FTC Warns StubHub to Comply with New Fee Transparency Rule Ahead of NFL 2025 Schedule Release

Key Takeaways

• FTC Warning to StubHub: The FTC has warned StubHub for not fully disclosing the total price of tickets, including mandatory fees like service and fulfillment charges, in violation of the new Fees Rule.
• Fees Rule Compliance: The rule, which took effect on May 12, 2025, requires businesses to clearly display the total price of live-event tickets, including all mandatory fees, excluding only taxes, shipping, and optional charges.
• Civil Penalties for Non-Compliance: Each failure to comply with the Fees Rule could result in civil penalties of up to $53,088 per violation, adding financial pressure on StubHub to rectify any discrepancies.
• Urgency Ahead of NFL Schedule Release: With the NFL’s 2025 schedule release expected to drive high ticket sales, the FTC has urged StubHub to quickly bring its pricing practices into compliance.
• Deadline for Response: StubHub has until May 16, 2025, to engage with the FTC to discuss full compliance with the Fees Rule.

Deep Dive

As excitement builds for the National Football League’s 2025 season schedule release, the Federal Trade Commission (FTC) is putting the heat on StubHub. The nation’s largest ticket exchange and resale platform is now under the FTC's watch for allegedly misrepresenting ticket prices in violation of the agency’s new transparency rule.

The Fees Rule, which came into effect on May 12, mandates that ticket sellers clearly and prominently disclose the total price of tickets, including all mandatory fees. According to the FTC, StubHub’s listings on its website and mobile platform have failed to fully comply with these requirements, particularly in regards to additional charges like service and fulfillment fees. These omissions, the FTC argues, distort the true price consumers are expected to pay, which can undermine competition in the marketplace and lead to consumer confusion.

Chris Mufarrige, Director of the FTC’s Bureau of Consumer Protection, emphasized that businesses have had ample time to align with the new rule, stressing that compliance is critical as the high traffic from the NFL schedule announcement will increase scrutiny on ticketing platforms like StubHub.

"Companies have had sufficient time to prepare for these changes and update their advertising to ensure the total price of each product or service is appropriately disclosed," Mufarrige said. "The Commission will not allow companies to circumvent the rule to gain a competitive advantage."

The rule stipulates that any business advertising the price of a live-event ticket must include the total price, defined as the maximum total of all fees and charges a consumer must pay, excluding only taxes, shipping, and fees for optional add-ons. StubHub’s failure to include mandatory fees like fulfillment and service charges falls outside of the permissible exclusions, according to the FTC’s findings.

The warning letter issued by the FTC also reminded StubHub that each violation of the rule is treated as a separate offense, with civil penalties of up to $53,088 per violation under the FTC Act. Given the anticipated spike in ticket sales following the NFL schedule announcement, the pressure is on StubHub to correct these pricing discrepancies or face significant financial consequences.

The FTC is urging StubHub to immediately bring its pricing practices into compliance with the Fees Rule, reinforcing that failure to do so could result in further enforcement action. The company has until May 16, 2025, to engage with the FTC and discuss its compliance efforts.

As the ticketing industry prepares for a busy sales period, transparency is essential, and businesses must be upfront about the true cost of tickets to protect consumers and foster fair competition.

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