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This is a Bill, not an Act. For current law, see the Acts databases.


FAIR TRADING (TICKET SCALPING) AMENDMENT BILL 2017

South Australia

Fair Trading (Ticket Scalping) Amendment Bill 2017

A BILL FOR

An Act to amend the Fair Trading Act 1987


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Contents

Part 1—Preliminary


1Short title


2Commencement


3Amendment provisions


Part 2—Amendment of Fair Trading Act 1987


4Insertion of Part 4A


Part 4A—Regulation of event ticket transactions


Division 1—Preliminary


37AInterpretation


37BTickets to which Part applies


37CEvent organisers


Division 2—Resale of tickets


37DInterpretation


37EOriginal supply cost and original acquisition cost—meaning


37FProhibited advertisement—meaning


37GProhibition on ticket resale profit


37HSupply of tickets not to be made contingent on other purchases


37ITicket resale advertising


37JCertain resale restrictions void


Division 3—Online purchase of tickets


37KProhibited conduct in relation to use of ticketing websites


Division 4—Public disclosure of ticketing information


37LMinister may require notification of number of tickets available for general public sale


5Transitional provision



The Parliament of South Australia enacts as follows:

Part 1—Preliminary

1—Short title

This Act may be cited as the Fair Trading (Ticket Scalping) Amendment Act 2017.

2—Commencement

This Act comes into operation 3 months after it is assented to by the Governor.

3—Amendment provisions

In this Act, a provision under a heading referring to the amendment of a specified Act amends the Act so specified.

Part 2—Amendment of Fair Trading Act 1987

4—Insertion of Part 4A

After section 37 insert:

Part 4A—Regulation of event ticket transactions

Division 1—Preliminary

37A—Interpretation

In this Part—

authorised seller, in relation to an event or a ticket for an event, means—

(a) if the event organiser has authorised a person to supply the ticket on behalf of the event organiser, or to resupply the ticket after acquiring it from the authorised seller—that person; or

(b) in any other case—any event organiser for the event;

event organiser—see section 37C;

resale restriction—see section 37B.

37B—Tickets to which Part applies

(1) This Part applies to tickets to sporting or entertainment events in this State that are subject to a resale restriction.

(2) A resale restriction is a term or condition of a ticket that limits the circumstances in which the ticket may be resold or prohibits resale of the ticket.

(3) A term or condition that limits the circumstances in which a ticket may be resold or prohibits resale of the ticket includes a term or condition that provides for the ticket to be cancelled or rendered invalid if the ticket is resold, or if the ticket is resold in certain circumstances.

37C—Event organisers

(1) The event organiser, in relation to an event, is the person who authorises the first supply of tickets for the event, whether or not that person is also the performer, the promoter of the event or the operator of the event venue.

(2) The regulations may declare any other person (or class of persons) to be the event organiser in relation to the event or in relation to any class of events to which the event belongs.

Division 2—Resale of tickets

37D—Interpretation

In this Division—

first purchaser, in relation to a ticket, means the person to whom the ticket is first supplied by an authorised seller;

original acquisition cost—see section 37E;

original supply cost—see section 37E;

prohibited advertisement—see section 37F;

sell includes offer or advertise to sell;

supply includes offer to supply and advertise for supply;

ticket resale advertisement means an advertisement for the sale of a ticket by any person other than the authorised seller;

transaction cost—see section 37E.

37E—Original supply cost and original acquisition cost—meaning

(1) The original acquisition cost of a ticket is the original supply cost of the ticket, plus the transaction cost.

(2) The original supply cost of a ticket is the amount for which the ticket was sold to the first purchaser by an authorised seller.

(3) The transaction cost is the cost (not exceeding 10% of the original supply cost) of any commission, booking fee, payment surcharge or ticket delivery fee incurred by the first purchaser of the ticket in connection with the purchase of the ticket.

(4) If no amount was paid by the first purchaser of the ticket in consideration for the acquisition of the ticket, the original supply cost and the original acquisition cost are each $0.

37F—Prohibited advertisement—meaning

(1) A prohibited advertisement is a ticket resale advertisement that does not comply with this section.

(2) A ticket resale advertisement must not specify an amount for the sale of the ticket that is more than 110% of the original supply cost of the ticket.

(3) A ticket resale advertisement must specify the following particulars:

(a) the original supply cost of the ticket;

(b) details of the location from which the ticket holder is authorised to view the event (including, for example, any bay number, row number and seat number for the ticket).

37G—Prohibition on ticket resale profit

(1) The first purchaser of a ticket must not sell the ticket to any other person for an amount that exceeds the original acquisition cost of the ticket.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

(2) A person (other than the first purchaser) must not sell a ticket to any other person for an amount that the person knows, or ought reasonably to know, exceeds the original acquisition cost of the ticket.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

37H—Supply of tickets not to be made contingent on other purchases

(1) A person (the supplier) must not supply a ticket to any other person (the recipient) under an agreement that makes the liability of the supplier to supply the ticket to the recipient contingent on payment by the recipient to the supplier of any amount in consideration for the provision to the recipient of any other goods or services.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

(2) This section does not apply to the supply of a ticket under an agreement authorised by the event organiser or under any other agreement of a kind prescribed by the regulations.

37I—Ticket resale advertising

(1) The owner of an advertising publication must ensure that no prohibited advertisement is published in the publication.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

(2) It is a defence to a prosecution for an offence of failing to ensure that no prohibited advertisement is published in an advertising publication if the defendant establishes that—

(a) the agreement between the defendant and the person placing the ticket resale advertisement was subject to terms or conditions prohibiting the publication of prohibited advertisements; and

(b) the defendant, as soon as practicable after becoming aware that the prohibited advertisement had been published in the publication, took reasonable steps to ensure that the advertisement was removed from the publication; and

(c) the defendant took such other steps as were reasonable in the circumstances to ensure that no prohibited advertisement was published in the publication.

(3) The regulations may exclude an advertisement or publication of a kind described by the regulations from the application of this section.

(4) In this section—

advertisement means any advertisement, whether paid or not;

advertising publication means any website, newspaper, magazine or other publication containing advertisements to which members of the public have access (whether or not a member of the public is first required to pay a fee or subscription, register or become a member);

owner, of an advertising publication, includes any person who conducts the business or undertaking of the advertising publication (but does not include any person of a class prescribed by the regulations).

37J—Certain resale restrictions void

A resale restriction is void to the extent that it provides for the ticket to be cancelled or rendered invalid if the ticket is resold for an amount not exceeding 110% of the original supply cost of the ticket.

Division 3—Online purchase of tickets

37K—Prohibited conduct in relation to use of ticketing websites

(1) A person must not engage in any prohibited conduct in relation to the use of a ticketing website.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

(2) A person engages in prohibited conduct in relation to the use of a ticketing website if the person uses any software to enable or assist the person to circumvent the security measures of the website and to purchase tickets in contravention of the terms of use of the website that are published on the website.

(3) The security measures of a website include any measures of a kind prescribed by the regulations.

Division 4—Public disclosure of ticketing information

37L—Minister may require notification of number of tickets available for general public sale

(1) The Minister may, by notice in the Gazette, declare that a specified event organiser (or a specified class of event organisers) is required to give public notice of the total number of tickets for the event that are to be made available by authorised sellers for general public sale.

(2) The public notice must be given within the time and in the manner specified in the declaration.

(3) The total number of tickets specified in a public notice required under this section must be a number that the event organiser believes, on reasonable grounds, is not more than 10% greater or less than the total number of tickets that are to be made available for general public sale before the day on which the event is held (including any number of tickets made available before the public notice is given).

(4) A ticket is not made available by an authorised seller for general public sale if the authorised seller requires a person to do either of the following in order to acquire the ticket:

(a) pay a fee (in addition to the price of the ticket and any transaction cost such as a commission, booking fee, payment surcharge or ticket delivery fee);

(b) register for access to any pre-sale, publication, competition or other special offer.

(5) The regulations may make further provision for the circumstances in which a ticket is, or is not, made available for general public sale for the purposes of this section.

(6) The Minister may not make a declaration under this section unless—

(a) the Minister is satisfied that each event organiser for an event to which the proposed order applies has been notified (whether by public notice or otherwise) of the Minister’s intent to make the declaration; and

(b) the event organiser has been given a reasonable opportunity to make submissions in relation to the proposed declaration; and

(c) the Minister has considered any such submission; and

(d) the Minister is satisfied that it is in the public interest to make the declaration.

(7) An event organiser must not fail to comply with a requirement made in a declaration under this section.

Maximum penalty:

(a) in the case of a body corporate—$100 000;

(b) in the case of a natural person—$20 000.

(8) The Minister may, by further notice in the Gazette, vary or revoke a declaration made under this section.

5—Transitional provision

(1) Sections 37G to 37J (inclusive) of the principal Act do not apply to a ticket sold or otherwise supplied to a first purchaser by an authorised seller before the commencement of this clause.

(2) In this clause—

principal Act means the Fair Trading Act 1987


as amended by the Fair Trading (Ticket Scalping) Amendment Act 2017


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