The District of Columbia is urging a federal judge to reject an attempt by SeatGeek, Vivid Seats and two other ticket resale platforms to block a new law limiting ticket markups to 10%, arguing that the companies' financial concerns do not justify suspending consumer protections.
In a brief filed Monday, November 9, 2026, D.C. attorneys defended the Restricting Egregious Scalping Against Live Entertainment (RESALE) Act against a constitutional challenge brought by the Ticket Policy Forum and its members SeatGeek, Vivid Seats, TickPick and Gametime. The law's ticketing requirements are scheduled to take effect January 1, 2027, with a hearing on the companies' request for an injunction set for November 19.
Under the law, tickets cannot be resold for more than 10% above their original purchase price, including fees and taxes. Resale marketplaces may charge a separate service fee of up to 10% of that original price. The measure also requires sellers to disclose a ticket's original cost so buyers can compare it with the resale price.
The companies sued in October, arguing that the restrictions violate constitutional protections and would force them to operate at a loss. They maintain that the price limits could push transactions into unregulated markets, where consumers would face greater risks of fraud and inflated prices.
Their challenge also argues that D.C. is attempting to regulate transactions occurring outside its borders, violating constitutional limits on interstate commerce. The platforms contend that the required disclosure of original ticket prices violates the First Amendment by compelling them to publish information they cannot always independently verify.
D.C. disputes those arguments, maintaining that the law regulates ticket sales connected to events within the District and serves a legitimate consumer protection purpose. Its attorneys argue that disclosing the original purchase price gives buyers information needed to evaluate resale offers.
The District also rejected the companies' claims of irreparable financial harm, arguing that compliance costs and potential revenue losses in one city would be limited compared with their nationwide operations. Government attorneys said those concerns do not outweigh the public interest in enforcing a law adopted to address rising ticket prices.
In its filing, the District accused the platforms of attempting to overturn through litigation a policy they unsuccessfully opposed during the legislative process. Its lawyers argued that the companies had presented their objections to lawmakers and were now seeking to prevent the measure from taking effect.
D.C. further contends that blocking government enforcement would not necessarily shield the companies from legal action by individual consumers. Violations of the RESALE Act may also give rise to private claims under the District's consumer protection laws, an issue its attorneys say undermines the companies' request for an injunction.
The Ticket Policy Forum maintains that the restrictions would damage legitimate resale businesses and push more transactions toward unauthorized sellers. The trade group has urged the court to block enforcement while its constitutional challenge proceeds.
The dispute comes amid broader efforts to limit ticket scalping across the country. Similar proposals have faced opposition from resale companies, including a California bill to cap concert ticket resale prices that failed to advance in August.
U.S. District Judge Carl Nichols is scheduled to hear arguments on the injunction request November 19, ahead of the law's January 2027 enforcement date.
