StubHub is encountering significant backlash due to numerous complaints from customers, particularly concerning World Cup tickets. A proposed class-action lawsuit filed in federal court in Manhattan alleges that StubHub sold hundreds of World Cup resale tickets it could not deliver. While StubHub has attributed some World Cup disruptions to issues with FIFA’s mobile-ticket app, the problems extend beyond this event, with dozens of reported ticketing failures across various events.
Over 50 StubHub buyers have shared experiences of being denied entry despite valid tickets, receiving inferior replacements, or enduring lengthy battles for promised refunds. Many reported resolving issues only after hiring lawyers or escalating complaints to the press. StubHub's Better Business Bureau profile shows 11,338 complaints over the past three years, with a "significant spike in complaints" since early 2024, citing extensively delayed refund requests.
Despite the issues, a StubHub spokesperson stated that approximately 1% of orders result in a refund, with most processed within a week. However, the company faces criticism not just for occasional ticket problems but for its post-issue handling. Critics point out that StubHub can profit even on canceled transactions by charging sellers a 100% fine for undelivered tickets. Additionally, the company is accused of earning interest on customer funds held for extended periods before refunds are issued, with one report indicating $41 million in interest earned over the previous year.
The ongoing complaints have highlighted a broader issue with the company's customer service and dispute resolution processes. Some customers, like Jeff Ripley, are pursuing arbitration, arguing for more than just the face value of canceled tickets due to the financial implications of held funds. The situation has led to calls for greater accountability from ticket resale platforms that operate with customer funds, resembling financial institutions.
