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Session of 2000
          Substitute for HOUSE BILL No. 2653           By Committee on Federal and State Affairs           2-16          

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  9             AN  ACT concerning crimes and punishments; creating the crime of un-
10             lawful sale of tickets and prescribing the penalty therefor.
11      
12       Be it enacted by the Legislature of the State of Kansas:
13             Section  1. (a) As used in this section:
14             (1) ``Ticket'' means any printed or electronic medium of admission
15       or right of entry to an event.
16             (2) ``Event'' means any musical or theatrical performance, concert,
17       exhibition or sporting athletic contest open to the general public for which
18       an entry fee is charged and which is given or held at a place of
19       entertainment.
20             (3) ``Nonprofit organization'' means a bona fide nonprofit religious,
21       charitable, fraternal, educational or veterans' organization as such terms
22       are defined in K.S.A. 79-4701, and amendments thereto.
23             (4) ``Person'' means any individual, firm, corporation, partnership,
24       limited liability company, limited liability partnership or other entity.
25             (5) ``Place of entertainment'' means any privately or publicly owned
26       and operated entertainment facility in this state, such as a theater, sta-
27       dium, amphitheater, concert hall, arena, racetrack, museum or amuse-
28       ment park, where athletic games or contests, concerts, performances or
29       exhibitions are given or held and for which an entry fee is charged.
30             (6) ``Resale'' or ``resell'' means any offer to sell or resell, or sale or
31       resale of, a ticket to an event at a price in excess of the face price thereof,
32       whether in person or by telephone, mail, delivery service, facsimile, the
33       internet or otherwise.
34             (7) ``Ticket broker'' means any person registered under section 2, and
35       amendments thereto, who is engaged in the business of resale of tickets.
36       Such term shall not include an employee of a ticket broker.
37             (b)  (1) Except as provided by paragraph (2) of this section, no person
38       shall resell any ticket for a price in excess of the price printed on the
39       ticket. If a seller of a ticket requires, as a precondition of the resale of
40       such ticket, the purchase or rental of other goods or services at a price in
41       excess of the fair market value of such goods or services, the excess
42       amount shall be deemed to be part of the purchase price of such ticket.
43             (2) The provisions of paragraph (1) of this section shall not apply to:

2
  1             (A) A nonprofit organization or any person acting on its behalf if the
  2       profit realized from the resale of tickets is wholly dedicated to the pur-
  3       poses of the nonprofit organization;
  4             (B) the sponsor, promoter, artist or operator of the event;
  5             (C) the owner, operator, lessee or tenant of the place of entertain-
  6       ment for the event;
  7             (D) an agent of any person specified in paragraphs (A), (B) or (C) if
  8       such agent expressly is authorized to make sales of tickets for the event,
  9       including a seller of a ticket of admission who, with the consent of the
10       sponsor of such event, collects a reasonable service charge, in addition to
11       the printed box office ticket price, from the buyer of a ticket in return
12       for services actually rendered;
13             (E) any travel or tour agent or operator or other person who offers
14       and resells the ticket as part of a package of goods and services that
15       includes air or ground transportation, hotel or other accommodations or
16       meals;
17             (F) the resale of any ticket if both the buyer and the seller of the
18       ticket are not located in this state at the time of such resale;
19             (G) any person not engaged in the business of reselling tickets; or
20             (H) any person engaged in the business of reselling tickets and who
21       has registered with the secretary of state as a ticket broker as provided
22       by section 2, and amendments thereto.
23             (c) No person shall resell a ticket which contains restrictions on trans-
24       fer in violation of such restrictions:
25             (1) Within 1,000 feet of the property line of the property on which
26       is located the place of entertainment for the event if the place of enter-
27       tainment has a permanent seating capacity over 5,000 persons, unless the
28       operator of such place of entertainment has designated an area within
29       such property line for the resale of tickets by any person; or
30             (2) on any fully controlled-access highway within five miles of the
31       place of entertainment for the event.
32             (d) The resale of each ticket in violation of the provisions of this
33       section shall constitute a separate offense.
34             (e) A person convicted of violating the provisions of this section shall
35       be guilty of a class C nonperson misdemeanor.
36             (f) This section shall be part of and supplemental to the Kansas crim-
37       inal code.
38             Sec.  2. (a) The words and phrases used in this section shall have the
39       same meaning as the words and phrases defined in section 1, and amend-
40       ments thereto.
41             (b) Any person engaged in the business of reselling tickets shall be
42       registered with the office of the secretary of state as a ticket broker. An
43       application for registration shall be submitted on a form provided by the

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  1       secretary of state and shall be accompanied by a registration fee.
  2             (c) No person shall be issued a certificate of registration under this
  3       section unless such person submits proof to the secretary that such
  4       person:
  5             (1) Engages in the resale of tickets on a regular and ongoing basis
  6       from one or more permanent or fixed locations or places of business
  7       within or outside the state of Kansas; and
  8             (2) has not been convicted of a violation of section 1, and amend-
  9       ments thereto, within the twelve-month period preceding the date of
10       application.
11             (d) Upon submission of proof, adequate to the secretary of state, that
12       an applicant complies with the provisions of subsection (c) and upon pay-
13       ment of the fees required by this section, the secretary shall issue a cer-
14       tificate of registration to such applicant.
15             (e) Any person registered as a ticket broker shall:
16             (1) Display the certificate of registration issued pursuant to this sec-
17       tion, or a duplicate provided by the secretary, at all locations within the
18       state of Kansas where such person engages in the sale of tickets;
19             (2) maintain a statewide toll-free number for consumer inquiries or
20       complaints; and
21             (3) adopt an internal code which establishes standards for profes-
22       sional conduct, advocates consumer protection and includes a standard
23       refund policy.
24             (f) Any certificate of registration issued pursuant to this section shall
25       expire one year from the date of issuance.
26             (g) The fee for the issuance of a certificate of registration, or any
27       renewal thereof, shall be $100. The fee for a duplicate certificate shall be
28       $10. Fees received pursuant to this section shall be remitted to the state
29       treasurer at least monthly. Upon receipt of each such remittance, the
30       state treasurer shall deposit the entire amount thereof in the state treasury
31       to the credit of the information and copy service fee fund.
32        Sec.  3. This act shall take effect and be in force from and after its
33       publication in the statute book.