Judge Slaps Injunction on Alleged Roboscalpers RMG Tech: Ticketmaster Sounds Stoked

Categories: Business

robosclaper
Photo Courtesy of the East Bay Express

Ticketmaster just gave big ups to a Pennsylvania judge that issued an injunction that attempts to stop PA.-based RMG Tech from involvement with "roboscalping" -- using automated scalper programs to siphon up tickets for wanted concerts. From the PR:


RMG’s software allows its clients to buy tickets from Ticketmaster faster than Ticketmaster’s human customers can. RMG’s clients are ticket brokers or suppliers to ticket brokers who use RMG’s software to buy tickets they can resell to the public at higher prices. ... These programs have, in effect, allowed ticket brokers to cut to the front of the line and deprive consumers of fair access to tickets.

We've requested the Ticketmaster lawsuit and are planning interviews.
Full release after the jump:

FEDERAL COURT GRANTS TICKETMASTER’S REQUEST FOR PRELIMINARY INJUNCTION BARRING RMG TECHNOLOGIES FROM FACILITATING ACCESS TO TICKETMASTER’S TICKETING SYSTEM

* * *

Ticketmaster Hails Ruling Protecting Consumers’ Rights To Fair And Equal Access To Event Tickets

WEST HOLLYWOOD, CA – October 15, 2007 –A federal judge in Los Angeles has ordered a Pennsylvania company to stop creating, trafficking in, or facilitating the use of computer programs that allow its clients to circumvent the protection systems in the ticketmaster.com web site. These programs have, in effect, allowed ticket brokers to cut to the front of the line and deprive consumers of fair access to tickets.

The Order issued today by Judge Audrey B. Collins also bars RMG Technologies, Inc., of Pittsburgh, Pennsylvania, from using information gained from access of Ticketmaster’s website to create computer programs designed to circumvent Ticketmaster’s copy protection and website regulation systems. RMG’s software allows its clients to buy tickets from Ticketmaster faster than Ticketmaster’s human customers can. RMG’s clients are ticket brokers or suppliers to ticket brokers who use RMG’s software to buy tickets they can resell to the public at higher prices. Such actions have blocked consumers from getting those tickets at the “face” price shown on the ticket.

Ticketmaster hailed Judge Collins' ruling as a major victory for the ticketing company and for consumers. Ticketmaster President and CEO Sean Moriarty commented after the ruling, "Ticketmaster is committed to ensuring that consumers have fair and equitable access to tickets. Not only are we doing everything possible to create a secure and positive experience for ticket purchasers, we are making sure that the public knows it can come to the Ticketmaster web site and access the best available seats at the prices set by the event provider. We will not allow others to illegally divert tickets away from fans. We recognize and respect the necessity and reality of a vibrant resale market, but we will not tolerate those who seek an unfair advantage through the use of automated programs."

Ticketmaster also indicated that Judge Collins' issuing of the preliminary injunction against RMG was only the first step in its legal efforts against those using automated programs to illegally access tickets.

"We are pleased with the court’s ruling today, and our legal efforts are not stopping here," said Ed Weiss, Ticketmaster General Counsel and a former federal prosecutor. "Anyone using these programs and any company supplying them should know that we and the entire live entertainment industry will not stand for it. We fully support the legitimate reselling of tickets, but those who refuse to follow the rules will be hearing from us."

About Ticketmaster:

Ticketmaster is the world's leading ticketing company, operating in 20 global markets, providing ticket sales, ticket resale services, marketing and distribution through www.ticketmaster.com, one of the largest e-commerce sites on the Internet; approximately 6,500 retail outlets; and 20 worldwide call centers. Ticketmaster celebrated its 30th anniversary in 2006 and currently serves more than 9,000 clients worldwide across multiple event categories, providing exclusive ticketing services for hundreds of leading arenas, stadiums, performing arts venues, museums, and theaters. In 2006, the company sold more than 128 million tickets valued at over $7 billion on behalf of its clients. Ticketmaster is headquartered in West Hollywood, California and is an operating business of IAC (NASDAQ: IACI).

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