Lawsuit Claims StubHub’s COVID-19 Refund Policy is Unlawful
StubHub has been refusing to refund ticket holders for events canceled due to the coronavirus outbreak. Now a lawsuit was filed by Matthew McMillan who says he purchased two tickets to a March 20, 2020 National Hockey League game between the Winnipeg Jets and the Minnesota Wild.
The plaintiff reportedly paid $120 per ticket for a total of $240. After the game was canceled when the NHL suspended its season on March 12, 2020, he contacted StubHub to request a refund but was denied. StubHub’s reasoning was that the game was postponed, not technically cancelled. However, the game was canceled in all likelihood, says McMillan. He states that the StubHub website has placed NHL games in “Events Under Review” as opposed to rescheduled, which effectively means they are canceled.
According to McMillan, the FanProtect guarantee that is offered by StuhHub was in effect until March 25, 2020. After that, StubHub sent an email to customers informing them that their refund policy had been suspended, as the previous practices were not sustainable due to the coronavirus outbreak. The lawsuit claims that the company is attempting to pass its own financial burden onto customers.
Lawsuit Details
The StubHub Ticket Refund Class Action Lawsuit is Matthew McMillan v. StubHub Inc., et al., Case No. 3:20-cv-00319, in the U.S. District Court for the Western District of Wisconsin.
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Although I have not checked, I suspect StubHub, like most internet merchants, requires any disputes to be arbitrated. If so, this lawsuit will probably be dismissed.
Yup. I just checked. No lawsuits, or class actions allowed. If you have a complaint, you need to arbitrate. If you tell them you want to arbitrate, they will likely give you a refund as it costs more to arbitrate. But, as a class action lawsuit, it should be a non-starter.
StubHub and Ticketmaster can play this game forever. Let’s say Elton John “postpones” his worldwide tour and years later, never gets around to playing those dates. Do they just hold the money in perpetuity?
Until the NHL, NBA and MLB officially cancel all or part of the season I think Stubhub has a legitimate position. We all expect the games to be canceled but that hasn’t yet occurred.