FTC Sues Ticket Reseller for Violating Purchase Limits on Taylor Swift's Eras Tour Tickets

The Federal Trade Commission (FTC) has initiated legal action against Maryland-based ticket broker Key Investment Group, accusing the company of employing deceptive methods to circumvent ticket purchase limits for high-demand events, including Taylor Swift's Eras Tour. The lawsuit, filed in federal court in Maryland, alleges that between November 2022 and December 2023, Key Investment Group used thousands of fictitious Ticketmaster accounts, virtual credit card numbers, and spoofed IP addresses to acquire over 379,000 tickets, spending nearly $57 million and reselling them for approximately $64 million.

In one instance, the company allegedly used 49 different accounts to purchase 273 tickets for a single Taylor Swift concert, significantly exceeding the event's six-ticket-per-customer limit. These tickets were then resold at a substantial markup.

FTC Chairman Andrew N. Ferguson stated,

Key Investment Group, operating under names such as Epic Seats and Totally Tix, denies any wrongdoing. The company contends that the FTC is misapplying the Better Online Ticket Sales (BOTS) Act, asserting that their practices are lawful and industry-standard. In July, the company filed a lawsuit against the FTC to block the agency's investigation, arguing that their ticket purchases did not involve automated software or bots.

This legal action follows President Donald Trump's March executive order aimed at curbing exploitative ticket reselling practices. The order directs the FTC to ensure price transparency and to enforce laws against scalpers, particularly emphasizing stricter action under the BOTS Act.