Senate Bill S4418A

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4418
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             February 4, 2025
                                ___________
 
 Introduced  by  Sen.  MAY  --  read  twice and ordered printed, and when
   printed to be committed to the Committee on Cultural Affairs, Tourism,
   Parks and Recreation
 
 AN ACT to amend the arts  and  cultural  affairs  law,  in  relation  to
   prohibiting ticket sales that exceed the capacity of a place of enter-
   tainment,  and requiring original sellers of tickets to be licensed by
   the secretary of state
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  25.03  of  the  arts and cultural affairs law is
 amended by adding a new subdivision 11 to read as follows:
   11. "SALE" MEANS ANY SALE OF A TICKET  FOR  ENTRANCE  TO  A  PLACE  OF
 ENTERTAINMENT  LOCATED WITHIN THE BOUNDARIES OF THE STATE OF NEW YORK BY
 AN OPERATOR OR SUCH OPERATOR'S AGENT WHO IS EXPRESSLY AUTHORIZED TO MAKE
 FIRST SALES OF SUCH TICKETS. THE TERM "SALE" SHALL INCLUDE SALES BY  ANY
 MEANS,  INCLUDING  IN  PERSON,  OR BY MEANS OF TELEPHONE, MAIL, DELIVERY
 SERVICE, FACSIMILE, INTERNET, EMAIL OR OTHER ELECTRONIC MEANS, WHERE THE
 VENUE FOR WHICH THE TICKET GRANTS  ADMISSION  IS  LOCATED  IN  NEW  YORK
 STATE.  THE  TERM "SALE" SHALL NOT APPLY TO ANY GOVERNMENTAL OR NOT-FOR-
 PROFIT ORGANIZATION, OR PERSON ACTING ON BEHALF OF SUCH GOVERNMENTAL  OR
 NOT-FOR-PROFIT  ORGANIZATION, AS LONG AS ANY PROFIT REALIZED FROM TICKET
 SELLING IS WHOLLY DEDICATED TO THE  PURPOSES  OF  SUCH  GOVERNMENTAL  OR
 NOT-FOR-PROFIT ORGANIZATION.
   §  2.  The  section  heading of section 25.10 of the arts and cultural
 affairs law, as added by chapter 110 of the laws of 2018, is amended and
 a new subdivision 5 is added to read as follows:
   Ticket SALE AND resale requirements.
   5. NO OPERATOR OR OTHER TICKET SELLER OR RESELLER SHALL  SELL  TICKETS
 TO ANY PLACE OF ENTERTAINMENT IN AN AMOUNT THAT WOULD EXCEED THE CAPACI-
 TY OF SUCH PLACE OF ENTERTAINMENT.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD08698-01-5
 S. 4418                             2
              

 
   §  3.  The  section  heading and subdivision 1 of section 25.13 of the
 arts and cultural affairs law, the section heading as amended by chapter
 61 and subdivision 1 as amended by chapter 374 of the laws of 2007,  are
 amended to read as follows:
   Licensing  of  ticket  SELLERS  AND  resellers.  1. No person, firm or
 corporation shall SELL OR resell, or engage in the business  of  SELLING
 OR  reselling  any  tickets  to  a  place of entertainment or operate an
 internet website or any other electronic service that provides  a  mech-
 anism  for two or more parties to participate in a SALE OR resale trans-
 action or that facilitates SALE OR resale transactions by the  means  of
 an  auction,  or  own,  conduct  or  maintain any office, branch office,
 bureau, agency or sub-agency for  such  business  without  having  first
 procured  a  license  or certificate for each location at which business
 will be conducted from the secretary of state. Any operator  or  manager
 of  a  website that serves as a platform to facilitate resale, or resale
 by way of a competitive bidding process, solely  between  third  parties
 and  does not in any other manner engage in resales of tickets to places
 of entertainment shall be exempt from the licensing requirements of this
 section. The department of state shall issue and deliver to such  appli-
 cant  a  certificate  or  license  to  conduct such business and to own,
 conduct or maintain a  bureau,  agency,  sub-agency,  office  or  branch
 office  for  the conduct of such business on the premises stated in such
 application upon the payment by or on behalf of the applicant of  a  fee
 of five thousand dollars and shall be renewed upon the payment of a like
 fee  annually.  Such  license or certificate shall not be transferred or
 assigned, except by permission of the secretary of state.  Such  license
 or  certificate  shall  run to the first day of January next ensuing the
 date thereof, unless sooner revoked by  the  secretary  of  state.  Such
 license  or  certificate  shall  be  granted  upon a written application
 setting forth such information as the secretary of state may require  in
 order to enable [him or her] THE SECRETARY OF STATE to carry into effect
 the  provisions of this article and shall be accompanied by proof satis-
 factory to the secretary of state of the moral character of  the  appli-
 cant.
   § 4. Section 25.17 of the arts and cultural affairs law, as amended by
 chapter 61 of the laws of 2007, is amended to read as follows:
   § 25.17. Supervision and regulation. The secretary of state shall have
 power,  upon complaint of any person or on [his or her] THE SECRETARY OF
 STATE own initiative, to investigate the  business,  business  practices
 and  business methods of any such licensee which relates to this state's
 or any other state's ticket SALE OR resale law, or in regards to  ticket
 SALE OR resale practices generally. Each such licensee shall be obliged,
 on  the  reasonable  request  of  the secretary of state, to supply such
 information as may be required concerning [his or her]  SUCH  LICENSEE'S
 business,  business  practices  or  business  methods  provided that the
 information requested is related to the complaint which forms the  basis
 of such investigation. Each operator of any place of entertainment shall
 also  be  obliged,  on request of the secretary of state, to supply such
 information as may be required concerning the business,  business  prac-
 tices  or business methods of any licensee provided that the information
 requested is related to the complaint which  forms  the  basis  of  such
 investigation. The secretary of state shall have the power to promulgate
 such  rules  and regulations as may be deemed necessary for the enforce-
 ment of this article.
 S. 4418                             3

   § 5. Subdivision 1 of section 25.23 of the arts and  cultural  affairs
 law,  as  amended by chapter 110 of the laws of 2018, is amended to read
 as follows:
   1.  In every principal office or branch office, bureau, agency or sub-
 agency of any licensee under this article, there shall be  conspicuously
 posted  and  at all times displayed a price list showing the established
 price charged by the operator of the place of entertainment for which  a
 ticket  is  being  sold  by such licensee, together with the price being
 charged by such licensee for the SALE OR resale of such ticket, so  that
 all  persons  visiting such place may readily see the same. The licensee
 shall also on request furnish each purchaser of a ticket with a  receipt
 showing the same information. Further, if the licensee conducts business
 through  the  use  of the internet, the same price list, or hyperlink to
 the same, shall be conspicuously displayed on the internet page on which
 tickets are accessed. In  addition  the  licensee  shall  publish  in  a
 conspicuous  place,  or hyperlink to on the internet a statement clearly
 detailing the required guarantees required  by  section  25.07  of  this
 article.
   §  6.  This act shall take effect immediately; provided, however, that
 the amendments to sections 25.03, 25.10, 25.13, 25.17 and 25.23  of  the
 arts and cultural affairs law made by sections one, two, three, four and
 five  of this act shall not affect the repeal of such sections and shall
 be deemed repealed therewith.