full refund "under certain circumstances," including if tickets are counterfeit or an event is canceled. Wood said the draft also would require itemized pricing that lists taxes and fees, prohibit selling tickets a reseller does not own or possess without explicit notice to buyers, and bar the use of automated purchasing software often called "bots." Wood said the proposal would include annual licensing for resellers, a surety bond (he cited a $10,000 example used in other jurisdictions), and recordkeeping requirements for resale transactions.

Wood said enforcement in the draft would rest with the state Attorney General, with authority to conduct compliance audits, impose administrative penalties and suspend or revoke a reseller’s license. He added that violating the statute could be treated as an unfair or deceptive act in commerce if the committee were to finalize the bill language.

Committee members discussed where to place new ticketing rules in existing law. Wood said the consumer protection chapter — Title 9 — contains a subchapter 2a on musical performances and suggested the ticketing provisions would fit within that consumer-protection framework. Committee members noted the panel previously took testimony from venues and fairs on related issues and asked Wood to review what Vermont currently has on the books and how New York’s law differs.

No formal motion or vote was taken. The committee chair asked Wood to do additional research on existing Vermont statutes and other states’ approaches, and to return with draft language and recommendations when the committee reconvenes (members discussed taking the matter up when the Legislature returns in January). Representative Harrison, the bill sponsor, was invited to meet with the committee for further discussion.

The committee also flagged a separate staff task to draft a letter regarding housing coordination (reference to the HFA and Vita), but that item was not developed in this discussion.

What the draft would and would not do: committee discussion and Wood’s summary show the draft aims to (1) require refunds in specified circumstances, (2) require clear itemized pricing, (3) prohibit sales of tickets not in a reseller’s possession without notice, (4) prohibit bot-assisted purchasing, (5) require annual licensing and a surety bond, and (6) authorize Attorney General enforcement. The draft’s exact record-retention periods, bond amounts and some other implementation details were not specified in the briefing and would require further drafting and legal review.

Committee members asked Wood to compare the New York statute and other states’ laws and to identify provisions that may not apply to Vermont, such as sections tied to large professional sports markets.

The committee did not take action to advance H.512 at the meeting; members directed staff research and follow-up meetings.