StubHub tricks customers into spending more on tickets by hiding fees until just before purchase, prosecutors claim

Trending 2 months ago
  • StubHub is being accused of hiding nan existent value of tickets until its clip to pay 

By Paul Farrell For Dailymail.Com

Published: 08:38 EDT, 31 July 2024 | Updated: 09:53 EDT, 31 July 2024

StubHub is being taken to tribunal by Washington DC's lawyer wide successful a awesome suit which sees nan ticketing elephantine being accused of 'drip pricing,' an forbidden believe of deceptively hiding nan existent price. 

The action is successful usurpation of user protection laws successful DC, AG Brian Schwalb said this week. 'StubHub intentionally hides nan existent value to boost profits astatine its customers' expense,' he said successful a statement.

The institution did not instantly respond to an email seeking comment.

The mandatory 'fulfillment and service' fees are hidden until nan extremity of a lengthy online purchasing process that often requires much than a twelve pages to complete arsenic a countdown timer creates a consciousness of urgency, Schwalb said.

That makes it 'nearly impossible' for buyers to cognize nan existent costs of a summons and comparison to find nan champion price, he said. Fees alteration wide and tin full much than 40% of nan advertised summons price, nan suit alleges.

'StubHub intentionally hides nan existent value to boost profits astatine its customers' expense,' DC Attorney General Brian Schwalb said this week

StubHub is 1 of nan world´s largest resale platforms for tickets to sports, concerts, and different unrecorded events

StubHub CEO Eric Baker, shown here, has yet to remark connected nan lawsuit 

StubHub is 1 of nan world´s largest resale platforms for tickets to sports, concerts, and different unrecorded events.

Sally Greenberg, CEO of nan nonprofit defense group National Consumers League, applauded nan lawsuit. 'Hidden fees successful nan ticketing manufacture person genuinely gotten retired of control. The value that is advertised is nan value that we should salary - afloat stop,' she said. Ticket fees were besides portion of a sweeping antitrust suit nan Justice Department revenge against Ticketmaster and its genitor institution successful May.

StubHub utilized to advertise nan 'all-in' costs of a summons astir a decade ago, but changed aft uncovering that group are much apt to bargain tickets astatine higher prices pinch nan 'drip pricing' model, he said.

Washington residents´ per-capita spending connected unrecorded intermezo outpaces that of galore different awesome U.S. cities and since 2015, StubHub has sold astir 5 cardinal tickets successful Washington and reaped astir $118 cardinal successful fees, nan suit states.

The suit seeks damages and to artifact nan pricing practices. Schwalb settled different suit past twelvemonth pinch nan Washington Commanders complete fans´ play summons deposit money.

More
Source dailymail
dailymail