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View Full Version : Judge decides Business is Legit


Fragmentsofme
11-25-2003, 02:39 PM
The Chicago Cubs won a lawsuit on Monday, fending off charges that the team illegally scalped tickets to its own games.


In her opinion, Judge Sophia Hall ruled that Wrigley Field Premium Ticket Services -- a ticket broker located around the corner from Wrigley Field and owned by the Tribune Company, which also owns the Cubs -- had "not violated the Ticket Scalping Act, the Consumer Fraud Act or the Deceptive Trade Act" in reselling what it claims are extra tickets to Cubs games, at prices well above face value.


The class-action lawsuit claimed that the tickets offered by Wrigley Field Premium Ticket Services were never offered to the public before being turned over to the ticket brokerage. That would violate a state ticket-scalping law that was put in place in 1935 and upheld as constitutional in the state supreme court in 1974.


Tribune attorney James Klenk had said that Wrigley Field Premium Ticket Services was a separate business from the Cubs' business and that the tickets were never offered to the public because they came from the team's allotment usually reserved for special guests. Klenk claimed that other ticket brokers were behind the class-action lawsuit, adding that one of the plaintiff's lawyers, Richard Hamid, is a licensed broker himself.


Hall wrote in her decision that it was clear that the Tribune Co. owned the Cubs and the ticket service, but that the ticket scalping law does not prevent such an alliance or prohibit business between a corporation and its affiliate.


"We're obviously very disappointed with the decision," Paul Bauch, the attorney representing the plaintiffs, told ESPN.com. "Now the Cubs can give 20,000 tickets a game to their own brokerage and this whole notion that they have to post the prices and sell at those prices has become completely meaningless."


Bauch said he now expects more teams that are successful at the box office to give this practice a try.


"I expect a lot more teams are going to jump on the bandwagon," said Bauch, whose clients can still appeal the decision. "Why not do it, if they can restrict the supply, drive up prices and sell them for more."


Darren Rovell, who covers sports business for ESPN.com, can be reached at darren.rovell@espn3.com

http://sports.espn.go.com/mlb/news/story?id=1670041

Wow, I didn't know that was legal. Scalping wasn't even legal in GA until a few years ago. Interesting stuff

rockin500
11-25-2003, 02:57 PM
yah, i saw that this morning in the news. It didnt really surprise me that the cubs won. I cant say i'm bothered by it like some media people are. based on the laws its legal, so if they want to do it, oh well.

PopTop
11-26-2003, 09:21 AM
Is the business legit? Probably so assuming all the i's were dotted and t's crossed in the paperwork ... Is it gutless on the part of The Trib and MLB? It sure is to me. :angry:

barzilla
11-26-2003, 12:07 PM
As I understand it, scalping varies from state to state. I believe it is illegal to sell tickets above face value in Texas, but I know someone who sold their Game 7 tickets to the 1993 NBA Finals for enough money to pay for his 1994-1995 season tickets.

If this is the judge's decision then that is fine. I'm not going to go frothing at the mouth over this except to say that this looks the Cubs look really bad. After all, how many times have we seen them pinch pennies when it comes to the team's payroll. Up until two years ago this club was a mid-market team with nationally broadcast games everyday, sellouts or close to sellouts, and perhaps the most recognizeable logo in the NL. I just remember the outcry against the putting up of a solid fence to block the apartment complex.

Gordon Gecko (Michael Douglass) in Wall Street said "Greed is good." I guess so, but baseball has a major public perception issue to work on. They milk every damn dime out of the public and most of them are in slash and burn mode.

PissedPrincess
11-26-2003, 12:22 PM
Scalping laws are different in every state. In Mass, you can only re-sell for up to 10% over face value. Which is a joke, because if you call a ticket Agency for a box seat, face value $70, it's $200.

Scalping is a HUGE problem in Boston. HUGE. They did an undercover scam following the scalpers around Fenway. A gang of about 30 all felons for serios crimes, openly ply their trade in front of cops.

It's awful. I'm mad at the Sox, and mad at the Cubs.:angry:

PopTop
11-26-2003, 01:18 PM
Y'all are correct about the state-to-state variance, and I'm not about to guess what the laws are in Illinois ... Texas laws used to prohibit even giving away tickets within X-feet of the actual stadium or arena.

I don't have a major problem with scalping; if someone wants to try and resell their tix for a zillion dollars, so be it ... Where I had a problem with his deal in Chicago is the fact the Cubs gave their own outfit a head start on getting the tickets in the first place ... I just think you should sell individual game tickets to everyone at the same time, at least give fans an equal chance to get in line and have a crack at those ducats.

rockin500
11-26-2003, 08:07 PM
just so you know, the other brokers are just as bad. and some of the plaintiffs in the suit.

just a FYI