Attorney General Brnovich Announces $2 Million Settlement with StubHub

By on September 16, 2021 0 416Views

Arizona Attorney General Mark Brnovich announced this week that his office (AGO) reached a settlement agreement with StubHub, Inc., regarding ticket refunds from cancelled events due to COVID-19. The agreement with one of the largest ticket resellers in the country secures nearly $2 million in cash refunds for Arizona consumers and over $250,000 worth of account credits for Arizona consumers who chose that form of restitution.

“StubHub promised Arizonans refunds for cancelled events but then tried to change the terms of the deal because of COVID-19,” said Attorney General Mark Brnovich. “Companies must honor refund representations, and as a result of our investigation, StubHub provided Arizona consumers with full refunds for tickets to cancelled events.”

StubHub initially refused to refund consumers for concerts, sporting, and other events that were cancelled as a result of the pandemic. By doing so, StubHub failed to honor its then-hallmark “FanProtect Guarantee” refund policy that promised consumers full refunds of the purchase price and fees they paid for tickets if their events were cancelled. In March 2020, StubHub stopped honoring its refund guarantee following a mass-cancellation of events amid the COVID-19 pandemic. Instead, StubHub decided to give its customers credits equal to 120% of their purchases to be used for future events and denied their requests for refunds. Arizona joined with 9 other states and the District of Columbia to get consumers their money back.

As a result of the investigation, StubHub reversed its decision. In May 2021, StubHub notified its customers that if they purchased tickets prior to March 25, 2020, and their events were cancelled, they would receive full refunds of the amounts they paid for tickets unless they affirmatively chose to retain account credits instead. This included over 6,100 consumers residing in Arizona or purchasing tickets for an event in Arizona, who had previously purchased tickets on StubHub’s marketplace under terms that included the FanProtect Guarantee.

Pursuant to the consent agreement, StubHub also agrees to: (i) honor its refund policies; (ii) not change its refund policies for purchased tickets unless the purchasing consumer consents to the change; and (iii) promptly process refund requests it receives from consumers for the events at issue going forward.

Consumers who have not been contacted by StubHub and believe they are entitled to a refund may either contact StubHub at (866) 788-2482 or the Arizona Attorney General’s Office.