StubHub Canada will pay a CA$1.3 million (US$980,907) penalty as part of an agreement with the Canadian Competition Bureau to correct what the Bureau concluded are misleading pricing claims in the online sale of tickets to entertainment and sporting events.
A Bureau investigation determined that StubHub advertised tickets at unattainable prices on its websites, mobile apps and in promotional emails to Canadians. The Bureau found that consumers could not buy tickets at advertised prices because StubHub charged consumers mandatory fees in addition to the prices advertised.
Unless consumers clicked or tapped to turn on optional filters to see prices inclusive of fees, those fees were only revealed at later stages of the purchasing process. The Bureau concluded that providing these optional filters and disclosing fees later in the process did not prevent the initial prices from being misleading. Moreover, the Bureau found that, in some cases, consumers who filtered results to see inclusive pricing were still asked to pay more than the prices shown as inclusive of fees.
As part of an agreement registered with the Competition Tribunal, StubHub will ensure that prices for tickets to events in Canada will now include all mandatory fees throughout the ticket purchasing process. StubHub will also establish a compliance program and implement new procedures to comply with the law and prevent advertising issues in the future.
Full Content: Canada
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