Ticket reseller bought over 2,000 Taylor Swift tickets, now faces federal lawsuit
A major ticket reseller is facing a federal lawsuit after allegedly snapping up over 2,000 Taylor Swift Eras Tour tickets using deceptive tactics.
The U.S. Federal Trade Commission (FTC) has filed a lawsuit against Key Investment Group, a ticket brokerage accused of using deceptive tactics to acquire and resell thousands of high-demand concert tickets. According to the complaint, the company bypassed ticket purchase limits for major events, including Taylor Swift’s Eras Tour, in violation of federal law.
Between March and August 2023, Key Investment Group allegedly bought 2,280 tickets for 38 Eras Tour shows. These purchases totaled around $745,000, but the tickets were later resold for close to $1.9 million, netting the company roughly $1.2 million in profit. The FTC argues this conduct directly undermined fans’ ability to purchase tickets at face value.
The lawsuit claims the company used an elaborate system to circumvent ticketing safeguards. This included creating thousands of fake Ticketmaster accounts, employing spoofed IP addresses, and using SIM card banks to intercept verification texts. In some cases, the company allegedly deployed dozens of accounts to buy hundreds of tickets for a single concert, far above the standard six-ticket-per-person cap.
The FTC says this was not an isolated incident. From November 2022 through December 2023, Key Investment Group allegedly purchased 379,776 tickets worth about $57 million, reselling them for nearly $64 million. These actions, regulators say, violate the Better Online Ticket Sales (BOTS) Act, a law passed in 2016 to prevent the use of software or other methods to evade ticket limits, and the FTC Act, which prohibits deceptive practices in commerce. Each violation of the BOTS Act carries a potential fine of up to $16,000.
FTC Chair Andrew Ferguson called the case a “clear example of unfair practices” that harm fans and distort the ticketing market. “Brokers who evade limits take tickets away from honest consumers and resell them at inflated prices,” Ferguson said.
Key Investment Group denies the allegations, arguing that it does not use bots and relies on human buyers. The company claims the FTC is misinterpreting the law and attempting to dismantle the secondary ticket market. It has already filed its own lawsuit against the FTC, seeking a ruling that would block the agency’s enforcement approach.
Taylor Swift’s Eras Tour became one of the biggest live music events in history, with overwhelming demand and widespread frustration among fans over ticket availability. The controversy has fueled public outcry, congressional hearings, and calls for stronger ticketing regulations. This lawsuit represents one of the most significant enforcement actions since the BOTS Act was enacted, signaling a potential crackdown on large-scale ticket resellers.
The case is ongoing, and its outcome could reshape the secondary ticket market. If the FTC prevails, it may set a precedent for tougher oversight and stricter penalties for brokers accused of using aggressive or deceptive tactics.