Texas Attorney General Ken Paxton has opened an investigation as the proposed class action over undelivered World Cup tickets adds regulatory pressure on the resale platform.
StubHub Inc is facing mounting scrutiny over undelivered World Cup tickets, with Texas Attorney General Ken Paxton announcing an investigation after dozens of complaints that tickets purchased on the resale platform never arrived. The move follows a proposed class action filed in Manhattan federal court seeking at least $5 million on behalf of thousands of U.S. buyers who say they paid for tickets that were never delivered. Reuters last month spoke to fans who said they bought tickets months in advance but learned only hours before matches that the tickets could not be transferred. Some buyers said StubHub's FanProtect Guarantee, which promised replacement tickets at no extra cost, was not honored. StubHub said it was working to resolve ticket transfer issues and get every fan into their match, and said its guarantee provides replacement tickets or a full refund when problems arise. The company has blamed FIFA's ticketing infrastructure, while FIFA has said its system has functioned reliably. The investigation carries added significance because Dallas and Houston are among the Texas host cities for the tournament, which spans Canada, Mexico and the United States.