LANSING, Mich. (Feb. 27, 2014) – The R Street Institute welcomed today’s passage by the Michigan House of Representatives of HB 5108, which would repeal Michigan’s archaic law criminalizing the resale of event tickets by individuals.

Under a 1931 statute, it is illegal in Michigan to sell any ticket above its written face value without the express consent of the event and venue operators, as well as to resell any season ticket that bears the ticket-holder’s name. R Street Midwest Director Alan Smith praised the legislation as a way of opening up the marketplace to respected secondary sellers that offer consumers redress if they are unhappy with their purchase.

“The purpose of this legislation is to promote free-market principles in the ticket marketplace in Michigan, much like those that exist in many other states,” said Smith. “The added benefit is that consumers would have additional protections against fraudulent tickets that were purchased unknowingly, something that does not currently exist in Michigan.”

He added that the legislation, sponsored by Rep. Tim Kelly, R-Saginaw, would continue to permit venues and promoters to prescribe rights and duties of lessors and lessees using contract law.

“Universities wishing to hold tickets back for use by students and alumni would still be able to do that,” he said.

The legislation will now move to the Senate for consideration.

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