GHOST Act

This Act may be cited as the “Guaranteeing Honest Ownership in Secondary Ticketing Act” or the “GHOST Act”.

In this Act:

(1) Actual possession.— The term actual possession, with respect to an event ticket, means physical or virtual possession of an event ticket issued by a ticket issuer.

(2) Commission.— The term Commission means the Federal Trade Commission.

(3) Event; event ticket; ticket issuer.— The terms event, event ticket, and ticket issuer have the meanings given such terms in the Better Online Ticket Sales Act of 2016 (15 U.S.C. 45c).

(4) Reseller.— The term reseller means a person engaged in the resale of event tickets that is not the original ticket issuer.

It shall be unlawful for any reseller to sell, offer for sale, or advertise for sale an event ticket unless such reseller has actual possession of such event ticket.

(a) Enforcement by the Commission.—

(1) Unfair or deceptive acts or practices.— A violation of section 3 shall be treated as a violation of a rule defining an unfair or deceptive act or practice under section 18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)).

(2) Powers of the Commission.—

(A) In general.— Except as provided in paragraphs (3) and (4), the Commission shall enforce section 3 in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a part of this Act.

(B) Privileges and immunities.— Any person who violates section 3 or a regulation promulgated thereunder shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act (15 U.S.C. 41 et seq.).

(C) Authority preserved.— Nothing in this section shall be construed to limit the authority of the Commission under any other provision of law.

(D) Rulemaking.— The Commission shall promulgate in accordance with section 553 of title 5, United States Code, such rules as may be necessary to carry out this Act.

(3) Civil action.— If the Commission has reason to believe that any person has violated section 3, the Commission may bring a civil action in an appropriate district court of the United States to seek appropriate relief, including equitable monetary relief.

(4) Civil penalty.—

(A) In general.— In addition to any other penalty prescribed by law, any person who violates section 3 shall be liable for—

(i) a civil penalty of not less than $15,000 for each day during which the violation occurs or continues to occur; and

(ii) an additional civil penalty equal to the greater of—

(I) $1,000 per event ticket sold, offered for sale, or advertised for sale in violation of this Act; or

(II) an amount equal to the sum of the total price for each event ticket sold, offered for sale, or advertised for sale in violation of this Act, multiplied by 5.

(B) Enhanced civil penalty for intentional violations.— In addition to the civil penalty under subparagraph (A), a person who intentionally violates section 3 shall be liable for a civil penalty of not less than $10,000 per event ticket sold, offered for sale, or advertised for sale in violation of this Act.

(5) Complaint website.—

(A) In general.— Not later than 180 days after the date of enactment of this Act, the Commission shall create a publicly available website where individuals may report violations of this Act and the Better Online Ticket Sales Act of 2016 (15 U.S.C. 45c).

(B) Cooperation with State attorneys general.— As appropriate, the Commission shall share reports received through the website created under subparagraph (A) with State attorneys general.

(6) Report to Congress.— Not later than 180 days after the date of enactment of this Act, and annually thereafter, the Commission shall submit to Congress a report on enforcement metrics, activity, and effectiveness under this Act and the Better Online Ticket Sales Act of 2016 (15 U.S.C. 45c).

(b) Enforcement by the States.—

(1) In general.— In any case in which the attorney general of a State has reason to believe that an interest of the residents of the State has been or is threatened or adversely affected by the engagement of any person in a practice that violates section 3, the attorney general of the State may, as parens patriae, bring a civil action on behalf of the residents of the State in an appropriate district court of the United States—

(A) to enjoin further violation by such person;

(B) to compel compliance with the requirements of this Act; and

(C) to obtain damages, restitution, or other compensation on behalf of such residents.

(2) Investigatory powers.— Nothing in this section may be construed to prevent the attorney general of a State from exercising the powers conferred on the attorney general by the laws of the State to conduct investigations, to administer oaths or affirmations, or to compel the attendance of witnesses or the production of documentary or other evidence.

(3) Venue; service of process.—

(A) Venue.— Any action brought under paragraph (1) may be brought in—

(i) the district court of the United States that meets applicable requirements relating to venue under section 1391 of title 28, United States Code; or

(ii) another court of competent jurisdiction.

(B) Service of process.— In an action brought under paragraph (1), process may be served in any district in which the defendant—

(i) is an inhabitant; or

(ii) may be found.

(4) Actions by other State officials.—

(A) In general.— In addition to civil actions brought by attorneys general under paragraph (1), any other consumer protection officer of a State who is authorized by the State to do so may bring a civil action under paragraph (1), subject to the same requirements and limitations that apply under this subsection to civil actions brought by attorneys general.

(B) Savings provision.— Nothing in this section may be construed to prohibit an authorized official of a State from initiating or continuing any proceeding in a court of the State for a violation of any civil or criminal law of the State.

This Act shall take effect on the date that is 60 days after the date of enactment of this Act.