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StubHub Sued By Washington D.C. Attorney General Over Alleged Deceptive Pricing

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StubHub Sued By Washington D.C. Attorney General Over Alleged Deceptive Pricing


Topline

The Washington, D.C., attorney general’s office sued second-hand ticketing platform StubHub on Wednesday, alleging the company participates in deceptive pricing and hides mandatory fees from consumers—marking the latest in a wave of antitrust crackdowns under the Biden Administration.

Key Facts

Attorney General Brian L. Schwalb filed the suit Wednesday, alleging StubHub’s practices “interfere with consumers’ ability to compare prices” and make informed decisions about where to buy tickets, according to a media release.

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The suit takes issue with StubHub’s practice of “drip pricing,” which is when a company advertises an artificially low price to get buyers interested, “prompts them through a series of needless steps while a countdown clock creates a false sense of urgency” then increases the price due to fees tacked on at the end.

Schwalb’s office said StubHub used a pricing model that showed accurate prices from 2014 to 2015, but changed to “drip pricing” after finding people were more likely to buy tickets if fees were hidden until the end.

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The attorney general alleged two violations of the consumer protection procedures act, one violation for unfair acts or practices and one for deceptive acts or practices, and seeks an injunction requiring StubHub to remedy its violations, statutory civil penalties and damages and restitution, according to a copy of the suit shared with Forbes.

Forbes has reached out to StubHub for comment on the suit.

Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you’ll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.

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Surprising Fact

The D.C. attorney general argued in its media release that Washington is “particularly impacted by StubHub’s illegal conduct” as its residents and visitors spend more per capita on live entertainment than in many other cities, including Boston, Chicago, Los Angeles and New York City.

Big Number

4.9 million. That’s how many tickets StubHub has sold to people in Washington, D.C. since 2015, when the company enacted its “drip pricing” model. In a press release, the attorney general’s office said StubHub has extracted about $118 million in hidden fees from those sales.

Key Background

StubHub is the latest ticket seller to be sued over alleged illegal activity around pricing and fees. In May, the Department of Justice sued Live Nation—which owns Ticketmaster after they merged in 2010—alleging the two ticket sellers used various tactics to “eliminate competition and monopolize markets,” including long-term ticketing contracts, blocking venues from using multiple ticketers and acquiring its competitors. On the same day, a New York ticket buyer filed a class action suit against Live Nation, alleging the companies force consumers to pay high prices through “excessively high fees” and limit competition among resale sites, thus pushing up prices in the secondary market. Consumers have been critical of ticket prices and the fees that accompany them for years, and the controversy was thrust into the spotlight in 2022 when Ticketmaster botched the sale of tickets to Taylor Swift’s Eras Tour. Last October, President Joe Biden proposed banning junk fees and requiring companies—whether hotels or ticket vendors—to show the full price up front.

Further Reading

ForbesWomen In Music And Sports Dominate StubHub Ticket Sales In 2023-And Will Likely Continue To In 2024
ForbesLive Nation Facing Class Action Suit Over ‘Excessively High Fees’ In Wake Of Federal Antitrust LawsuitForbesDOJ Sues Ticketmaster And Owner Live Nation-Says ‘Monopoly’ Results In Higher Ticket Prices For Fans



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Washington, D.C

DC Public Health to begin daily testing of Potomac, Anacostia rivers for E. coli

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DC Public Health to begin daily testing of Potomac, Anacostia rivers for E. coli


Beginning on Monday, the D.C. Department of Health will be conducting daily tests for E. coli in the Potomac and Anacostia rivers. 

It comes more than five weeks after the Potomac interceptor collapse sent millions of gallons of sewage into the river.

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The testing will also coincide with an important safety advisory being lifted.

Why it matters:

Director of the D.C. Department of Health, Dr. Ayanna Bennett, says they will begin daily testing for E. coli in the Potomac and Anacostia rivers on Monday, along with help from the Environmental Protection Agency.

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Currently, D.C. is only testing weekly.

“We feel really secure that the initial sewage is not a threat to people, it’s passed through some time ago, but we do want to get more information about what the long term condition of the river is gonna be and how we should look at it going forward.”

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Big picture view:

Monday is also an important day because it’s when the District is expected to lift its advisory that recommends against recreational activities on the Potomac — we’re talking boating, fishing, walking pets by the water.

It’s important to note, however, that D.C.’s advisory pertains to its portion of the Potomac, and it has no bearing on advisories issued by officials in Maryland or Virginia.

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Still, this is being treated by many as a hopeful sign.

What they’re saying:

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But significant concerns absolutely remain for residents.

“I’ve had tons of messages from people saying they’re not going to let their kids row crew, they’re not going to go to sailing schools. We catch three million tons of blue cats out of the Potomac River. That season starts next week, and they’re not gonna be able to bring those blue cats to market,” said Dean Naujoks with the Potomac Riverkeepers.

“You knew years ago that parts of this Potomac Interceptor were corroded and vulnerable, especially where it broke, in Cabin John, our neighborhood,” one resident said, speaking at a public meeting in Bethesda on Thursday.

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“I know there are small business owners here. Who’s accounting for all of our losses that we’re getting due to your sewer blowing up?” another resident asked. 

Officials with D.C. Water, which is a public utility, have been running daily tests and will continue to do so as well.

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Washington, D.C

Pleasant, spring-like weekend for Virginia, Maryland, DC ahead of active start to March

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Pleasant, spring-like weekend for Virginia, Maryland, DC ahead of active start to March


After one of the coldest winters in years, the DMV is ending the month of February, and meteorological winter, with a nice spring preview.

Temperatures will reach the low 60s area-wide Saturday afternoon under mostly sunny skies. A real treat for the final day of February, enjoy!

Sunday will bring a few changes as an active weather pattern begins to bring in March.

Weekend forecast

A cold front will slowly move through the area and be mostly starved of moisture. There is a chance at a spotty shower or two, but most stay dry under mostly cloudy skies.

Temperatures will drop throughout the day as the front moves through with most afternoon temperatures in the 50s falling to the 30s by nightfall.

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European model forecast rainfall totals

European model forecast rainfall totals

This front will stall just to the south and be a focal point for several days of active weather next week around the DMV.

A wintry mix looks likely Monday with temperatures near freezing with little to no wintry precipitation accumulation, but a different story as that will then switch to all rain chances Tuesday through about Friday.

Forecast snowfall trend{p}{/p}
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Stay tuned to the First Alert Weather team as they continue to monitor forecast trends heading into next week.

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DC celebrates boost in college grant program for students – WTOP News

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DC celebrates boost in college grant program for students – WTOP News


The expanded funding aims to make college more affordable for thousands of D.C. students, continuing a program that has already helped nearly 40,000 graduates pursue degrees nationwide.

D.C. Mayor Muriel Bowser went back to school on Thursday. She headed to the gym at Coolidge High School in Northwest to make an announcement that could make college more affordable for eligible D.C. high school students.

Standing at the podium in front of a vibrant mural in the gymnasium, Bowser told the students, “A few weeks ago we got some good news from the United States Congress!”

“Even they can get it right sometimes!” she added.

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The news from Capitol Hill was that funding for the 25-year-old D.C. Tuition Assistance Grant program, or DCTAG, has been increased, something Bowser said she’s been working toward for 10 years.

Starting in the 2026-27 academic year, the maximum annual award for students who apply and qualify for the grants will go from $10,000 a year to as much as $15,000, and the overall cap increases from $50,000 to $75,000.

“These are real dollars guys, a real $15,000!” Bowser told the students. “This year alone, 4,500 students were approved for DCTAG, and that’s the highest number that we’ve had in the last five years.”

Since DCTAG was established, Bowser said nearly 40,000 D.C. high school students were serviced through the program, attaining degrees at more than 400 colleges across the country.

Among those who benefited from the DCTAG program was Arturo Evans, a local business owner who grew up in Ward 7 and graduated from D.C.’s Cesar Chavez Public Charter School.

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Speaking to the Coolidge students, Evans explained that as a high school student, he didn’t know if his dreams would ever come true.

“Do your homework, go to class, be on time, listen to your teachers,” he said. “Do not let your current situation determine who you can be tomorrow.”

Evans said without the grant money available in the DCTAG program his college prospects would have been “very limited.”

“I probably would have stayed local, probably would have had to go to a community college,” he said.

But he told WTOP, since he applied for and received grant money through the program, “TAG was able to pave the way for me to go ahead and achieve my dreams and go to my dream school,” at the University of Nevada, Las Vegas.

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While he was at UNLV, Evans said his mother’s illness meant he had to return to the District to help care for her. But thanks to help from his DCTAG adviser, he was able to complete his degree before becoming the CEO of his own D.C.-based business.

Among the Coolidge students attending the event was senior Victoria Evans (no relation to the speaker Arturo Evans), who also was in the DCTAG program and serves as the Command Sergeant Major of the Coolidge Junior Army ROTC.

Victoria Evans said she hopes to study medicine, and explained, “I found out about DCTAG through my school counselors and my college and career coordinators.”

Asked about the application process, she said, “It’s not hard at all. I would definitely say go and get the money they’re providing.”

D.C. Del. Eleanor Holmes Norton pushed to establish the funding when she introduced the D.C. College Access Act, which passed Congress in 1999. It was designed to address the fact that, since D.C. doesn’t have a state university system, D.C. students had limited access to in-state tuition at public colleges and universities.

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