Customers are getting closer to permanently bidding farewell to additional unstated garbage fees.
The Federal Trade Commission said on Tuesday that it had finalized a regulation requiring companies to provide customers with the full cost, including fees, of any tickets to live events or short-term housing.
The purpose of the order is to stop bait-and-switch pricing, which the agency referred to as “deceptive” as it leaves out required fees and other expenses from quoted prices.
According to officials, the law might help consumers avoid wasting up to 53 million hours annually looking out the whole cost of their tickets and accommodations.
FTC Chair Lina Khan stated in a press statement that people should be informed upfront of the amount they are being asked to pay, without fear of being hit with enigmatic fees that they haven’t budgeted for and are unable to avoid.
In October 2023, the FTC proposed the rule. A vote of 4 to 1 approved the final rule, which will take effect in 120 days.
Companies’ advertising and pricing information must most clearly disclose the product’s complete cost.
The rule does not restrict the amount of fees that companies can charge, nor does it forbid them from adding costs.
The decision coincides with increased attempts in recent years to increase price transparency in the ticketing business after Taylor Swift’s Eras Tour was announced in 2022 and fans found it difficult to buy tickets.
The Transparency in Charges for Key Events Ticketing, or TICKET, Act was passed by the House earlier this year. The measure would mandate that ticket vendors reveal the total cost of a ticket, including any applicable fees. The Senate has not yet cast a vote on the TICKET Act.
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