January 26, 2018 11:49 pm
Updated: January 27, 2018 3:56 pm

Class action lawsuit accuses Ticketmaster of using ‘drip pricing’ to deceive Canadians

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Online ticketing giant Ticketmaster and parent company Live Nation are facing a class-action lawsuit accusing them of deceptive marketing and pricing.

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The litigation comes on the heels of a Competition Bureau lawsuit which alleged widespread use of “drip pricing,” a practice in which customers pay far higher prices than advertised, due to the addition of various fees and surcharges.

READ MORE: Competition Bureau sues Ticketmaster for inflating prices with mandatory fees

Launched by Merchant Law Group LLP, the class action litigation seeks compensation for all Canadians who have purchased tickets for sporting events, concerts and other entertainment events through Ticketmaster.

“Canadians always expect to pay the price advertised, whether it’s for buying groceries or tickets to a concert. Ticketmaster and Live Nation collected these fees by advertising a much lower price for tickets, then jacking up the price,” counsel Tony Merchant said in a statement.

“This case is particularly egregious given the dominant position which these companies hold over online ticket sales. When you consider the millions of sales transactions done by Ticketmaster in Canada each year, the magnitude of this class action becomes clear.”

Merchant said ticket prices are often inflated by over 20 per cent, and in some cases by over 65 per cent.

He said the class action’s plaintiff estimated paying over $1,000 in drip fees in the last five years.

© 2018 Global News, a division of Corus Entertainment Inc.

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