Red Light, Q Prime back NITO resale complaint
The National Independent Talent Organization (NITO) has filed a complaint with the US Federal Trade Commission (FTC), alleging widespread violations of the BOTS Act by ticket resellers.
The advocacy group, whose complaint is backed by dozens of signatories including Red Light Management, Q Prime, Arrival Artists, Ground Control Touring, Mint Talent Group and Paladin Artists, represents the interests of independent music booking agencies and managers in the United States.
Its filing sets out how multiple technology companies provide tools that enable touts to circumvent ticket purchasing limits, including sophisticated browser extensions, proxy services, and virtual credit card platforms designed to bypass security measures implemented by primary ticket sellers.
“NITO requests that the FTC investigate the widespread sale of technology used to violate the Better Online Ticket Sales (BOTS) Act,” says a letter from NITO addressed to FTC chair Lina Khan. “Our organisation recently attended the World Ticket Conference organised by the National Association of Ticket Brokers (NATB). At this event, we observed a sold-out exhibition hall filled with vendors selling and marketing products designed to bypass security measures for ticket purchases, in direct violation of the BOTS Act.
“Artists, promoters, venues, and primary ticketing systems set ticket purchase limits to increase accessibility and protect fans from large-scale resale for profit, especially for high-demand concerts. The BOTS Act aims to prevent the use of technology that circumvents these ticket purchase restrictions and to protect consumers from price gouging on the secondary market.
“However, despite these efforts, purchase limits are routinely bypassed. Our research shows that for a single concert, thousands of tickets often end up on secondary sites at an average markup of twice the original face value.”
“By implementing these recommendations, rights holders and the FTC can take significant steps towards curbing BOTS Act violations”
It adds that the prevalence of such technologies at major industry events indicates that many ticket brokers may be violating federal law by using these technologies.
“Multiple solutions exist for those seeking to bypass purchase limits, and most were being marketed and sold at the NATB Conference,” NITO continues. “We urge the FTC to investigate the practices and companies detailed.”
The letter was also shared with members of Congress, other Federal and State entities and the trade group’s partners in the Fix The Tix Coalition.
The complaint from NITO president Jack Randall and MD Nathaniel Marro concludes with actionable recommendations for rights holders and the Federal Trade Commission to combat these practices, including increased enforcement, legislative updates, and enhanced cooperation between stakeholders in the ticketing industry.
“By implementing these recommendations, rights holders and the FTC can take significant steps towards curbing BOTS Act violations and ensuring fairer access to event tickets for consumers,” it adds.
Other member companies to back the filing include Magnus Artists, Crossover Touring, Artisan Agency, New Frontier Touring, Ted Kurland Agency and Northstar Artists.
The BOTS Act was signed into law by then US president Barack Obama in 2016.
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Indie agencies join forces for advocacy group
A group of 14 independent talent agencies in the US has formed the National Independent Talent Organization (Nito), a non-profit advocacy group aiming to help small businesses through the Covid-19 crisis.
The founding companies, which include Entourage Talent, Ground Control Touring, New Frontier Touring and Skyline Artists Agency, together represent more than 2,000 artists and look to “promot[e] the welfare and prosperity of its members and their represented artists”, as well as working to protect the live music community as a whole.
The group has invited other small business within the US live music ecosystem, as well as majority owner-operated independent management companies, artists, crew and other live touring entities, to join them as associate members.
As of press time, Nito’s total membership stands at over 50 members and growing.
“We are speaking out collectively for ourselves and all those that we individually work to generate income for,” comments Wayne Forte, owner of Entourage Talent. “[That’s] not simply the musical artists we represent, but the thousands and thousands of people who rely on our industry and our work for their living.
“We are speaking out collectively for ourselves and all those that we individually work to generate income for”
“We have to continue to do this while inadvertently helping to frame and preserve the soundtrack of millions and millions of lives.”
While Nito states it is “still unknown” when live music as we know it will return, the group “will fight to keep this community alive until it’s safe again to gather with friends and other fans to share these experiences that are some of the best moments of our lives.”
The group follows the formation of the National Independent Venue Association (NIVA) in the US earlier this year.
A full list of Nito founding members can be found below:
Entourage Talent / Wayne Forte
Ground Control Touring / Eric Dimenstein
High Road Touring / Frank Riley
Leave Home Booking / Stormy Shepherd
Madison House / Nadia Prescher
Mongrel Music / Brad Madison
New Frontier Touring / Paul Lohr
Panache Booking / Michelle Cable
Partisan Arts / Tom Chauncey, Hank Sacks
Pinnacle Entertainment / Scott Sokol
Sound Talent Group / Dave Shapiro
Skyline Artists Agency / Mark Lourie, Bruce Houghton
TKO / Steve Schenck
The Kurland Agency / Ted Kurland, Jack Randall
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