Crackdowns on Bots, Ticket Holdbacks Headline New York Ticketing Bill

A proposed state Senate bill aimed at preserving and strengthening New York’s expiring ticket regulations could reshape how fans buy and resell tickets to concerts and sporting events. Senate Bill S276, introduced by Sens. James Skoufis, Liz Krueger and Rachel May—all Democrats—would extend existing Arts and Cultural Affairs laws while adding new measures targeting high-tech ticket-buying “bots,” transparency in ticket allocations, and greater freedoms for season ticket holders.

It begins the process referred to the Senate Investigations and Government Operations Committee.

Senator Skoufis has been a key player in the ticketing legislative environment in New York for several years now. This bill is similar to one he introduced in 2021 when the ticketing laws were set to expire, though it saw significant changes before being passed and signed into law by Gov. Kathy Hochul in 2022. He has regularly been critical of the existing ticketing landscape for consumers, and hopes that the renewed effort for reform in New York will serve as a model for other states to follow.

“New York is the entertainment capital of the world, and ensuring fans have ready, affordable, and fair access to tickets remains a priority of mine,” says Sen. Skoufis of the bill. “The ticketing industry is worth billions of dollars, and as chair of the Investigations Committee, I remain committed to holding feet to the fire and fighting to protect New Yorkers from predatory practices by bad actors in the industry.”

Under current law, many consumer protections regarding ticket sales and resales are poised to expire unless lawmakers pass this or a similar bill. The proposed legislation contains nine distinct sections—Parts A through I—that address issues ranging from anti-bot enforcement to banning exclusivity clauses in contracts between event venues and primary ticket sellers.

What’s In New York’s S276?

Bot Crackdowns and Licensing Fees

One of the bill’s most prominent provisions, Part A, focuses on permanently revoking licenses for any reseller or broker who knowingly uses software “bots” to bypass online purchase limits. The legislation also includes harsh fines and whistleblower incentives for reporting such violations to the Attorney General’s office. In tandem, Part B introduces new annual fees for “professional resellers,” defined as those who sell more than 30 tickets per year. Depending on volume, resellers could face annual renewal fees up to $4,000, and all must display their New York license numbers online.

Refining Consumer Protections

Part C expands consumers’ refund rights by requiring full refunds or credits—fees included—if events are canceled, postponed multiple times, or rescheduled too far into the future. Resale platforms also must honor any refunds or credits offered by primary ticket sellers. Meanwhile, Part D bans speculative listings before tickets go on sale to the public, ensuring resellers actually possess or have a contract to obtain tickets they advertise.

Fee Limits and Transparency

In Part E, the bill caps service charges at 15% of a ticket’s face value, prohibiting “bait and switch” price increases during checkout. It also bars minimum resale price requirements, allowing fans to sell their tickets below face value if they wish. Part F obliges primary sellers to disclose the number of tickets available to the public at least seven days prior to the sale date, while restricting withholding more than 10% of tickets from public sale.

Sen. Skoufis has been a vocal critic of the practice of holding back tickets, which is commonplace in ticketing, designed to convince consumers that shows are sold out or nearly so to stimulate panic purchase at dynamically “surged” ticket prices during moments of peak demand.

From a Spin article:

Skoufis is particularly rankled by holdbacks, which he says constitute “enormous volumes of tickets held back and distributed to platinum credit card members, VIPs and friends and family of the artist. There are instances where in a 50,000-seat venue, there could be 20,000 seats held back. I guarantee you, if it needed to be disclosed how many seats were not being offered to fans of that artist at on-sale, you’d see nowhere near the volume happening right now with no disclosure. The last thing Justin Bieber wants is for all his rabid fans to see that 40% of the tickets are not going on sale to them. When that show sells out in 45 seconds and fans are disappointed because the tickets weren’t offered up, they’d be furious.”

This bill’s language would make dramatically limit such practices, likely creating a dramatic change in how quickly tickets “sell out” when they go on sale initially.

No-Exclusivity Clauses and Season Ticket Rights

Among the other noteworthy provisions, Part H bans exclusive contracts between venues and primary ticket vendors. If enacted, venues would be free to work with multiple platforms and avoid contractual penalties for doing so. Part I further protects the rights of season and subscription ticket holders to resell their tickets, shielding them from upcharges or lost privileges if they choose to list seats on secondary marketplaces.

Dana Mclean, executive director of the Coalition for Ticket Fairness, said her organization backs the proposed reforms.

“The Coalition for Ticket Fairness proudly supports working alongside Senator Skoufis and the New York State Legislature to advance common-sense legislation that protects fans and promotes fairness in the ticketing marketplace,” Mclean said. “Senator Skoufis’ proposed bill (S276) introduces critical reforms, including stricter penalties for bot usage, limits on exclusive contracts that stifle competition, and increased transparency for consumers.”

Mclean said one major priority is preserving fans’ “right to ticket transferability,” which allows them to gift, transfer or sell tickets after purchase. She noted that if venues can raise or lower ticket prices based on demand, fans should have the same autonomy in deciding how, and at what price, to resell their tickets. She also praised new safeguards for season ticket holders, pointing to the importance of protecting fans who commit to multiple events or an entire sports season.

Next Steps

S276 has been pre-filed for the upcoming legislative session and awaits further review by the Senate Investigations and Government Operations Committee. With industry stakeholders, consumer groups and lawmakers scrutinizing the ticketing marketplace, the bill could serve as a blueprint for ticket reforms nationwide, should it pass and replace the laws set to expire this year.

For now, the clock is ticking on New York’s existing regulations. If S276 or a similar measure fails, fans could lose the protections those laws currently provide. Observers say that prospect, combined with heightened scrutiny of the ticket industry’s practices, might expedite negotiations and spur legislative action in the coming weeks.