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29 January 2025

Ticketmaster Settles Class-Action Lawsuit Over Fees

One million Canadians eligible for credits following deceptive pricing accusations

Ticketmaster, the online ticketing giant, recently settled a class-action lawsuit, leading to significant financial recompense for approximately one million Canadians who purchased tickets during 2018. The $6-million settlement, finalized on January 15, 2025, at Regina's Court of King's Bench, stems from accusations of deceptive pricing practices against the company.

The lawsuit was spearheaded by Crystal Watch, who alleged Ticketmaster engaged in unfair "drip pricing." This practice, which involved adding unexpected fees to ticket prices, violated The Consumer Protection and Business Practices Act. Despite never admitting wrongdoing, Ticketmaster agreed to settle the matter without going to trial.

Justice Graeme Mitchell oversaw the case and concluded the decision by acknowledging the settlement's significance, stating, "While this case does not involve a mega-settlement, it has proved to be a legitimate consumer protection lawsuit which could only have been viably prosecuted as a class action." The judge's words underscored the importance of such cases for ensuring fairness and transparency within consumer transactions.

Eligible customers who bought tickets for Canadian events between January 1 and June 30, 2018, stand to receive up to $45, as they will be credited for future ticket purchases via their Ticketmaster accounts. The credit is transferable but can only be used once. Importantly, customers based in Quebec and current Ticketmaster employees are excluded from this compensation.

Regina lawyer Tony Merchant, representing the plaintiffs, provided insight on the potential scope of affected consumers, stating, "I believe up to 100,000 people in Saskatchewan and about a million people across Canada could be eligible for a credit." This broad eligibility highlights the widespread impact of Ticketmaster's practices during the specified timeframe.

Upon settling, Ticketmaster will allocate $4.3 million of the settlement funds for credits to eligible users, after legal fees of $1,725,000 are deducted. Merchant emphasized the importance of holding large corporations accountable, asserting the consumer protection focus central to the lawsuit.

Merchants' firm has assured consumers they will soon receive emails with instructions on claiming their credits. Should any eligible users not receive this notification, they are encouraged to reach out to the law firm directly for assistance.

The case reflects broader discussions about ticket pricing transparency, particularly within the concert and event sectors where service charges often complicate the purchasing process. It presents significant lessons about consumer rights and the necessity for fair pricing structures.

This resolution not only compensates those affected but also serves as a reminder of the importance of fair business practices, especially by companies as influential as Ticketmaster. Class-action lawsuits like this highlight the collaborative power of consumers who come together to challenge unfair business practices, ensuring companies remain accountable.

For many Canadians, this settlement might feel like a small win amid larger conversations about pricing and service fees associated with ticket purchases. Nonetheless, it exemplifies how legal mechanisms can offer some degree of protection and recompense for consumers wronged by misleading pricing tactics.

Overall, the settlement reveals consumers' increasing resolve to stand up for their rights, and it reinforces the imperative for corporate transparency and honesty. It is also indicative of the legal system's role as an arbiter of fair practices within the marketplace, enhancing consumer trust.