Combating Unfair Practices in the Live Entertainment Market

March 31, 2025

Executive Orders

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Action Summary

Purpose: Combat unfair practices in the live concert and entertainment industry, notably price gouging by ticket scalpers and middlemen, which inflate ticket prices up to 70 times face value while denying artists their due profits.
Regulatory Enforcement:
- Agencies Involved: The Attorney General, the Federal Trade Commission (FTC), and the Secretary of the Treasury.
- Actions Required: Enforce competition laws, rigorously implement the Better Online Ticket Sales Act, and ensure compliance with tax and regulatory obligations.
Market Transparency & Fair Practices:
- Price Transparency: FTC to take action, including proposing regulations, to ensure price transparency from primary to secondary market sales.
- Anti-Deceptive Measures: Evaluate and enforce actions against unfair, deceptive, and anti-competitive practices in the secondary ticket market.
Reporting and Accountability:
- Timeline: A joint report by the Secretary of the Treasury, Attorney General, and FTC Chairman is required within 180 days.
- Content: The report must detail the actions taken under the order and include recommendations for any needed regulatory or legislative changes.
General Provisions:
- Legal Boundaries: The order does not alter the authority or functions of existing executive departments and agencies, nor does it create enforceable rights by third parties.
- Implementation: Must align with applicable law and appropriations.

Risks & Considerations

The Executive Order targets unfair practices in the live entertainment market, which could lead to increased regulatory scrutiny and enforcement actions against ticketing agencies and scalpers. This may result in changes to how tickets are sold and distributed, potentially affecting partnerships and sponsorships with entertainment venues.
Vanderbilt University may need to assess its involvement in hosting live events and concerts, ensuring compliance with new regulations and maintaining transparency in ticket sales to avoid potential legal issues.
The focus on price transparency and anti-competitive conduct could lead to increased operational costs for venues and ticketing partners, which may be passed on to consumers, affecting attendance and revenue from events held at university facilities.
There is a potential impact on student and community engagement if ticket prices become more regulated, possibly affecting the accessibility and affordability of attending live events on campus.

Impacted Programs

Vanderbilt’s Event Management Office may need to review and adjust its ticketing processes to ensure compliance with new regulations and maintain fair practices in ticket sales.
The Office of Community Engagement could play a role in educating students and the community about changes in ticketing practices and promoting fair access to live events.
Vanderbilt’s Legal and Compliance Departments may need to monitor developments in this area to provide guidance and ensure that the university’s practices align with federal and state regulations.

Financial Impact

Increased regulatory compliance costs could affect the financial viability of hosting large-scale events, potentially impacting revenue from ticket sales and associated activities.
Changes in ticketing practices may influence the university’s ability to attract high-profile events and performers, affecting the cultural and social offerings available to students and the community.
There may be opportunities for Vanderbilt to collaborate with regulatory bodies or industry groups to develop best practices in ticketing and event management, potentially enhancing the university’s reputation as a leader in ethical and transparent operations.

Relevance Score: 3 (The order presents moderate risks involving compliance and operational adjustments for university-hosted events.)

Key Actions

Vanderbilt’s Blair School of Music should monitor developments in the live entertainment market regulations to understand potential impacts on music and arts programming. Engaging with industry stakeholders to ensure compliance and explore opportunities for collaboration could enhance the school’s offerings and student experiences.
The Office of Federal Relations should track the enforcement actions and regulatory changes by the FTC and other agencies to assess their implications for university events and ticketing practices. This will help Vanderbilt align its policies with federal guidelines and avoid potential legal issues.
Vanderbilt’s Legal Department should review current ticketing practices for university events to ensure compliance with new regulations and consider implementing measures to enhance price transparency and consumer protection.
The Department of Economics could conduct research on the economic impacts of the executive order on the live entertainment industry. This research can provide valuable insights into market dynamics and inform policy recommendations.

Opportunities

The executive order presents an opportunity for Vanderbilt’s Owen Graduate School of Management to develop case studies and courses on market regulation and consumer protection in the entertainment industry. This could attract students interested in the intersection of business and public policy.
By engaging with the broader entertainment community and policymakers, Vanderbilt can position itself as a leader in the national conversation on fair practices in the live entertainment market. Hosting conferences, workshops, and public forums on the implications of these regulations can further establish Vanderbilt as a hub for innovative thought and practice in this area.

Relevance Score: 3 (Some adjustments are needed to processes or procedures to ensure compliance and capitalize on educational opportunities.)

Average Relevance Score: 3

Timeline for Implementation

Within 180 days from March 31, 2025: The required report by the Secretary of the Treasury, the Attorney General, and the FTC Chairman must be submitted to the Assistant to the President for Economic Policy and the Director of the Office of Management and Budget.

Relevance Score: 1

Impacted Government Organizations

Federal Trade Commission (FTC): Directed to enforce competition laws, implement the Better Online Ticket Sales Act, ensure price transparency, and evaluate unfair practices in the ticketing and secondary market.
Department of Justice (DOJ) – Attorney General: Tasked with collaborating with the FTC and state consumer protection agencies to enforce competition laws and ensure compliance with relevant legal and tax obligations.
Department of the Treasury: Responsible for ensuring that ticket scalpers fully comply with the Internal Revenue Code and related fiscal regulations.
Office of Management and Budget (OMB): Involved in receiving the joint report on the actions taken under this order to oversee budgetary and administrative implications.
Assistant to the President for Economic Policy: To receive the comprehensive report detailing the enforcement measures and any recommendations for further regulatory or legislative action.
State Consumer Protection Agencies (State Attorneys General): Expected to collaborate with the FTC by utilizing information provided to enforce state-level consumer protection measures within the live entertainment market.

Relevance Score: 3 (Between 6 and 10 agencies and entities are impacted by this order.)

Responsible Officials

Attorney General – Charged with enforcing competition laws in the concert and entertainment industry (Sections 2(a) and 2(e)) and responsible for ensuring ticket scalpers comply with applicable tax laws.
Federal Trade Commission (FTC) – Directed to enforce the Better Online Ticket Sales Act, propose necessary regulations, and take action against unfair and anti-competitive practices (Sections 2(a)–2(d)); additionally, the FTC Chairman is responsible for co-authoring the report on implementation (Section 3).
Secretary of the Treasury – Responsible for ensuring that ticket scalpers comply with the Internal Revenue Code and for co-reporting the results of the directive’s implementation (Sections 2(e) and 3).

Relevance Score: 5 (Directives affect Cabinet-level officials and senior agency heads, including the Attorney General and the Secretary of the Treasury, as well as the FTC leadership).