StubHub UK was forced to add a warning about invalid resold tickets
The change comes after the company was asked to "clean up its site" following a consumer law investigation.
StubHub is one of the top ticket reselling websites in the world. Despite its success, however, the company has still faced criticism over the years. In particular, the site has been threatened with court action over misleading information presented to customers.
StubHub is known for reselling tickets at much higher face value prices. As well, many customers have purchased tickets from the website only to find out they are invalid. Due to this, the Competition and Markets Authority (CMA) previously threatened court action against StubHub over "misleading" messages. The CMA argues that Stubhub fails to give customers important information regarding their ticket purchases.
Now, StubHub UK has been forced to add a warning to its website. The transparent warning notifies customers that some resold tickets on Stubhub may not be valid.
Following the inclusion of the warning, CMA gave an update and says it's satisfied with the changes that have been made.
"We have secured changes to StubHub’s UK site to address our concerns," the statement says. "And, as these are formal undertakings, we can continue to hold them to account for their compliance. We also achieved this without a lengthy court process. If fresh information emerges that suggests StubHub is not meeting its obligations, the CMA will not hesitate to take further action – through the courts if necessary.”
A representative for StubHub also shares that the inclusion of the warning is one step towards evolving the site even further.
“We are pleased that the CMA has confirmed that StubHub has addressed the CMA’s concerns," the rep says. "We have worked closely with the CMA to evolve our site in the best interest of our customers. As a fan-first marketplace, StubHub has always cooperated closely with regulators. And will continue to do so, appreciating the dynamic regulatory environment in which we operate.”
Along with StubHub, the CMA warns all secondary ticketing companies that action could be taken amid the coronavirus pandemic. Since the majority of 2020 events are either canceled or rescheduled, it is up to the secondary ticketing companies to monitor the tickets being sold.
"If it emerges that consumer protection law is being broken, the CMA will consider whether further action might be necessary to address these issues."
Do you think all secondary ticketing websites should come with a warning? Let us know your thoughts in the comments below.