Apparently, the attorneys general of New York and New Jersey (that is to say, the chief legal advisers to the states) have nevertheless launched their own investigation into Fifa’s practice of price fixing for ticket prices. In fact, the New Jersey attorney general spoke of an apparent process of “confusion, fake scarcity and impossibly high prices”.
The fact is that in many countries there are regulations about the prices that can be charged to customers for goods and services, and the issue of articficially setting prices high with a thought of reducing them later, and of selling people one item (such as a ticket for a game) and then changing it later (by moving the recipient to another part of the ground) is illegal.
I have often had the view that Fifa of course are well known for believing that as a multi-national organisation, such rules don’t apply to it, but in fact they do, as Fifa is now finding out. Indeed Fifa has been subpoenaed to provide information by the New York attorney general and the New York City Department of Consumer and Worker Protection. By and large, these are not organisations to be messed with, and Fifa’s standard answer (“We are an international body answerable only to ourselves”) doesn’t cut much ice in New York. Nor does the claim of being a pal of the president.
In fact, the actions of Fifa are being described as “blatantly deceptive conduct”. And aside from its general behaviour Fifa is being asked to explain why ticket prices are higher than they ever hve been before, and (as we have reported previously) those buying tickets are finding prices and locations of seats in the ground are changing constantly.
It is said that variable pricing has put up the cost of tickets by a third on average, AFTER the ticket has been bought.
Meanwhile, many hotel chains are reporting very poor sales for rooms during the event, probably because Fifa has constantly talked up an enormous demand for tickets, which simply is not there. Many tickets are still available even though the event starts in just two weeks, although if you are thinking of buying a ticket, one might suggest a little extra caution might be in order.
My own limited experience suggests that any breaches of consumer protection law are taken very seriously in America, and it is possible that legal bodies in the USA will not back away from pursuing Fifa. It is reported that legal authorities in California and New York are both taking action and other state governors have spoken out about high prices and bad selling practices.
Fifa of course, following a model seen all too often in football, will not take responsibility. Expect to see the use of “caveat emptor” any time soon (although I am not sure that phrase is actually used in the USA ).