StubHub and CEO Eric Baker are facing a $5-million class-action lawsuit in the United States concerning their association with large-scale scalpers, as revealed by CBC News. Filed by New York ticket buyer Louis Sanquini, the lawsuit alleges deceptive practices and fraudulent misrepresentation by StubHub, which presents itself as a “marketplace for fans to buy and sell tickets.”
The lawsuit, initiated in the Southern District of New York, claims that consumers were misled about StubHub’s role and believed it to be a neutral platform. Lead counsel Kevin Steinberg emphasized the importance of honesty and transparency, stating that consumers deserve accurate information.
Sanquini asserts that had he known about the CEO’s financial interests and the company’s collaboration with professional resellers, he would not have used StubHub to purchase tickets for events such as a rock band Kiss concert in 2023 or a New York Red Bulls-New York City FC Major League Soccer match in 2024.
StubHub has been under scrutiny for canceling numerous World Cup ticket orders despite its “FanProtect Guarantee,” leading to complaints and investigations by regulatory authorities in the U.S. and Canada. Customers have expressed disappointment and financial losses due to missing out on highly anticipated World Cup matches after being assured of refunds or replacement tickets.
The allegations against StubHub and Eric Baker have not yet been tested in court. The company declined to comment on the legal matter in an email response to CBC.
