Justice Department and FTC Announce First Enforcement Actions for Violations of the Better Online Ticket Sales Act
Three Settlements Impose Millions of Dollars in Civil Penalties and Injunctive Terms
(STL.News) The Department of Justice, together with the Federal Trade Commission (FTC), today announced three settlements resolving alleged violations of the Better Online Ticket Sales (BOTS) Act. These are the first enforcement actions that the department and the FTC have brought under the BOTS Act.
Enacted in 2016, the BOTS Act aims to prevent ticket brokers from buying large numbers of event tickets and reselling them to interested customers at inflated prices. To achieve that goal, the BOTS Act prohibits a person from circumventing access controls or measures used by online ticket sellers (such as Ticketmaster) to enforce ticket-purchasing limits. It also prevents the resale of tickets obtained by knowingly circumventing access controls.
As alleged in the three complaints filed by the United States, the defendants — Just In Time Tickets Inc. and its owner Evan Kohanian; Concert Specials Inc. and its owner Steven Ebrani; and Cartisim Corp. and its owner Simon Ebrani — committed violations of the BOTS Act to purchase from Ticketmaster thousands of tickets they then resold for millions of dollars in revenues, often at significant markups.