TicketIQ chief executive Jesse Lawrence has questioned the effectiveness of tough new laws introduced by New York state to deter those who use bots to scalp tickets.
Speaking to TickTechNews, Lawrence explained that many of those who use the software are not based in the state, and said other measures may have been more effective in bringing order to a ticketing sector that has been criticised for failing to control soaring resale prices.
Following a bill signed on Monday by Governor Andrew Cuomo, those found guilty of using the software to profit from scalping now face a one-year prison sentence or fine of up to $1,500 (£1,200/€1,400) for each offence.
A person who either obtains the tickets with bots, or has a financial interest in such an operation, faces misdemeanour-level criminal sanctions unless the software was used to obtain tickets “for their own use, or the use of their invitees, employees or agents”.
But while Cuomo and Attorney General Eric Schneiderman both said the new rules would bring “fairness” to the ticket-buying process, Lawrence – whose company is based in New York City – is not convinced.
“The majority of bots are offshore so it remains to be seen whether this law can actually impact the issue at hand,” he said.
“An easier law to enforce would be requiring all promoters and venues to disclose the number of tickets that actually go on sale to consumers, as opposed to fan clubs and VIPs. That way, fans could know if trying to buy from the primary market was worth their time.”
Lawrence added the new laws will not affect TicketIQ’s operations, and the company does not plan to revise its rules or advice for those who buy or sell through its exchange.
Despite Lawrence’s reservations, Schneiderman – who co-sponsored the bill – said he believes the new penalties will make it easier for the public to access affordable tickets.
"In recent years, it has become almost impossible to find affordable tickets – or even any tickets at all – for all popular shows," said Schneiderman. "Brokers armed with illegal, high-speed ticket-buying bots have kept too many New Yorkers from attending the shows, sporting events, and cultural experiences that make New York so special.
“I was honoured to work with Governor Cuomo, Lin-Manuel Miranda, Assemblyman Crespo, and Senator Lanza and to pass this new law which will go a long way to finally bringing sanity–and fairness–to the ticket buying process."
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