[KARAH RUCKER]

STUBHUB IS BEING ACCUSED OF ILLEGALLY MISLEADING CONSUMERS — ADDING SURPRISE FEES TO THE END OF A VERY LENGTHY CHECKOUT PROCESS — AND THE D.C. ATTORNEY GENERAL IS NOT GIVING THE ONLINE TICKETING COMPANY A FREE PASS.

IN AN ANNOUNCEMENT ABOUT HIS LAWSUIT FILED WEDNESDAY – ATTORNEY GENERAL BRIAN SCHWALB SAYS STUBHUB IS ENGAGING IN A SERIES OF “DECEPTIVE, MANIPULATIVE, AND UNFAIR PRACTICES.”

THE LAWSUIT SAYS STUBHUB FAILS TO PROVIDE CLEAR AND ACCURATE INFORMATION ON THE PURPOSE OF THE MANDATORY FEES IT TACKS ON TO AN ORDER OR REVEAL HOW THEY ARE CALCULATED. Stub Hub image

THE PRACTICE IS SOMETHING CALLED “DRIP PRICING” – WHEN A COMPANY ADVERTISES ONE PRICE BUT THEN THE CUSTOMER ENDS UP PAYING A HIGHER ONE – IN THIS CASE — DUE TO “FULFILLMENT AND SERVICE FEES” ADDED AT THE END OF THE LONG PURCHASE PROCESS.

SCHWALB SAYING OFTEN STUBHUB’S CUSTOMERS HAVE TO NAVIGATE THROUGH A DOZEN PAGES BEFORE THEY CHECKOUT – A PROCESS DOCUMENTED PAGE BY PAGE IN THE LAWSUIT. 

 AND TO GO WITH THE LENGTHY CHECKOUT PROCESS — A COUNTDOWN CLOCK WHICH THE ATTORNEY GENERAL SAYS CREATES A QUOTE “FALSE SENSE OF URGENCY.”

IN ANNOUNCING HIS LAWSUIT, SCHWALB SAYS, “FACED WITH THIS INFLATED TOTAL AND THE COUNTDOWN TIMER THREATENING TO MAKE THEM START THE WHOLE PROCESS OVER, CONSUMERS ARE PRESSURED INTO THE PURCHASE OUT OF FEAR THAT THEY RISK LOSING THE TICKETS.”

WITH HIS LAWSUIT — THE DC ATTORNEY GENERAL SEEKS AN END TO WHAT HE CALLS STUBHUB’S DECEPTIVE PRACTICES AND IS LOOKING FOR RESTITUTION FOR IMPACTED CONSUMERS. SCHWALB SAYING STUBHUB MADE 118 MILLION DOLLARS IN HIDDEN FEES TO D.C. CONSUMERS SINCE 2015 WHEN IT DROPPED ITS “MORE TRANSPARENT” “ALL-IN” PRICING MODEL AND ADOPTED THE “DRIP PRICING” TACTIC. 

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