WASHINGTON - President Donald Trump is set to sign an executive order aimed at curbing ticket scalping practices and introducing what he describes as "commonsense" reforms to the pricing of live entertainment events.
The executive order targets what it calls "price-gouging by middlemen." According to a White House fact sheet, it instructs Attorney General Pam Bondi and Treasury Secretary Scott Bessent to ensure that ticket scalpers selling tickets above face value adhere to all Internal Revenue Service regulations.
Additionally, the order mandates the Federal Trade Commission (FTC) to guarantee "price transparency at all stages of the ticket-purchase process." The FTC is also directed to "take enforcement action to prevent unfair, deceptive, and anti-competitive conduct in the secondary ticketing market," with the aim of restoring order to the ticket market, according to the Trump administration.
The White House fact sheet emphasizes the economic significance of the live concert and entertainment industry in America, noting its $132.6 billion nationwide impact and support for 913,000 jobs. However, it argues that the industry has been negatively affected by "unscrupulous middle-men" who impose substantial fees on fans without benefiting the artists.
This initiative presents a noteworthy alignment with policies pursued by the previous administration under Democratic President Joe Biden. The Biden administration also employed the FTC to combat "junk fees" – charges added late in the purchasing process that obscure the true cost of items like concert tickets, hotel rooms, and utility bills.
During his term, Biden's Justice Department initiated a lawsuit against Ticketmaster and its parent company, Live Nation Entertainment, alleging an illegal monopoly over live events. The lawsuit sought to dismantle the system that stifles competition and inflates prices for consumers.
These companies have encountered friction with prominent artists, including Bruce Springsteen and Taylor Swift, whose 2022 summer tour faced significant ticketing challenges. Country artist Zach Bryan released a 2022 album titled "All My Homies Hate Ticketmaster," though his representative declined to comment on the executive action.
While the Biden administration leveraged similar measures to shield consumers from escalating prices, Trump's focus includes addressing high ticket costs, which he has labeled "very unfortunate."
The White House fact sheet asserts that "ticket scalpers use bots and other unfair means to acquire large quantities of face-value tickets, then re-sell them at an enormous markup on the secondary market, price-gouging consumers and depriving fans of the opportunity to see their favorite artists without incurring extraordinary expenses." It further noted instances where fans have reportedly paid up to 70 times the face value for a ticket.
Moreover, the fact sheet clarified that these increased prices do not translate into increased earnings for artists; instead, the extra money goes "solely to the scalper and the ticketing agency."
Trump's executive order also requires federal officials and the FTC to submit a report within six months. This report will summarize actions undertaken to tackle unfair practices within the live concert and entertainment sector, as well as propose additional regulations or legislation to better protect consumers in the industry.