HB3145 104TH GENERAL ASSEMBLY

LRB104 11062 SPS 21144 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB3145

Introduced 2/18/2025, by Rep. Will Guzzardi

SYNOPSIS AS INTRODUCED:

New Act
815 ILCS 414/Act rep.

Creates the Ticket Sale and Resale Act of 2025. Provides that a primary seller, secondary ticket exchange, issuer, and reseller shall clearly and conspicuously disclose specified information to a consumer. Prohibits the speculative sale of tickets. Provides that an issuer, secondary ticket exchange, or reseller directly engaged in a transaction with a purchaser shall provide a full refund to the purchaser. Requires specified entities to annually register with the Secretary of State as an event ticket reseller. Sets forth requirements for surety bonds; reporting requirements; consumer compensation; audit and oversight; and revocation of registration. Provides for violations and civil penalties. Requires the Secretary of State to submit an annual report to the General Assembly. Repeals the Ticket Sale and Resale Act. Makes conforming changes. Effective January 1, 2026.

A BILL FOR

AN ACT concerning business.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Ticket Sale and Resale Act of 2025.

Section 5. Definitions. As used in this Act:

"Bot" means a machine, device, computer program, or computer software used to purchase tickets that, on its own or with human assistance, bypasses security measures or access control systems on a retail ticket purchasing platform or any other controls or measures on a retail ticket purchasing platform that assist in implementing a limit on the number of tickets that can be purchased.

"Fan club" means a membership-based program, primarily established by venues, artists, or performers, that offers pre-sale opportunities to purchase tickets before tickets are made available to the public.

"Issuer" means a person or entity that issues tickets for initial sale, including musicians, venues, promoters, theater companies, or marketplaces, or agents thereof.

"Primary seller" means a person who has the right to sell a ticket before or at the primary sale of the ticket, including the event organizer, or a person who ides services to conduct or facilitate the primary sale of tickets by or on behalf of the event organizer.

"Resale" means the second or subsequent sale of a ticket by any method, including, but not limited to in-person transactions, telephone, mail, email, facsimile, or electronic means through websites or mobile applications.

"Reseller" means a person engaged in the resale of tickets.

"Secondary ticket exchange" means an electronic marketplace enabling the sale, purchase, and resale of tickets.

"Speculative ticket" means a ticket not in the actual or constructive possession of the reseller at the time of listing, sale, or advertisement fore ticket. "Speculative ticket" includes a ticket not owned by the reseller or under contract to be transferred to the reseller at the time of sale.

"Ticket" means any form of physical, electronic, or other evidence that grants the possessor of the license to enter a place of entertainment for one or more events at a specified date and time.

Section 10. Ticket disclosure requirements.

(a) An issuer, primary seller, reseller, and secondary ticket exchange shall clearly and conspicuously disclose the following information at the time of listing a ticket for sale and before requiring payment information:

(1) the total price of the ticket, including all fees, taxes, and any additional charges other than shipping costs that vary based on delivery options;

(2) an itemized breakdown of all components of the total price, including taxes, service charges, and other fees; and

(3) the seat number or section of the ticket, where applicable, based on the venue's seating arrangement.

(b) An issuer, primary seller, reseller, and secondary ticket exchange shall clearly and conspicuously disclose the total price of a ticket, including all fees, taxes, and shipping costs, before the final purchase. The shipping costs assessed to a consumer may vary by location and delivery method.

Section 15. Prohibition on speculative ticket sales. A reseller shall not list, sell, or offer to sell a speculative ticket.

Section 20. Pre-sale restrictions.

(a) An issuer, reseller, or secondary ticket exchange, or an affiliate thereof, shall not resell a ticket before it has been made available to the public through the ticket's initial sale, including through a pre-sale advertised to the public, such as a fan club pre-sale or other promotional pre-sale advertised to the public, unless it is authorized by the promoter, venue, or artist.

(b) A reseller or secondary ticket exchange, or an affiliate thereof, shall not participate in a fan club pre-sale or purchase a ticket sold through a fan club program.

Section 25. Preserving artist's ability to deter price gouging.

(a) The operator of a theatrical exhibition, public show, or public amusement or exhibition, or an agent thereof, shall not restrict the transferability of a ticket sold unless the terms and conditions of the restrictions on transferability are clearly and conspicuously provided to the consumer before purchase and the consumer acknowledges receipt of the disclosure before purchase.

(b) A ticket of admission to a theatrical exhibition, public show, or public amusement or exhibition shall be considered a license. A venue operator, or an agent of a venue operator, may maintain and enforce policies and conditions or requirements for ticket purchases with respect to conduct, behavior, public health and safety, and age at the venue or event and may establish limits on the number of tickets that may be purchased.

Section 30. Refund requirements.

(a) An issuer, reseller, or secondary ticket exchange directly engaged in a transaction with a purchaser shall provide a full refund, including all fees and taxes if: (1) the ticket is counterfeit; (2) the event is canceled; or (3) the ticket does not conform to the description provided at the time of purchase.

(b) An issuer, reseller, or secondary ticket exchange, shall issue a refund no later than 10 days after an event is cancelled or a ticket is discovered to be counterfeit or not conform to the description provided at the time of purchase.

Section 35. Ban on deceptive representation. It is unlawful for a reseller, secondary ticketing exchange, or the operator of any website purporting to sell or offer for sale tickets that links or redirects to a reseller or secondary ticketing exchange to:

(1) use a name, graphic, logo, image, or other intellectual property of an artist, venue, or event organizer, including any proprietary resemblance of the venue where an event shall occur, in promotional materials, social media promotions, or URLs without the authorization of the artist, venue, or event organizer; or

(2) state or imply that the reseller, secondary ticketing exchange, or website is affiliated with or endorsed by a venue, team, or artist, including by using words like "official" in promotional materials, social media promotions, search engine optimization or monetization, paid advertising, or URLs, unless the reseller, secondary ticketing exchange, or operator of the website has the express written consent of the venue, team, or artist.

Section 40. Online ticket sales conduct.

(a) A person shall not use or create a bot, or employ any other method to:

(1) purchase tickets for any online ticket sale;

(2) use multiple Internet protocol addresses, purchaser accounts, or email addresses to purchase tickets in excess of 8 tickets, or the posted limit if less than 8 tickets, for any single online ticket sale;

(3) circumvent or disable an electronic queue, waiting period, pre-sale code, or other sales volume limitation system associated with an online ticket sale; or

(4) circumvent or disable a security measure, access control system, or any other control or measure used to facilitate authorized entry to an event.

(b) A primary ticketing platform shall report any known violation described in subsection (a) to the Secretary of State no later than 48 hours after discovery of the violation. The report shall include: (1) a description of the violation; (2) any available information about the individuals or entities involved in the violation; and (3) any measures taken or planned to be taken to prevent further violations.

(c) A primary ticketing platform shall retain all relevant records of the violation for a period of one year and make them available to the Secretary of State upon request.

Section 45. Price cap on secondary ticket exchanges.

(a) The total price at which a reseller may sell or offer to sell a ticket may not exceed the total price of the initial ticket, including all fees and taxes in connection with the initial ticket.

(b) If initial tickets were purchased for a series of events, including season tickets for a sports team, the total resale price of a ticket for a single event may not exceed the total price of a comparable ticket, including all fees and taxes.

(c) The fee that a secondary ticket exchange may charge for the service of providing a marketplace for the resale of a ticket may not exceed 10% of the total price of the initial ticket.

Section 50. Event ticket reseller registration.

(a) Any individual or entity operating in this State that resells 100 or more tickets in a calendar year at a price that is higher than the original price of the ticket shall annually register with the Secretary of State as an event ticket reseller before conducting any ticket resale activity. For the purpose of this subsection, the resale of tickets as part of a season ticket package for a sports team, where the buyer purchases tickets for half or more of all home games, shall not count toward the ticket threshold.

(b) A registered event ticket reseller shall submit to the Secretary of State an application for registration, on a from provided by the Secretary of State, that includes the following information:

(1) the full legal name of the event ticket reseller and any alias or username used for ticket resale;

(2) the contact information of the event ticket reseller, including a street address, email address, and phone number;

(3) an employer identification number, if applicable, and the contact details of any employer of the event ticket reseller;

(4) all associated entities or subsidiaries of the event ticket reseller involved in ticket resale; and

(5) any other information required by the Secretary of State.

(c) In addition to the application required under subsection (b), the Secretary of State may require a registration fee, at a rate determined by the Secretary of State, to cover the costs of compliance and enforcement of this Act.

(d) No later than one year after initial registration under this Section, and every 2 years thereafter, a registered event ticket reseller shall submit a report to the Secretary of State that includes: (1) the total number of tickets sold; (2) the original purchase price of each ticket; and (3) the final resale price of each ticket. The Secretary of State shall treat all reports submitted under this Section as confidential and shall only use the reports for compliance and enforcement purposes.

(e) Any entities or individuals under common ownership or control shall be considered a single event ticket reseller for the purposes of this Section.

Section 55. Surety bonds.

(a) A registered event ticket reseller shall maintain a surety bond of no less than $10,000 to ensure compensation to consumers in cases where the registered event ticket reseller fails to deliver purchased tickets or engages in fraudulent activities.

(b) The bond shall cover compensation for lost funds, including travel expenses incurred by the consumer if the registered event ticket reseller fails to deliver the purchased tickets.

(c) The Secretary of State shall periodically review and adjust the bond amount based on a registered event ticket reseller's sales volume and consumer complaint history. The Secretary of State may adopt rules to increase the bond amount required under this subsection based on the sales volume and consumer complaint history of registered event ticket resellers.

(d) A registered event ticket reseller shall submit proof of compliance with this Section to any secondary ticket exchange before listing tickets for resale on that platform.

Section 60. Reporting requirements.

(a) A secondary ticket exchange shall maintain records of all registered event ticket resellers using the platform and verify that each reseller meets the registration and bonding requirements set forth in this Act.

(b) A secondary exchange shall report any unregistered or noncompliant resellers to the Secretary of State.

(c) A secondary exchange shall maintain records of ticket sales, including the number of tickets sold and resale prices, and shall submit a biannual report that includes this information to the Secretary of State.

Section 65. Consumer compensation.

(a) If a registered event ticket reseller fails to deliver tickets, the affected consumer shall be entitled to compensation from the registered event ticket reseller's surety bond. The compensation may include reasonable travel expenses, including, but not limited to, airfare, hotel accommodations, and meals.

(b) A secondary ticket exchange that facilities a sale that is subject to compensation under subsection (a) shall coordinate with the registered event ticket reseller to ensure the release of funds from the bond no later than 60 days after the date of the event.

Section 70. Audit and oversight.

(a) The Secretary of State shall conduct periodic audits of registered event ticket resellers and secondary ticket exchanges to ensure compliance with this Act.

(b) An registered event ticket reseller and a secondary ticket exchange shall cooperate fully with an audit conducted by the Secretary of State shall provide any documentation requested by the Secretary of State for the purpose of conducting the audit.

Section 75. Public access to registered resellers.

(a) The Secretary of State shall maintain a list of registered event ticket resellers. The Secretary of State shall make the list available to the public on the Secretary of State's website.

(b) The Secretary of State shall update the list described in subsection (a) at least once every 30 days and shall include information any violations of this Act by a registered event ticket reseller that occurred within the previous 5 years.

Section 80. Revocation of registration. The Secretary of State may revoke the registration of any registered event ticket reseller found to be in violation of this Act for a period of at least one year and not more than 5 years after conviction of a violation.

Section 85. Reporting mechanism for violations.

(a) No later than 180 days after the effective date of this Act, the Secretary of State shall establish a publicly available website to allow individuals to report violations of this Act.

(b) The Secretary of State may coordinate and share information on reported violations with law enforcement agencies or the Secretary of State's office as needed for enforcement of this Act.

Section 90. Penalties and enforcement.

(a) Any person who violates this Act shall be subject to a civil penalty as follows:

(1) a base penalty of at least $15,000 for each day the violation occurs or continues to occur; and

(2) an additional penalty equal to the greater of:

(A) $1,000 for every ticket listed, advertised, sold, or resold in violation of this Act; or

(B) an amount equal to 5 times the total ticket price of each ticket listed, advertised, sold, or resold in violation of this Act.

(c) In addition to any civil penalty assessed under subsection (a), any person who intentionally violates this Act shall be subject to a civil penalty of at least $10,000 for every ticket sold or resold in violation of this Act.

Section 95. Annual report.

(a) No later than January 1, 2027, and every year thereafter, the Secretary of State shall submit a report to the General Assembly, including, but not limited to enforcement actions, penalty collections, and the overall effectiveness of this Act.

(b) The Secretary of State shall make the most recent report submitted to the General Assembly available to the public on the Secretary of State's website.

(815 ILCS 414/Act rep.)

Section 900. The Ticket Sale and Resale Act is repealed.

Section 999. Effective date. This Act takes effect January 1, 2026.