IMPORTANT! NYT article about new regulation for ticket resale

[JMVR]

Posted: 3/22/07 at 5:41pm

Producers want to join on the ticket resale market. They argue that the caps on resale should be lifted and the ticket resale prices should be freely dictated by market forces. My thinking is if caps are lifted and new players (like producers) enter the resale market, you will see even less seats at face value for sale. They will simply never release decent orchestra or front mezzanine seats for sale, it will all either be directly put out there as "premium seats" or held back for resale at a considerable mark-up.

This would mean that no matter how far in advance you plan, you will NEVER find orchestra or front mezz seats at the box office.

I could be wrong, as the article is vague about the extent and nature of the changes producers are lobbying for, but I copied parts of the NYT article below:



"ALBANY, March 19 — A trade association representing Broadway theaters and producers is doing an about-face and now wants state officials to dismantle the laws that limit the resale of tickets to musicals, plays, concerts and other events.

In comments submitted to the New York State Consumer Protection Board, Gerald Schoenfeld, chairman of the League of American Theaters and Producers, said that ticket prices “would probably not skyrocket” if the limits were lifted...

Ticket brokers and others — including Gov. Eliot Spitzer — have pushed to get rid of the limits and allow market forces to set prices in the so-called secondary ticket market, so long as the brokers are obtaining tickets legally.

In the past, the producers and theater owners, along with consumer advocates, argued that allowing the brokers to set their own prices would put tickets beyond the reach of ordinary customers.

But in the statement, Mr. Schoenfeld said that the effect of the current law “has been to penalize primary ticket sellers (who are not currently allowed to resell via auction sites, etc.) while rewarding the secondary marketplace, much of which is unregulated.” That problem could be turned into a solution, he said, “by allowing authorized auction sites for ticket resale” that would provide additional consumer protections, like refunds for cancellations...

Some critics, however, questioned the motivation behind his organization’s about-face.

“They essentially want to set up their own auction sites,” said Russ Haven, the legislative counsel for the New York Public Interest Research Group, which opposes lifting the caps. He said that consumers “will see higher ticket prices, with no other benefits.”...

Richard L. Brodsky, a Westchester assemblyman who sits on the committee that regulates tourism, said that allowing prices to skyrocket could put tickets out of reach of Broadway visitors. “If you’re not on an expense account or a millionaire, it will be much harder to get tickets for hot shows,” he said."

Comments???

[Kringas]

Posted: 3/22/07 at 5:44pm

https://forum.broadwayworld.com/readmessage.cfm?boardname=bway&thread=929109#2883639