Governor Gavin Newsom has signed new legislation, Assembly Bill 1349, aiming to curb the sale of “ghost tickets” in California’s live-event market. However, the governor noted reservations about the bill’s “uneven approach” and suggested more work is needed.

“Ghost tickets,” also known as speculative tickets, are concert and sports tickets that resellers list for sale before they actually possess them. The new law now prohibits sellers from advertising, listing, or selling tickets they do not have or are not legally entitled to receive, unless the event’s presenter or venue explicitly permits it. It also targets the use of software to bypass ticket limits and presale restrictions, and restricts websites designed to mimic authorized ticket sources. Sellers found in violation could face misdemeanor charges and penalties.

On X, Newsom stated, “Buying a ticket shouldn’t come with hidden risks or unfair practices.” Despite signing the bill, he issued a statement urging Assemblymember Isaac G. Bryan (D-Los Angeles), the bill’s author, to refine the law further. Newsom wrote that while there might be valid reasons for certain exemptions, “such a carve-out deserves further discussion.”

Newsom did not explicitly name which sellers he referred to. However, his concerns relate to amendments made late in the legislative session. Critics have pointed out that these changes effectively exempt major ticket resale platforms like StubHub from some of the new rules. While the final version excludes resale marketplaces from the definition of a speculative ticket seller, it still bars them from “knowingly or recklessly” facilitating such sales and requires them to take “reasonable measures” to prevent them. The law also includes exemptions for California professional sports teams and venues that manage their own ticket inventory.

The National Independent Venue Assn. (NIVA) initially supported AB 1349 but later urged Newsom to veto the amended bill. NIVA’s executive director, Stephen Parker, stated that the final version creates a private right of action for speculative ticket sales that applies to independent venues, festivals, and presenters, while explicitly exempting resale marketplaces. Parker remarked, “It puts the small businesses and nonprofits that put on shows every night at risk. And, it endangers fans’ economic well-being.”

When the bill was first introduced last year, Live Nation, the company behind Ticketmaster, supported it. StubHub, a major ticket reseller, initially lobbied against the measure. According to the nonprofit CalMatters, StubHub spent $4.4 million during the two-year legislative session lobbying on this bill and several others. StubHub ultimately supported the final version of the bill. Live Nation did not respond to a request for comment.

The issue of speculative tickets has become more prominent as ticket prices for live events continue to rise. California is now among other states, including Maryland, Minnesota, and Maine, that have enacted similar restrictions on speculative ticket sales. Lawmakers also considered a separate bill that would have capped resale ticket prices at no more than 10% above face value, but that measure stalled in the Senate Appropriations Committee in August.