Washington, D.C
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.
View of the company logo and office entrance for online ticket exchange company StubHub at its … [+]
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.
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.
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.
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
Washington, D.C
D.C. Police Chief manipulated crime data; new House Oversight report
TNND — A new report from the House Oversight Committee alleges former D.C. Police Chief Pamela Smith pressured officers to manipulate crime data. The committee released the report on Sunday, less than a week after Smith announced she was stepping down.
You’re lulling people into this false sense of security. They might go places they wouldn’t ordinarily go. They might do things they wouldn’t ordinarily do,” said Betsy Brantner Smith, spokesperson for the National Police Association.
Included in the report were transcribed interviews with the commanders of all seven D.C. patrol districts and the former commander currently on suspended leave. One was asked, “Over the last few years, has there been any internal pressure to simply bring down crime statistics?” Their response, “Yes, I mean extremethere’s always been pressure to keep crime down, but the focus on statistics… has come in with this current administration.”
Every single person who lives, works, or visits the District of Columbia deserves a safe city, yet it’s now clear the American people were deliberately kept in the dark about the true crime rates in our nation’s capital,” House Oversight Committee Chairman Rep. James Comer (R-KY) said in a statement.
“They are going to have to regain the public trust. Again, this is a huge integrity issue,” Brantner Smith said.
Among the reports findings, Smith’s alleged pressured campaign against staff led to inaccurate crime data. Smith punished or removed officers for reporting accurate crime numbers. Smith fostered a toxic culture and President Trump’s federal law enforcement surge in D.C. is working.
While Smith has not yet publicly responded to the report, she’s previously denied allegations of manipulating crime data, saying the investigation did not play a factor into her decision to step down at the end of the year.
My decision was not factored into anything with respect to, other than the fact that it’s time. I’ve had 28 years in law enforcement. I’ve had some time to think with my family,” Smith said earlier this month.
D.C. Mayor Muriel Bowser also released a statement Monday, writing in part that “the interim report betrays its bias from the outset, admitting that it was rushed to release.”
According to crime stats from the Metropolitan Police Department, since the federal law enforcement surge started in August, total violent crime is down 26%. Homicides are down 12% and carjackings 37%.
Washington, D.C
National Menorah Lighting in DC dedicated to Bondi Beach victims
The first candle lit on the National Menorah near the White House in Washington, D.C., marked the first night of Hanukkah — and solemnly honored victims of the Bondi Beach shooting.
The National Menorah Lighting was held Sunday night, hours after gunmen opened fire on a crowd celebrating the beginning of Hanukkah at Australia’s iconic Bondi Beach. Fifteen people were killed, including a 10-year-old girl, a rabbi and a Holocaust survivor, and over three dozen others were being treated at hospitals.
Authorities in Australia said it was a terrorist attack targeting Jewish people.
Organizers behind the National Menorah Lighting said the news from Australia, along with the bitter cold, forced them to consider whether or not to hold the annual event.
After consulting with local law enforcement, National Menorah Lighting organizers decided to hold the event and honor the victims.
Several D.C.-area police departments issued statements confirming there are no known threats to local communities, but are monitoring just in case.
Montgomery County Executive Mark Elrich condemned the attack and said community safety is a priority.
“Acts of antisemitism, especially those meant to intimidate families and communities during moments of gathering and celebration, must be called out clearly and condemned without hesitation,” Elrich said. “I have heard directly from members of Montgomery County’s Jewish community who are shaken and concerned, and I want them to know that their safety is a priority.”
Washington, D.C
READ: Report accuses DC Police Chief Pamela Smith of ‘fear, intimidation, threats’
WASHINGTON (7News) — Metropolitan Police Department (MPD) Chief Pamela Smith is facing yet another scathing report accusing her of manipulating crime data in the city.
The 22-page document from the House Committee on Oversight and Government Reform comes less than a week after a separate draft report from the Department of Justice (DOJ) and days after Chief Smith turned in her resignation.
The main difference between the Congressional report and the DOJ report is that this new one, released on December 14, contains transcribed interviews directly with commanders from all seven MPD patrol districts.
RELATED | DC Police settles with former employee over claims that crime numbers were manipulated
The testimony reveals how Chief Smith chastised and, in some cases, publicly humiliated staff in crime briefings.
“The Committee’s investigation heard consistent testimony about frustration and exhaustion among MPD commanders and the manifestation of a culture of fear, intimidation, threats, and retaliation by Chief Smith. Often, these manifestations were triggered whenever the Chief was presented with what she considers ‘bad news,’ particularly when that news pertained to any rise in public crime statistics. Chief Smith, according to testimonies, regularly took action against her subordinates who failed to aid in the preservation of her public image,” the report states on page two.
RELATED | Trump announces probe into DC police for inflating crime stats amid safety claims
The committee launched the investigation in August when whistleblowers came forward with concerns about data manipulation.
One line of questioning in the report states:
Question: Over the last few years, has there been any internal pressure to simply bring down crime statistics?
Answer: Yes, I mean extreme… there’s always been pressure to keep crime down, but the focus on statistics… has come in with this current administration or regime, and you know, that has manifested publicly.
7News reached out to Mayor Bowser’s Office for a comment in response to the report. A spokesperson provided the following statement:
The men and women of the Metropolitan Police Department run towards danger every day to reduce homicides, carjackings, armed robberies, sexual assaults, and more. The precipitous decline in crime in our city is attributable to their hard work and dedication and Chief Smith’s leadership.
BE THE FIRST TO COMMENT
I thank Chief Smith for her commitment to the safety of D.C. residents and for holding the Metropolitan Police Department to an exacting standard, and I expect no less from our next Chief of Police.
-
Washington1 week agoLIVE UPDATES: Mudslide, road closures across Western Washington
-
Iowa2 days agoAddy Brown motivated to step up in Audi Crooks’ absence vs. UNI
-
Iowa1 week agoMatt Campbell reportedly bringing longtime Iowa State staffer to Penn State as 1st hire
-
Iowa3 days agoHow much snow did Iowa get? See Iowa’s latest snowfall totals
-
Miami, FL1 week agoUrban Meyer, Brady Quinn get in heated exchange during Alabama, Notre Dame, Miami CFP discussion
-
Cleveland, OH1 week agoMan shot, killed at downtown Cleveland nightclub: EMS
-
World1 week ago
Chiefs’ offensive line woes deepen as Wanya Morris exits with knee injury against Texans
-
Minnesota1 week agoTwo Minnesota carriers shut down, idling 200 drivers