Ontario proposing to cap ticket resale prices at original value
Ford government initially shelved price cap in 2019 after it was introduced by Liberals
The Ontario government is planning to outlaw sky-high ticket resale prices, according to a news release.
“We’re putting ticket scalpers on notice: Your days of ripping people off are done,” said Ford on social media Friday.
The province is proposing amendments to the 2017 Ticket Sales Act — introduced by the former Liberal government — that would make it illegal for live event tickets to be re-sold for more than their original cost.
The cap would apply for anyone reselling a ticket and any platform facilitating the exchange.
The move comes years after the
Ford government scrapped part of an anti-scalping law in 2019 that would have capped ticket resale prices at 50 per cent above the original face value.
“We are taking action to help ensure Ontario fans have access to fair resale prices and are not exploited by price gouging when they buy resale tickets for their favourite events,” said Stephen Crawford, minister of public and business service delivery and procurement, in the release.
The Ford government is also proposing to strengthen requirements against the sale of fake tickets and to create new policies that could stop unfair service charges.
Stan Cho, minister of tourism, culture and gaming, told CBC Toronto Friday that it's a great day for consumer protection, though he recognizes it doesn't fix the supply-demand imbalance.
"Technology has changed. Bots are buying up a whole swath of tickets and reselling it [for] outrageous prices, which makes it unattainable for those who are just trying to go to a game or see their favorite artist in concert," he said.
"If you're one of the fortunate few that get to go to the concert, you're not going to be ripped off for that experience."
Cho said a lot of consulting still needs to be done prior to the cap's implementation, especially around how to enforce the law. "The reality is it will be an illegal activity if this bill is passed ... and so, just like any other lawbreakers, we'll go after them in that appropriate manner," he said.
Ford walked back resale stance last year
The original legislation put forth by the Ontario Liberals was called “unenforceable” and just “a nice soundbite” by former government and consumer services minister Bill Walker in 2019.
But Ford walked back this stance last year amidst sky-high prices for the World Series in Toronto, and said he would review the legislation.
“They’re gouging the people,” Ford said in October. “We have one player in the market that controls the tickets, that’s not right for the people.”
Both the Liberals and NDP also urged the province to take action. The Liberals even put forward a bill last year to bring back the original resale price cap.
“If the Premier brings back the cap on resale tickets, it’ll be his best flip-flop yet,” said Ontario Liberal critic for tourism and culture Rob Cerjanec in an October media release.
Transportation Minister Prabmeet Sarkaria said at an unrelated news conference Friday that Ford has "always been on the side of consumers" and wants "fairness in the secondary market."
He said scalpers use bots and AI software to purchase large numbers of primary tickets once they're released and then sell them at "exorbitant" prices. The province's plan will "curb" that issue and people exploiting the market, said Sarkaria.
The shift in policy is welcome news, said Ontario NDP shadow attorney general Kristyn Wong-Tam in an emailed statement.
“Doug Ford has left Ontarians vulnerable to a system rife with fraud, automated bots, and predatory resellers," she said, adding the province needs to take action that "can't be circumvented by ticket resellers."
“Supporting your team or seeing your favourite artist shouldn’t be a major financial decision."
Ontario Green Party Leader Mike Schreiner said Friday that Ford did nothing about ticket prices for seven years.
"He's taken us in the opposite direction," he said. "This is the same government that said that they were taking this away — the caps on ticket resales — because it couldn't be enforced."
Schreiner said he's surprised they've reversed course.
"I think it's to distract from the failures of the Ford government to deliver on policies that make life more affordable and easy for the people of Ontario," he said. "Over the last seven years, the premier has prioritized the wealthy and well connected over everyday people and Ontario. So I'm glad he's finally seeing the light on this."