HB 516 - Tickets; unlawful sales; surcharges on sales

Georgia House of Representatives - 1995/1996 Sessions

HB 516 - Tickets; unlawful sales; surcharges on sales

Page Numbers - 1/ 2/ 3/ 4/ 5/ 6/ 7
Code Sections - 10-1-310/ 10-1-311/ 10-1-312/ 10-1-313/ 10-1-314
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1. Powell  23rd           2. Watson  139th           3. Towery  30th
4. Brush  112th           5. Dixon  150th            6. Henson  65th

House Comm: Ind / Senate Comm: CAff / House Vote: Yeas 155 Nays 11 Senate Vote: Yeas 52 Nays 0 ---------------------------------------- House Action Senate ---------------------------------------- 1/31/95 Read 1st Time 2/20/95 2/1/95 Read 2nd Time 3/13/95 2/9/95 Favorably Reported 3/13/95 Sub Committee Amend/Sub Sub 2/16/95 Read 3rd Time 3/15/95 2/17/95 Passed/Adopted 3/15/95 CSFA Comm/Floor Amend/Sub CS 3/17* Amend/Sub Agreed To 3/17* 4/3/95 Sent to Governor 4/13/95 Signed by Governor V3 Act/Veto Number ---------------------------------------- Postponed by the House 2/16 Until 2/17/95 House Agrees to Senate Substitute as Amended by House Senate Agrees to House Amendment to Senate Substitute Code Sections amended: 10-1-310, 10-1-311, 10-1-312, 10-1-313, 10-1-314
HB 516 HB 516/AP H. B. No. 516 (AS PASSED HOUSE AND SENATE) By: Representatives Powell of the 23rd, Watson of the 139th, Towery of the 30th, Brush of the 112th, Dixon of the 150th and others A BILL TO BE ENTITLED AN ACT 1- 1 To amend Chapter 1 of Title 10 of the Official Code of 1- 2 Georgia Annotated, relating to selling and other trade 1- 3 practices, so as to change the provisions relating to the 1- 4 sale of tickets to athletic contests and entertainment 1- 5 events; to provide for the registration and regulation of 1- 6 persons engaged in the business of a ticket broker; to 1- 7 provide for administration by the Secretary of State; to 1- 8 provide for rules and regulations; to provide for 1- 9 enforcement; to define a certain term; to provide 1-10 qualifications for registration as a ticket broker; to 1-11 require bonds; to prohibit a person from engaging in the 1-12 business of a ticket broker unless the person complies with 1-13 the provisions of this Act; to provide for registration 1-14 fees; to require ticket brokers to conduct business in a 1-15 certain manner; to prohibit the resale of tickets to 1-16 athletic contests or entertainment events within 1,000 feet 1-17 of the facilities where such contests or events are being 1-18 held or are to be held; to require ticket brokers to 1-19 disclose certain information to ticket purchasers; to 1-20 require a ticket broker who fails to provide tickets after 1-21 guaranteeing delivery to provide a full refund and pay a 1-22 refund fee to the purchaser; to provide that a ticket broker 1-23 who fails to provide such a refund and refund fee shall be 1-24 guilty of a felony; to provide penalties; to limit the 1-25 number of tickets that a ticket broker may resell in 1-26 connection with an event; to provide an exception; to 1-27 provide that a ticket broker shall be prohibited from 1-28 employing any agents or employees for the purpose of making 1-29 future purchases of tickets from the owner, operator, 1-30 lessee, or tenant of the property on which an athletic 1-31 contest or entertainment event is to be held; to prohibit 1-32 certain activities in connection with the resale of tickets; 1-33 to prohibit certain activities in connection with the sale 1-34 of tickets to events of the 1996 Olympic Games; to provide 1-35 penalties; to provide that no laws shall prohibit the casual 1-36 resale of tickets to events for a price equal to or less 1-37 than the price printed on the ticket; to provide that H. B. No. 516 -1- (Index) HB 516/AP 2- 1 business license requirements shall not apply to such casual 2- 2 resales; to provide that no provision of this Act shall 2- 3 limit or prohibit the owner, operator, lessee, or tenant of 2- 4 the property on which an athletic contest or entertainment 2- 5 event is being held or the sponsor of such a contest or 2- 6 event from having policies, rules, or regulations respecting 2- 7 the sale or resale of tickets to such contest or event; to 2- 8 provide an effective date; to repeal conflicting laws; and 2- 9 for other purposes. 2-10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: SECTION 1. 2-11 Chapter 1 of Title 10 of the Official Code of Georgia 2-12 Annotated, relating to selling and other trade practices, is 2-13 amended by striking in its entirety Article 12, relating to 2-14 ticket scalping, and inserting in lieu thereof a new Article 2-15 12 to read as follows: "ARTICLE 12 2-16 10-1-310. (Index) 2-17 (a) It shall be unlawful for any person other than a 2-18 ticket broker to resell or offer for resale any ticket of 2-19 admission or other evidence of the right of entry to any 2-20 athletic contests, concerts, theater performances, or 2-21 other entertainments, amusements, or exhibitions to which 2-22 the general public is admitted for a price in excess of 2-23 the price printed on the ticket. Notwithstanding any other 2-24 provision of this article to the contrary, a service 2-25 charge not to exceed $3.00 may be charged when tickets or 2-26 other evidences of the right of entry are sold by an 2-27 authorized ticket agent through places of established 2-28 business licensed to do business by the municipality or 2-29 county, where applicable, in which such places of business 2-30 are located. Notwithstanding any other provisions of this 2-31 article to the contrary, the owner, operator, lessee, or 2-32 tenant of the property on which such entertainment event 2-33 is to be held or is being held or the sponsor of such 2-34 contest or event may charge or may authorize, in writing, 2-35 any person to charge a service charge for the sale or 2-36 reselling of such ticket, privilege, or license of 2-37 admission in addition to the price printed on the ticket. 2-38 Such writing granting authority to another shall specify 2-39 the amount of the service charge to be charged for the H. B. No. 516 -2- (Index) HB 516/AP 3- 1 sale or reselling of each ticket, privilege, or license of 3- 2 admission. 3- 3 (b) Any advertisement, announcement, or poster for any 3- 4 event covered by this Code section which includes the 3- 5 price of admission shall specify the amount of the service 3- 6 charge to be charged for the sale or reselling of each 3- 7 ticket, privilege, or license of admission and such 3- 8 advertisement shall be clearly and conspicuously stated. 3- 9 10-1-311. (Index) 3-10 (a) As used in this article, the term 'ticket broker' 3-11 means any person who is involved in the business of 3-12 reselling tickets of admission to athletic contests, 3-13 concerts, theater performances or other entertainments, 3-14 amusements, or exhibitions to which the general public is 3-15 admitted and who charges a premium in excess of the price 3-16 of the ticket. The term 'ticket broker' shall not include 3-17 the owner, operator, lessee, or tenant of the property in 3-18 which an athletic contest or entertainment event is being 3-19 held or the sponsor of such a contest or event or the 3-20 authorized ticketing agent of such persons. 3-21 (b) On and after January 1, 1996, no person shall engage 3-22 in the business of a ticket broker unless such person is 3-23 in compliance with this Code section. 3-24 (c)(1) On and after January 1, 1996, no person shall 3-25 engage in the business of a ticket broker unless such 3-26 person is registered with the Secretary of State or his 3-27 or her delegate. Registration shall be on forms 3-28 furnished by the Secretary of State and shall be in such 3-29 manner as directed by the Secretary of State. The 3-30 Secretary of State shall charge a registration fee in 3-31 the amount of $500.00. A ticket broker shall renew his 3-32 or her registration annually and pay an annual 3-33 registration fee in the amount of $500.00. 3-34 (2) To be eligible for registration as a ticket broker a 3-35 person shall be required to: 3-36 (A) Maintain a permanent office or place of business 3-37 in this state, excluding a post office box, for the 3-38 purpose of engaging in the business of a ticket 3-39 broker; 3-40 (B) Obtain any business license required by a local 3-41 government; H. B. No. 516 -3- (Index) HB 516/AP 4- 1 (C) Have good moral character and not have been 4- 2 convicted of a felony or any crime involving moral 4- 3 turpitude; provided, however, that if the applicant 4- 4 has been convicted of such crime or has entered a plea 4- 5 of nolo contendere or has entered a plea pursuant to 4- 6 Article 3 of Chapter 8 of Title 42 or has otherwise 4- 7 been granted first offender treatment, the Secretary 4- 8 of State may inquire into the nature of the crime, the 4- 9 date of the conviction or plea, and any other 4-10 underlying facts and circumstances surrounding such 4-11 criminal proceedings and, in his or her discretion, 4-12 may grant a license to such applicant; and 4-13 (D) Provide satisfactory evidence to the Secretary of 4-14 State that the prospective registrant has posted or 4-15 has made provision for the posting of a bond. The 4-16 required bond shall be executed in favor of the state, 4-17 in the amount of $50,000.00, with a surety company 4-18 authorized to do business in this state and 4-19 conditioned to pay damages not to exceed the amount of 4-20 such bond to any person aggrieved by any act of the 4-21 principal named in such bond, which act is in 4-22 violation of this Code section. Such bond shall be 4-23 filed with the Secretary of State and shall be 4-24 approved by the Secretary of State as to form and as 4-25 to the solvency of the surety. No person registered 4-26 under this Code section shall cancel or cause to be 4-27 canceled a bond issued pursuant to this Code section 4-28 unless the Secretary of State is so informed in 4-29 writing by certified mail at least 30 days prior to 4-30 the proposed cancellation. If the surety or registrant 4-31 fails to submit, within ten days of the effective date 4-32 of cancellation, a new bond as outlined in this 4-33 subsection, the Secretary of State shall have the 4-34 authority to revoke any registration issued under this 4-35 Code section. 4-36 (3) The Secretary of State shall revoke the registration 4-37 of any ticket broker who no longer meets the eligibility 4-38 requirements of paragraph (2) of this subsection or who 4-39 otherwise violates this article; provided, however, that 4-40 the issuing of a registration under this Code section 4-41 shall not be deemed a contested case under Chapter 13 of 4-42 Title 50, the 'Georgia Administrative Procedure Act.' 4-43 (d) A ticket broker shall be required to: H. B. No. 516 -4- (Index) HB 516/AP 5- 1 (1) Disclose to the purchaser verbally or by use of a 5- 2 map the location of the seat represented by any ticket 5- 3 sold; 5- 4 (2) Disclose to the purchaser the refund policy of the 5- 5 ticket broker should an entertainment event be canceled; 5- 6 and 5- 7 (3) Disclose to the purchaser that a service charge has 5- 8 been added by the ticket broker to the price stated on 5- 9 the ticket. 5-10 (e)(1) If a ticket broker guarantees in writing delivery 5-11 of a ticket or tickets to a purchaser and fails to 5-12 complete such delivery, the ticket broker shall be 5-13 required to provide within 15 days a full refund of any 5-14 amount paid by the purchaser and, in addition, shall pay 5-15 the purchaser a refund fee of $250.00 per ticket. 5-16 (2) A ticket broker who violates paragraph (1) of this 5-17 subsection shall be guilty of a felony and, upon 5-18 conviction thereof, shall be fined not more than 5-19 $5,000.00 or imprisoned for not less than one year or 5-20 more than three years, or both. 5-21 (f) Unless a ticket broker has a written contract with the 5-22 owner, operator, lessee, or tenant of the property on 5-23 which an athletic contest or entertainment event is to be 5-24 held, which contract authorizes the ticket broker to 5-25 resell more than 2 percent of the tickets allocated for 5-26 such event, the ticket broker, including any affiliated 5-27 group of ticket brokers, shall be prohibited from 5-28 acquiring and reselling in excess of 2 percent of the 5-29 total tickets allocated for the event. 5-30 (g) The registration and revocation of registration 5-31 provisions of this article shall be ministerial duties of 5-32 the Secretary of State. It shall be the duty of local law 5-33 enforcement agencies and prosecuting attorneys to enforce 5-34 the provisions of this article. The Secretary of State 5-35 shall be authorized to promulgate rules and regulations to 5-36 carry out the provisions of this article. 5-37 (h) A ticket broker shall conduct business only from his 5-38 or her registered permanent office or place of business 5-39 which may not be within 2,500 feet of property on which an 5-40 athletic contest or entertainment event is held. 5-41 (i) Neither a ticket broker or an agent or employee of a 5-42 ticket broker or any other person shall engage in the H. B. No. 516 -5- (Index) HB 516/AP 6- 1 practice of reselling or attempting to resell or the 6- 2 delivery of resold tickets to any athletic contest or 6- 3 entertainment event within 1,000 feet of the facility 6- 4 where such contest or event is being held or is to be 6- 5 held. 6- 6 (j) A ticket broker shall be prohibited from employing any 6- 7 agents or employees for the purpose of making future 6- 8 purchases of tickets from the owner, operator, lessee, or 6- 9 tenant of the property on which an athletic contest or 6-10 entertainment event is to be held. 6-11 10-1-312. (Index) 6-12 (a) It shall be unlawful for any ticket agent, ticket 6-13 broker, or any other firm, corporation, partnership, or 6-14 legal entity, except the Atlanta Committee for the Olympic 6-15 Games or the Atlanta Paralympic Organizing Committee, to 6-16 advertise for sale, offer for sale, or sell any ticket to 6-17 any event of the 1996 Olympic Games or the 1996 Paralympic 6-18 Games without written authorization from the Atlanta 6-19 Committee for the Olympic Games or the Atlanta Paralympic 6-20 Organizing Committee. 6-21 (b) This Code section shall automatically stand repealed 6-22 in its entirety as of September 1, 1996. 6-23 10-1-313. (Index) 6-24 (a) No provision of this article or any other provision of 6-25 law shall prohibit any person who is the purchaser of 6-26 tickets to an athletic contest or entertainment event 6-27 covered under subsection (a) of Code Section 10-1-310 from 6-28 reselling or offering for resale any of such tickets for a 6-29 price equal to or less than the price printed on the 6-30 ticket; and no such person shall be required to procure 6-31 any business license for the purpose of reselling such 6-32 tickets as provided in this Code section. 6-33 (b) No provision of this article shall limit or prohibit 6-34 the owner, operator, lessee, or tenant of the property on 6-35 which an athletic contest or entertainment event is being 6-36 held or the sponsor of such a contest or event from having 6-37 policies, rules, or regulations restricting the sale or 6-38 resale of tickets to such contest or event. H. B. No. 516 -6- (Index) HB 516/AP 7- 1 10-1-314. (Index) 7- 2 (a) Each transaction, advertisement, ticket sold, or other 7- 3 act which constitutes a violation of this article shall 7- 4 constitute a separate violation of Code Section 10-1-393. 7- 5 (b) Except as otherwise provided in subsection (e) of Code 7- 6 Section 10-1-311, any person who violates this article 7- 7 shall be guilty of a misdemeanor." SECTION 2. 7- 8 This Act shall become effective upon its approval by the 7- 9 Governor or upon its becoming law without such approval. SECTION 3. 7-10 All laws and parts of laws in conflict with this Act are 7-11 repealed. H. B. No. 516 -7- (Index)

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