Ticketmaster (TM) is facing a lawsuit after alleging underpaying brokers using its resale sites.
The Live Nation Entertainment-owned company is accused of failing to account for the exchange rate fluctuation between US and Canadian dollars, when paying so-called brokers for tickets sold through its secondary sites for events in Canada.
In a lawsuit filed in San Diego, broker Eric Fuller claims that between June 2015 and March 2016 TM switched to paying in Canadian dollars, having previously agreed to pay in US currency. During this period the exchange rate was around $0.65 to C$1 – a difference of 35 per cent.
Fuller says that when he brought the error to TM’s attention the company offered to pay him what he was owned, but did not plan to inform others. He refused the offer and filed the lawsuit to bring the issue to light.
“Ticketmaster needs to do the respectable thing,” says Fuller in an interview with TicketNews. “Instead, they use us as the bogeyman to sell their verified fan program to artists and their new presence system to Wall Street.
TM declined to comment on the lawsuit.