By Lucy Caulkett
The Competition and Markets Authority (CMA) has threatened Stub Hub with court action unless it addresses some of the misleading information provided about some tickets for sale via StubHub’s UK website.
The CMA has expressed serious concerns that the firm is not complying with commitments it has made to clean up its site following a CMA consumer law investigation. New issues have also been identified, which the CMA has told StubHub to resolve.
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The ticket sale company is accused of adequately failing to warn people that tickets may not get them into an event. It also used misleading messages about ticket availability targeting UK consumers with tickets for events listed on overseas versions of their websites, which may not comply with UK law
StubHub has already told the CMA that it will make changes to its website and the CMA now expects these updates to be made swiftly. If the changes do not go far enough to address its concerns, the CMA will consider taking action through the courts.
Andrea Coscelli, Chief Executive of the CMA, said:
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”StubHub had previously committed to make important changes to the information on its site, so anyone buying a ticket would know what they were getting before parting with their money. It’s therefore unacceptable that we have now found these concerns.
We have demanded swift action to resolve these problems and are pleased that StubHub has said it will make changes in response. We will closely monitor the firm’s efforts and, if it does not quickly implement changes that satisfy us, we will take further action – potentially through the courts.
As we continue to examine these consumer cases, it is now imperative that the CMA is given stronger powers to rule on whether a company has broken the law and impose fines if needed. We will continue to work with the Government on the most effective way to achieve this.
The CMA said it will continue to monitor resale site viagogo. As part of this, it has published an update from the latest independent review of the firm’s compliance with a court order secured to overhaul the way the site does business. This review, carried out by Deloitte, did not find concerns about the site’s compliance with the court order.
Regular monitoring of viagogo will continue, including of any new evidence or complaints, should any be received. The CMA will act if it finds evidence that the site might not be complying with consumer protection law. A separate investigation is ongoing into viagogo’s anticipated purchase of StubHub. All the latest from that CMA investigation can be found on the dedicated webpage.
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