Delhi HC issues notice to Centre on plea seeking norms to regulate re-sale of concert tickets, banning of illegal sites
Oct 24, 2024
New Delhi [India], October 24 : The Delhi High Court on Thursday issued a notice to the Centre and three private entities regarding a plea that seeks the establishment of norms to regulate the resale of concert tickets and to block illegal ticket-selling websites.
The division bench, led by Chief Justice Manmohan, while seeking the response of all respondents, including Union ministries of information and broadcasting and electronics and information technology, tagged the matter with ongoing PIL and recently moved against ticket scalping, which is listed for hearing on February 18, 2025.
The plea, prompted by recent concerts featuring Coldplay, Diljit Dosanjh, etc.
The petition stated that the resellers have also acted in violation of the Consumer Protection Rules, 2020, as the resellers do not carry out any verification of the tickets being sold on their platform, nor they require any undertaking from the sellers, as is also evident from their terms and conditions. Thus, an individual with no ticket can also advertise via Resellers and secure unjust and unlawful benefits.
Moreover, the resellers have no effective grievance redressal mechanism in place which may protect the interests of the purchasers if the seller fails to abide by its contractual obligations. Moreover, in the absence of a ticket or non-delivery of a legal ticket, it is the resellers who are to gain, as they further charge 25 euros per issue from the seller as 'administrative fees' for resolution of any issue raised by the purchaser. Such fees are independent of any successful resolution, and no compensation is provided to the buyer.
It is further stated that Section 112 of BNS was also introduced with a similar aim to curb the practice of black-marketing and unauthorised dealing of tickets. The legislature intended to safeguard the public interest by outlawing any transactions for the sale of tickets that were without the express authority of the authorised ticketing platform or organiser. Prior to BNS, the state legislatures had prohibited such black-marketing activities via state legislation, as it deprived the state of a substantial amount of tax revenue and also resulted in the innocent public being cheated by the criminal elements. Thus, Section 112 of Bharatiya Nagarik Sanhita, 2023 ['BNS'] aimed to protect the public by curbing the said acts of black-marketing with a severe punishment of imprisonment extending up to 7 years and imposition of fine.
On October 9, the Delhi High Court sought the response of all respondents authorities against the practice of "ticket scalping," which involves reselling event tickets at inflated prices.
The plea filed in the Delhi High Court challenges the illegal practice of ticket scalping, where event tickets are resold at inflated prices for profit, harming the general public.
The petition also claims that scalping contributes to a black market for counterfeit tickets, further victimising consumers. Additionally, it argued that these transactions, often unregulated, evade the official tax system, resulting in lost government revenue. This situation fosters a shadow economy that deprives the state of funds that could support public services and infrastructure.
The petitioner called for a comprehensive legal framework, effective enforcement, and technological solutions to mitigate the negative impacts of ticket scalping. The goal is to promote fair ticketing practices, ensure consumer protection, and integrate revenue from ticket sales into the formal economy.