KEY POINTS:
Proposed laws will see ticket scalping banned in a move the Government says will make New Zealand a more attractive venue for international sporting tournaments.
If passed, the laws will outlaw the on-selling of tickets for profit - a common occurrence in everything from test matches to concerts.
Tickets for Lions-All Blacks test matches last year fetched two to three times their value on auction site Trade Me, despite threats from the Rugby Union to confiscate scalped tickets.
Economic Development Minister Trevor Mallard said the proposal applied mainly to sporting events such as the 2011 Rugby World Cup and the 2015 Cricket World Cup but legislators would consider other definitions of "major events" not linked to sports.
Last year, black-market tickets for U2 concerts fetched up to eight times their face value before the Irish band announced it was postponing its tour.
Mr Mallard said the proposed ban on scalping would be included in a bill that would also control ambush marketing. He said the bill would protect event sponsors from individuals or businesses seeking to make money by mass-buying tickets to an event with which they had no formal association.
"When there is bulk buying of tickets to such events simply for the purpose of profiteering, scalping is a rip-off that could deny many people the opportunity to see the event."
The proposed penalties includes fines, the right to require the illegal profiteer to hand over profits to the ticket issuer, and the right to obtain injunctions to halt on-line trading.
Germany introduced scalping controls at this year's Soccer World Cup. More than a dozen American states have banned scalping, as have some states in Australia. In the United Kingdom, it is a criminal offence to scalp football tickets, although it is still a common practice.
Trade Me business manager Mike O'Donnell had yet to see the proposed legislation last night.
"Certainly we'd be interested in any proposed measures to legislate in that area. If the law changes ... that would change the way we implement the business rules on our site."
New Zealand Rugby Union deputy chief executive Steve Tew welcomed the Government move to legislate against scalpers.
"We've obviously taken a stand against scalping during the past three or four years. We made endeavours during the Lions tour last year to try and take the people out of the game who were making a profit from buying up tickets that genuine rugby fans should be getting and then taking money away from the game."
The union had made it known that terms and conditions on its tickets to prevent scalping could lead to people buying from unauthorised sellers ending up with an invalid ticket.
Mr Tew said legislation would help organisers protect their intellectual property and the integrity of events.
JUST THE TICKET
The proposed new law means:
* It will be illegal to sell a ticket for more than its face value. Tickets can be on-sold, as long as there is no profit.
* It will be unlawful to give away tickets as part of a promotion package in a manner which suggests the company is an authorised sponsor (ambush marketing by association).