Theaters and Shows - Ticket Sales

To protect the public, a number of communities have enacted statutes regulating the resale of tickets for any kind of theater or show in order to discourage speculation, which weakens the market for the tickets. Such measures also prevent scalping (the process whereby large numbers of tickets purchased at the normal price in order to create a shortage are then sold at extremely inflated prices). A state or local government may make it a criminal offense to sell a ticket for more than the price stamped on it.

Frequently the statutory scheme that proscribes resale of tickets for more than the printed price includes special provisions for ticket brokers, who are in the business of selling tickets for a number of theaters to members of the public. Brokers are strictly regulated to protect the public from FRAUD, EXTORTION, and exorbitant rates. A dishonest BROKER could possibly sell tickets for performances not scheduled, sell seats already sold, or scalp the tickets. For the public protection, a state or city may require anyone reselling tickets to be licensed and may revoke the license of any broker who abuses the privilege.