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Friday, May 17, 2024

Lawsuit questions how StubHub estimates estimated fees

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L. Timothy Fisher | bursor.com

LOS ANGELES (Legal Newsline) - Class action lawyers say they've tested StubHub's method for figuring out "estimated" fees on tickets and discovered the company shows the same discrepancy every time.

A class action lawsuit was filed April 22 in Los Angeles federal court against StubHub, Inc. by plaintiff Brian Hong, alleging that StubHub intentionally misleads customers about ticket prices through its "Estimated Fees Filter" feature.

According to the complaint, the online ticket marketplace consistently understates estimated fees, resulting in higher-than-expected costs at checkout. After conducting more than 100 ticket selection experiments on StubHub.com, Hong and his counsel found that StubHub invariably understates the total cost of every single ticket quoted at or above $20 by an exact amount of $3 per ticket.

The lawsuit accuses StubHub of violating several laws including California's Ticket Sale Law, Unfair Competition Law, Consumers Legal Remedies Act, and False Advertising Law. It also charges the company with fraud and unjust enrichment.

L. Timothy Fisher of Bursor & Fisher represents the plaintiff.

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