Following Suspensions and Cancellations of Major Sporting and Concert Events, Stubhub Seeks Bailout

As stadiums and arenas sit empty, sales are virtually dead on resale sites like Stubhub and so they are being asked to refund customers for canceled events. The problem is, they can’t get their own money back on the tickets they bought directly from sports leagues and Ticketmaster.

Ticket brokers push for a bailout amid Stubhub layoffs https://t.co/xLyxUU6ssg

— billboard (@billboard) March 27, 2020

That’s because teams and promoters are trying to reschedule games, postpone concerts, and do everything they can to avoid paying back tens of millions of dollars worth of tickets. The reluctance to issue refunds is causing a liquidity crisis for brokers and resale sites like Stubhub, which has tightened payout rules and is trying to claw back millions already paid to brokers to help process refunds and exchanges. Earlier this week Stubhub announced it was temporarily furloughing two-thirds of its employees, about 300 people.

“Wow that’s rich. I don’t put them on my list of people who are in great need. It would probably be good for our business if they went out of business,” says Michael Marion with the Simmons Bank Arena in Little Rock, Arkansas.

“Ticket brokers will do anything to protect their losses, even if it hurts the business long term. That will anger the politicians and make any kind of aid unpalatable,” said one secondary market consolidator who wished to remain anonymous.

Breaking news source on Twitter, Breaking911, summed the situation up best right now in regards to the sports world. WEEKEND SPORTS UPDATE:

WEEKEND SPORTS UPDATE:

— Breaking911 (@Breaking911) March 29, 2020