Anti-ticket Scalping Act

Sultate Office of the Secretary TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES First Regular Session 26 MAR 17 P5:53 SENATE RECEIVED BY: S. No._ 1989 (In Substitution of Senate Bill Nos. 226; 556, 1216, 1597 and 1630) Prepared and submitted jointly by the Committees on Justice and Human Rights; and Trade, Commerce and Entrepreneurship with Senators Pangilinan, Villanueva, Tulfo (E.), Tulfo (R.), and Villar (M.) as authors thereof AN ACT PROHIBITING THE SELLING AND/OR BUYING OF ADMISSION TICKETS THROUGH UNAUTHORIZED SALES CHANNELS, PROVIDING PENALTIES THEREFOR AND FOR OTHER PURPOSES Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

Section 1. Title. - This Act shall be known as the "Anti-Ticket Scalping Act."

Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to

protect the interests of consumers, promote general welfare, and establish standards 4 of conduct for business and industry. Towards this end, the State shall implement measures to protect the consumers 6 against deceptive, unfair, and unconscionable sales acts and practices.

Sec. 3. Definition of Terms.- As used in this Act, the following terms are defined

as follows: a) Admission Ticket refers to any document, voucher, token, item, barcode, quick response (QR) code, or other form of access credentials, whether in physical, printed, or digital format, that grants the holder the right to enter a venue or participate in an Entertainment Event; b) Automated Botrefers to a software, program, script, medium, or any other type of technology or means that is designed to automatically purchase

multiple tickets online, and/or bypass security measures, access control systems, Purchase Limit, or other technological control on a ticketing website, application, or service, in a manner that disrupts fair access for the general public; c) Entertainment Event refers to any event, performance, exhibition, gathering, occasion, occurrence or activity that provides amusement or recreation organized by an event organizer, which are open to the public and involves the distribution of admission tickets such as sports shows, concerts, stage performances, beauty pageants, festivals, road shows, fan meets, movie screenings or any similar undertakings; d) Event Organizer refers to natural or juridical persons who produces, coordinates, plans, manages, and executes an Entertainment Event; e) Face Value refers to the purchase price of an Admission Ticket as determined by the Event Organizer or its authorized ticketing agent, and printed on the ticket itself, but shall exclude all applicable charges and fees set by Event Organizer or its authorized ticketing agent; 1) Official Ticketing Platform refers to the: (i) online or electronic platform, • 18 website, mobile application, device, or other similar online or electronic service; or (ii) physical outlet, booth, store, or any other media or platform, that is/are designated or authorized by the Event Organizer or its authorized ticketing agent to handle the legitimate sale of Admission Tickets; g) Purchase Limit refers to the maximum number of Admission Tickets that a single consumer purchaser may legally purchase for a particular Entertainment Event, that is determined by the Event Organizer and/or its authorized ticketing agent, for specific Entertainment Events; h) Resale or Reselling refers to the act of selling or, offering for sale, advertising, listing, or otherwise conveying or transferring for consideration, any Admission Ticket that has already been purchased or acquired by another; and,

i) Unauthorized Seller refers to any person or entity selling or distributing Admission Tickets without the written authorization, designation, or consent of the Event Organizer or its authorized ticketing agent.

Sec. 4. Prohibition of Ticket Scalping. - The following acts shall constitute ticket

scalping, whether committed online or in person: a) Offering, hoarding, selling, distributing, buying, dealing in, disposing of or otherwise obtaining admission tickets for entertainment events, without the written permission from the authorized event producer, organizer and distributor, for the purpose of reselling for more than ten percent (10%) higher than the face value price of the ticket. Provided, that the ten percent (10%) increase or markup shall be subject to the periodic review and update by the implementing agencies; b) Financing, managing, or operating ticket scalping activities; and, c) Using Automated Bot, fake accounts, false identities, muitiple accounts, or other similar deceptive, misleading, fraudulent means, media, or technologies, to gain unauthorized access to ticket inventories, bypass security controls and measures, or circumvent the Purchase Limits, for the purpose of acquiring Admission Tickets.

Sec. 5. Other Offenses.- The following shall also constitute as offenses under

this Act: a) Offering or selling admission tickets for entertainment events without providing the face value price on each ticket; b) Selling admission tickets on any platform other than the authorized reselling platform; c) Willfully aiding or abetting in the commission of any of the offenses enumerated under Section 4; and, d) Willfully attempting to commit any of the offenses enumerated under Section

Sec. 6. Duties and Responsibilities of Entities Engaged in the Business of Event

Ticketing, Event Production, and Event Services.- Within ninety (90) days from the issuance of the Implementing Rules and Regulations of this Act, all entities engaged in the business of event ticketing, event production, and event services that organizes,

1 sells, distributes or resells admission tickets shall post, publish or display digital and/or 2 physical signages on their websites and on conspicuous places within their premises, 3 warning against ticket scalping. In addition, these entities are also mandated to adopt, 4 implement and enforce respective internal policy guidelines, prevention and reporting mechanisms on ticket scalping.

Sec. 7. Institution of Complaint.- The Department of Justice (DOJ), the

7 Department of Trade and Industry (DTI) through its relevant bureaus or attached 8 agencies, and the Department of Interior Local Government (DILG), including all law 9 enforcement agencies, may institute a complaint for violation of this Act before the 10 appropriate court.

Sec. 8. Penalties.-

a) The following penalties shall be imposed upon any person found guilty of any act prohibited in Section 4 hereof: 1) For the first offense, a fine of One hundred thousand pesos (Php 100,000.00) or imprisonment of six (6) months, or both, at the discretion of the court; 2) For the second offense, a fine of Two hundred fifty thousand pesos (Php 250,000.00) or imprisonment of one (1) year, or both, at the discretion of the court; and, 3) For the third and subsequent offenses, a fine of Five hundred thousand pesos (Php 500,000.00) or imprisonment of three (3) years, or both, at the discretion of the court. b) The following penalties shall be imposed upon any person found guilty of any act prohibited in Sections 5 and 6 hereof: 1) For the first offense, a fine of Fifty thousand pesos (Php 50,000.00); 2) For the second offense, a fine of One hundred thousand pesos (Php 100,000.00) or imprisonment of six (6) months, or both, at the discretion of the court; 3) For the third and subsequent offenses, a fine of Two hundred fifty thousand pesos (Php 250,000.00) or imprisonment of one (1) year, or both, at the discretion of the court; and,

4) If the offender is a corporation, the penalty may, at the discretion of the court, be imposed upon such corporation and/or upon its directors, trustees, stockholders, members, officers, or employees responsible for the violation or indispensable to its commission.

Sec. 9. Implementing Rules and Regulations.- Within ninety (90) days from the

effectivity of this Act, the DOJ, the DILG, and DTI, in coordination with other relevant agencies, shall promulgate the rules and regulations necessary for implementing the law.

Sec. 10. Separability Clause.- If any provision of this Act is declared invalid or

unconstitutional, the remainder thereof not otherwise affected by shall remain in full force and effect.

Sec. 11. Repealing Clause.- All laws, presidential decrees, executive orders,

letters of instruction, proclamations, or administrative regulations that are inconsistent with any of the provisions of this Act, are hereby repealed, amended, or modified accordingly.

Sec. 12. Effectivity. - This Act shall take effect after fifteen (15) days following

its publication in the Official Gazette or in a newspaper of general circulation. Approved,