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SB-829 Ticket sellers: exclusivity.(2023-2024)



Current Version: 05/01/23 - Amended Senate

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SB829:v98#DOCUMENT

Amended  IN  Senate  May 01, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill
No. 829

Introduced by Senator Wilk
(Coauthor: Assembly Member Friedman)

February 17, 2023

An act to amend Section 22503.5 of, and add Section 22502.4 to, the Business and Professions Code, relating to ticket sellers.


LEGISLATIVE COUNSEL'S DIGEST


SB 829, as amended, Wilk. Ticket sellers: exclusivity.
Existing law provides for the comprehensive regulation of ticket sellers, including prohibiting a ticket seller from contracting to sell or accepting payment for tickets unless the ticket seller has lawful possession of the ticket; has a contractual right to obtain the ticket; or informs the purchaser the seller does not have possession of the tickets, has no contract to obtain the offered ticket, and may not be able to supply the ticket at the contracted price, as specified.
This bill would prohibit the operator of an entertainment facility and a primary ticket seller from entering into a contract that provides for the primary ticket seller to be the exclusive ticket seller for the operator of the entertainment facility. The bill would prohibit threatening or seeking to enforce such a provision or to otherwise penalize an operator of an entertainment facility for entering into an agreement with another primary ticket seller.
Existing law defines a primary contractor as the person or organization who is responsible for the event for which tickets are being sold. Existing law declares that regulation of ticket sellers does not apply to a primary contractor or seller of tickets for the primary contractor operating under a written contract with the primary contractor.
This bill would declare that the provisions of this bill apply to a primary contractor and a seller of tickets for the primary contractor operating under a written contract with the primary contractor.
Existing law declares that violations of statutory regulations of ticket sellers are punishable as a misdemeanor.
This bill would make entering into a contract that provides for the primary ticket seller to be the exclusive ticket seller for the operator of the entertainment facility punishable as a misdemeanor. Because the bill would expand the scope of an existing crime, the bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

The people of the State of California do enact as follows:


SECTION 1.

 Section 22502.4 is added to the Business and Professions Code, to read:

22502.4.
 (a) For purposes of this section, all of the following definitions shall apply:
(1) “Entertainment” means all forms of entertainment including, but not limited to, theatrical or operatic performances, concerts, motion pictures, all forms of entertainment at fairgrounds and amusement parks, and all types of athletic competitions including football, basketball, baseball, boxing, tennis, hockey, and any other sport, sports, and all other forms of diversion, recreation or show. The term does not apply to forms of entertainment at an amusement park or fairground.
(2) “Entertainment facility” means a publicly or privately owned place of entertainment including, but not limited to, an amusement park, arena, auditorium, concert hall, live performance venue, museum, racetrack, stadium, theater, or other place where entertainment events are presented for a price of admission. The facility does not have to be used exclusively for entertainment events. The term does not apply to an amusement park or fairground.
(3) “Operator” means any person who owns, operates, or controls an entertainment facility.
(4) “Primary ticket seller” means a primary contractor as defined in Section 22503.5, ticket seller, or agent of the primary contractor or ticket seller that engages in the primary sale of tickets for an event.
(b) A contract between an operator of an entertainment facility and a primary ticket seller shall not provide for the primary ticket seller to be the exclusive and sole primary ticket seller for the operator of the entertainment facility.
(c) It shall be unlawful to threaten or to seek to enforce a provision made unlawful under this section or to otherwise penalize an operator of an entertainment facility for entering into an agreement with another primary ticket seller.
(d) A waiver of a provision of this section is contrary to public policy and thus is void and unenforceable.
(e) This section shall not require an operator of an entertainment facility to enter into an agreement with a primary ticket seller or require that an operator of an entertainment facility have an agreement with multiple primary ticket sellers.

SEC. 2.

 Section 22503.5 of the Business and Professions Code is amended to read:

22503.5.
 This chapter does not apply to any primary contractor or seller of tickets for the primary contractor operating under a written contract with the primary contractor, except as otherwise provided in Section 22502.4.
“Primary contractor” means the person or organization who is responsible for the event for which tickets are being sold.

SEC. 3.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.