StubHub Faces Class Action Over CEO's Undisclosed Ties to Ticket Reselling Fund

StubHub is now facing a class action lawsuit following reports that its chief executive, Eric Baker, holds a stake in a ticket reselling operation that has pulled in millions of dollars through the very platform he runs.

The complaint, filed Monday, centers on Baker's ownership interest in Andro Capital, a fund focused on reselling tickets on the secondary market. StubHub had actually disclosed this relationship to regulators ahead of its $758 million initial public offering in September 2025, but the arrangement only became broadly known last Friday, after CBC News published a report examining those IPO filings in detail.

According to the disclosures StubHub made to the Securities and Exchange Commission, Baker's fund has been selling tickets through the platform since 2008 and has generated more than $5 million in proceeds since 2022 alone. The filings, along with CBC's reporting, also point to a referral agreement between StubHub and Colloquy Capital, an affiliate of Andro Capital.

The new lawsuit doesn't dispute that StubHub told regulators about the arrangement. Its central argument is that the company never shared that information with everyday customers buying tickets on the site. The class action seeks damages tied to claims of fraud, unjust enrichment, and violations of consumer protection statutes.

Plaintiff Louis Sanquini says that when he used StubHub to buy tickets to a Kiss concert at Madison Square Garden in 2023 and a New York Red Bulls match in 2024, the platform presented itself as a marketplace simply linking independent buyers and sellers, with no mention of leadership's financial ties to major resellers operating on the same site.

Sanquini’s complaint argues that he and other buyers believed they were purchasing tickets from individual fans through a neutral marketplace, when in reality StubHub’s leadership held a direct financial interest in large-scale resale operations and the company itself helped finance those operations, supplying much of the platform’s ticket inventory. The suit contends that failing to disclose that conflict of interest while marketing StubHub as a fan-to-fan marketplace amounted to deception.

In a statement Monday, an attorney for the proposed class framed the case as one centered on transparency and consumer trust, arguing that companies should be held to their public representations and that customers deserve honest, accurate information when making purchasing decisions, particularly on platforms marketed as neutral marketplaces. The attorney maintained that the facts warrant careful judicial scrutiny.

StubHub had previously addressed the underlying issue in a statement to CBC ahead of Friday's report, stating that Baker's ownership stake in and involvement with Andro Capital had already been fully disclosed through the company’s public SEC filings.

This isn't the only legal trouble StubHub has faced since going public. The company listed on the New York Stock Exchange in September 2025 at $23.50 per share, but the stock has slid since then, prompting a separate lawsuit from investors who allege the company concealed cash flow problems in the lead-up to its IPO. StubHub has denied those allegations as well, maintaining that its regulatory filings included detailed disclosures addressing the relevant aspects of its business operations.

Combined, the two lawsuits leave StubHub confronting scrutiny from both everyday customers and shareholders over how forthcoming the company has been about its internal finances and business relationships.

The class action is looking to represent a nationwide class of ticket buyers who purchased through StubHub without knowledge of Baker's financial stake in the resale side of the business.