Unlock Ticketing Markets Act of 2023

II 118TH CONGRESS 1ST SESSION S. 1326 To prohibit exclusive venue ticketing contracts with an excessive duration, and for other purposes. IN THE SENATE OF THE UNITED STATES APRIL 26, 2023 Ms. KLOBUCHAR (for herself and Mr. BLUMENTHAL) introduced the following bill; which was read twice and referred to the Committee on the Judiciary A BILL To prohibit exclusive venue ticketing contracts with an excessive duration, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Unlock Ticketing Mar- 4 kets Act of 2023’’. 5 SEC. 2. PROHIBITION ON EXCLUSIVE VENUE TICKETING 6 CONTRACTS WITH AN EXCESSIVE DURATION. 7 (a) PROHIBITION.—No primary ticketing service pro- 8 vider may enter into, or attempt to enter into, an exclusive 9 venue ticketing contract if the contract is for an excessive 10 VerDate Sep 11 2014 01:58 May 04, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1326.IS S1326 DMWilson on DSKJM0X7X2PROD with BILLS 2 •S 1326 IS duration, as determined by the Commission under sub- 1 section (b). 2 (b) RULEMAKING.— 3 (1) IN GENERAL.—For purposes of subsection 4 (a), not later than 180 days after the date of enact- 5 ment of this Act, the Commission shall promulgate 6 rules in accordance with section 553 of title 5, 7 United States Code, to define the period of time that 8 constitutes an excessive duration, with respect to an 9 exclusive venue ticketing contract, subject to the lim- 10 itation in paragraph (2). 11 (2) LIMITATION.—The minimum period of time 12 that constitutes an excessive duration, with respect 13 to an exclusive venue ticketing contract, shall be 14 more than 4 years. 15 (c) ENFORCEMENT.— 16 (1) UNFAIR METHOD OF COMPETITION.—A vio- 17 lation of subsection (a) or a regulation promulgated 18 thereunder shall be treated as an unfair method of 19 competition under section 5(a)(1) of the Federal 20 Trade Commission Act (15 U.S.C. 45(a)(1)). 21 (2) POWERS OF THE COMMISSION.— 22 (A) IN GENERAL.—The Commission shall 23 enforce subsection (a) and any regulations pro- 24 mulgated thereunder in the same manner, by 25 VerDate Sep 11 2014 22:31 May 03, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1326.IS S1326 DMWilson on DSKJM0X7X2PROD with BILLS 3 •S 1326 IS the same means, and with the same jurisdic- 1 tion, powers, and duties as though all applicable 2 terms and provisions of the Federal Trade 3 Commission Act (15 U.S.C. 41 et seq.) were in- 4 corporated into and made a part of this Act. 5 (B) PRIVILEGES AND IMMUNITIES.—Any 6 person who violates subsection (a) or a regula- 7 tion promulgated thereunder shall be subject to 8 the penalties and entitled to the privileges and 9 immunities provided in the Federal Trade Com- 10 mission Act (15 U.S.C. 41 et seq.). 11 (C) AUTHORITY PRESERVED.—Nothing in 12 this Act shall be construed to limit the author- 13 ity of the Commission under any other provi- 14 sion of law. 15 (D) RULEMAKING.—The Commission shall 16 promulgate in accordance with section 553 of 17 title 5, United States Code, such rules as may 18 be necessary to carry out this Act. 19 (E) CIVIL PENALTIES.—Any primary 20 ticketing service provider that violates this Act 21 shall pay to the United States a civil penalty 22 that— 23 (i) is sufficient to deter violations of 24 this section; and 25 VerDate Sep 11 2014 22:31 May 03, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1326.IS S1326 DMWilson on DSKJM0X7X2PROD with BILLS 4 •S 1326 IS (ii) is not greater than the volume of 1 commerce affected by the exclusive venue 2 ticketing contract giving rise to the viola- 3 tion. 4 (d) ANTITRUST LAWS.—Nothing in this Act shall 5 modify, impair, limit, or supersede the applicability of the 6 antitrust laws, as defined in subsection (a) of the first sec- 7 tion of the Clayton Act (15 U.S.C. 12). 8 (e) EFFECTIVE DATE.—The prohibition established 9 in subsection (a) shall take effect on the date that is 90 10 days after the date on which the Commission promulgates 11 rules under subsection (b). 12 (f) DEFINITIONS.—In this section: 13 (1) COMMISSION.—The term ‘‘Commission’’ 14 means the Federal Trade Commission. 15 (2) EXCLUSIVE VENUE TICKETING CON- 16 TRACT.—The term ‘‘exclusive venue ticketing con- 17 tract’’ means any contract or agreement under 18 which a primary ticketing service provider is granted 19 the exclusive right to conduct the initial sale of tick- 20 ets to all, or substantially all, live concerts, theat- 21 rical performances, sporting events, comedy shows, 22 or other scheduled performances held at a particular 23 venue. 24 VerDate Sep 11 2014 22:31 May 03, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S1326.IS S1326 DMWilson on DSKJM0X7X2PROD with BILLS 5 •S 1326 IS (3) PRIMARY TICKETING SERVICE PROVIDER.— 1 The term ‘‘primary ticketing service provider’’ 2 means any person that provides services to conduct 3 or facilitate the initial sale of tickets to a live con- 4 cert, theatrical performance, sporting event, comedy 5 show, or other scheduled performance by, or on be- 6 half of, the organizer of such event. 7 (4) VENUE.—The term ‘‘venue’’ means a phys- 8 ical space— 9 (A) at which live concerts, theatrical per- 10 formances, sporting events, comedy shows, or 11 other scheduled performances are held; 12 (B) with a defined performance area and a 13 defined audience area; and 14 (C) that has a maximum capacity in the 15 defined audience area of not fewer than 5,000 16 individuals. 17 Æ VerDate Sep 11 2014 22:31 May 03, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\S1326.IS S1326 DMWilson on DSKJM0X7X2PROD with BILLS