Concerts To Courtrooms: Legal Consequences Of Unauthorised Ticket Sales

The excitement surrounding concerts in India, especially for international sensations like Coldplay and beloved local icons such as Diljit Dosanjh, has reached fever pitch. Fans eagerly scramble for tickets, often facing long waits and sold-out shows within minutes. However, with this growing craze comes the darker side of ticket scalping. Recent events, including the sale of Coldplay and Diljit Dosanjh concert tickets, have highlighted the widespread problem of unauthorized ticket sales, leaving fans not only out of pocket but also often with counterfeit tickets. As this issue intensifies, the need to understand the legal framework around ticket scalping and its consequences becomes crucial for such fans. 

Bad Bots, Ticket Scalping And Indian Law

‘Ticket Scalping’ or ‘Ticket Touting’ refers to the practice of purchasing large quantities of tickets, typically for major live events like sports matches or concerts using unethical methods, such as deploying automated software or ‘bad bots.’ These tickets are then resold at inflated prices, allowing scalpers to exploit frantic fans who are unable to obtain tickets from legitimate sources. Bad bots are software programs designed to perform automated tasks with malicious intent, often mimicking human behaviour to deceive websites and mobile applications. These bots allow scalpers to buy tickets in bulk before genuine fans even have a chance. In 2023, the global entertainment industry faced a surge in bot traffic, with 31.1% of the total online activity attributed to these bad bots, compared to only 13.5% from human users,^[1] further exacerbating the issue of ticket scalping.        

While several State Legislations^[2] in India prohibit and penalise ticket scalping or unauthorised ticket resale, there has been a notable absence of a comprehensive central legislation addressing this issue. This legal gap came to light in the case of Mandeep Singh Vs. State of U.T. of Chandigarh and Anr.^[3] where the Punjab and Haryana High Court quashed an FIR against the accused, who had been charged under Section 66-A of the Information Technology Act, 2000, and Section 420 of the Indian Penal Code, 1860, (hereinafter referred to as “IPC”) for scalping and reselling India-Pakistan Cricket World Cup tickets at inflated prices. The Hon’ble Court observed that in the absence of any legal restrictions on reselling match tickets in India, the FIR lodged against the accused deserved to be quashed. 

This judgment accentuates the absence of specific legal provisions criminalizing ticket scalping, enabling scalpers to operate freely and exploit fans without facing any significant legal consequences. The issue, however, is not limited to India; ticket scalping is a widespread problem across the globe, affecting major events in numerous countries. In the United Kingdom, for example, Section 166 of the Criminal Justice and Public Order Act, 1994 criminalizes the unauthorized sale of football match tickets. ^[4] In the United States, while there is no federal law addressing this issue, 15 states, including California, New York and Connecticut, have enacted legislation restricting the resale of tickets for entertainment and sporting events above their face value^.[5] Similarly, countries such as Australia, Canada, and Japan have recognized the need to address ticket scalping and have introduced laws imposing restrictions on unauthorized ticket resale. ^[6]

Recognition of ticket scalping as criminal offence significant move 

While the erstwhile, IPC lacked any specific criminal provision to address ticket scalping, the Bhartiya Nyaya Sanhita, 2023 (hereinafter referred to as “BNS”) has introduced Section 112, which criminalises the unauthorised sale of tickets. Under this provision, any member of a group or gang involved in such activities can face imprisonment for a minimum of one year, extendable up to seven years, along with a fine.^[7] 

Though scalpers have operated without much legal hindrance until now, the formal  recognition of ticket scalping as a criminal offense under BNS marks a significant step towards ensuring that such activities are prosecuted. However, a closer look at Section 112 reveals that the membership of a 'group' or 'gang' is a pre-requisite condition for charges to be brought under this provision. Since the BNS does not provide a clear definition of these terms, how courts interpret the requirement of group or gang membership will be crucial in determining the scope and application of this law in future cases.

This issue of Ticket Scalping was also recognised by the Hon’ble High Court of Judicature at Madras in its recent judgment in A. Sathiya Prakash Vs. The Board of Control for Cricket in India.^[8]In this case, the Court directed the BCCI and the Sports Development Authority of Tamil Nadu to decide the petitioner’s representation, which raised concerns upon the sale of IPL tickets at inflated rates in the black market.

Real risk of buying illegal tickets at a premium

Another significant issue faced by fans purchasing tickets from unauthorized sources is the risk of receiving counterfeit or fake tickets, which ultimately denies them access to the event. For instance, in 2017, 200 fans were deceived by two individuals who sold fake tickets for the Ed Sheeran concert in Mumbai at inflated prices, leaving them stranded outside the venue despite having paid a premium. ^[9] This problem isn’t limited to music concerts; it’s also rampant in sporting events. Recently, in October 2023, a group of four individuals duped nearly 150 fans by selling counterfeit tickets for the highly anticipated India-Pakistan World Cup match in Ahmedabad.^[10] As these incidents highlight the pervasive threat of ticket fraud, it is crucial for fans to understand their rights and the legal protections available to them.

As the entertainment and sports industries continue to thrive, so too does the illegal market for unauthorized and counterfeit ticket sales. However, fans are not without recourse. With the introduction of BNS, those who have been victims of ticket scalping can now approach the authorities and take legal action against scalpers under Section 112 of BNS, which provides stringent penalties for unauthorized ticket sales. Additionally, fans who fall prey to counterfeit tickets are protected under Section 336 of BNS,^[11] which addresses forgery, and Section 318 of BNS,^[12] which deals with the offense of cheating. By utilizing these legal avenues, affected individuals can not only seek justice but also deter future unlawful practices, as such.   

Disclaimer: The views expressed in this article are those of the author and do not reflect the views of the publication.