From Paper Tickets to Courtrooms: The Ticket Resale Market’s Long Fight with Fraud

By: Brittany Towner

It’s undeniable that numerous problems, from endless Ticketmaster queues to astronomical resale fees, plague the modern ticket market.[1] Yet, one of the most persistent problems predates digital ticketing altogether: counterfeit tickets.[2] As ticketing platforms transitioned to mobile barcodes and QR codes, many assumed that fraudulent tickets would be a thing of the past.[3] However, fraudulent ticket technology developed alongside it.[4] The history of digital tickets and counterfeiting suggests that technological innovations and safeguards alone are insufficient. Therefore, it may be time for courts to play a role in regulating the resale infrastructure that enables fraud.

For much of the twentieth century, when you wanted to attend an event, purchasing a ticket required physically going to a venue’s box office or an authorized seller.[5] For high-demand events, fans often camped out for hours, sometimes even days, to secure an ideal spot in line.[6] Once purchased, an event goer would receive a paper ticket with the event details, including seat information, date, time, and occasionally a simple watermark.[7] At the event, an attendant would inspect the ticket and grant entry.

Counterfeiters found ways to duplicate these paper tickets and sold them outside the event or through other means.[8] In response, ticket issuers introduced methods to mitigate the fakes. They introduced sophisticated watermarks, holograms, serial numbers, and special paper.[9] Cities tried to restrict curb resale by enacting ordinances limiting how close a reseller could be to a venue.[10] The most significant innovative attempt to validate paper tickets was the introduction of barcodes.[11]

As technology advanced, ticketing platforms migrated online. Consumers could purchase and print their tickets at home or scan them directly from their phones at the venue.[12] However, resellers also migrated online. New companies emerged, cleverly creating resale websites for fans to post their tickets.[13] However, not just fans were on these websites.[14] People soon realized they could post the same ticket PDF multiple times on various resale websites.[15]

Ticketing companies have quickly adapted. They created their own resale markets with verified tickets and implemented safeguards such as rotating barcodes and live QR codes.[16] However, many venues lack the infrastructure to implement dynamic barcodes effectively.[17] Resale websites are appealing to consumers because they appear to offer lower prices on these events.[18] Even with these safeguards, workarounds continue to emerge. “Resellers” quickly learned how to reverse-engineer the dynamic barcodes, generate tickets identical to Ticketmaster and AXS, and mass-sell fraudulent tickets.[19]

A recent example shows how ticketing platforms are trying to combat the problem. In a newly filed lawsuit, AXS Group, LLC (“AXS”), a major ticketing platform for live entertainment and sporting events, filed a claim against SecureMyPass.com (“SMP”). AXS claims that SMP, a third-party ticket platform, is designed to create and distribute fake tickets.[20] AXS alleges SMP’s platform enables brokers and resellers to duplicate AXS’s proprietary “AXS Mobile ID” tickets, including the use of AXS trademarks, layouts, watermarks, and QR codes.[21] These tickets led customers to believe they had purchased a valid AXS ticket, only to be denied entry at the event entrance.[22]

Throughout the complaint, AXS explains the multiple security and authentication measures it uses to ensure ticket validity, including unique ticket identifiers, encrypted, rotating QR codes, and ticket delivery exclusively via the AXS mobile app.[23] AXS alleges that SMP bypasses these processes by generating fake tickets that replicate authentic mobile tickets but are not delivered through the app; instead, the ticket holder is directed to securemypass.com.[24] These tickets are not linked to a purchaser’s AXS account, allowing resellers to sell the same ticket to multiple buyers or even create tickets with non-existent sections.[25]

The complaint alleges that SMP’s conduct has harmed consumers nationwide. These include denying entry to events at venues such as Crypto.com Arena, the Greek Theatre, Red Rocks Amphitheater, and NHL arenas. AXS also claims reputational harm because confused consumers direct their anger at AXS for the fraudulent tickets.[26] While AXS warns consumers to purchase tickets only through its marketplace, fans can still find tickets to AXS’ exclusive venues on various resale websites.[27] The complaint includes multiple incidents where consumers were denied entry, removed after entry, or denied access to premium seating and benefits associated with genuine AXS tickets.[28] AXS further alleges that SMP has admitted in its FAQs that entry is not guaranteed at certain venues known to block SMP-generated tickets.[29]

AXS asserts seven causes of action: (1) federal trademark counterfeiting under the Lanham Act; (2) federal trademark infringement; (3) federal false designation of origin and unfair competition; (4) common-law trademark infringement under California law; (5) common-law false designation of origin and unfair competition; (6) unfair competition under California’s Unfair Competition Law (Bus. & Prof. Code 17200); and (7) breach of contract, based on SMP’s alleged violation of AXS’s Terms of Use, which prohibits commercial use of AXS trademarks and deceptive conduct suggesting affiliation with AXS.[30] It is seeking a permanent injunction and damages against SMP.[31]

This is not the first time AXS has pursued litigation over this conduct. In 2024, AXS brought a similar action against five defendants alleging the same causes of action.[32] That case was dismissed before reaching the merits[33], leaving uncertainty on how a court would have evaluated the claims. These lawsuits indicate a new approach to combating fraudulent tickets that technological innovations have not overcome, establishing a legal framework to assist in policing the infrastructure that enables mass digital counterfeiting. While we await the outcome of this litigation, the best we can hope for is that the court can step in and provide long-needed protection for consumers against counterfeit tickets.


[1] See Moises Mendez II, Why Everyone’s Mad at Ticketmaster Right Now, Time (Aug. 18, 2022, 12:16 MT), https://time.com/6207167/ticketmaster-ticket-prices-expensive-backlash/; Gabrielle Gonzales, A Glitch or the Start of a Great War? Taylor Swift Fans Sue Ticketmaster After Eras Tour Pre-Sale,Syracuse L. Rev. (Dec. 15, 2022), https://lawreview.syr.edu/a-glitch-or-the-start-of-a-great-war-taylor-swift-fans-sue-ticketmaster-after-eras-tour-pre-sale/.

[2] Paul Mueller, Digital ticketing was supposed to stop fraud, but ticket scams have gotten worse – just ask Taylor Swift, Fast Company (Jan. 10, 2026), https://www.fastcompany.com/91471653/digital-ticketing-was-supposed-to-stop-fraud-but-ticket-scams-have-gotten-worse-just-ask-taylor-swift.

[3] Id.

[4] Id.

[5] The Evolution of Sports Ticketing: A Dive Into the Future, Hype Sports Innovation (July 26, 2023), https://www.hypesportsinnovation.com/the-evolution-of-sports-ticketing-a-dive-into-the-future/.

[6] Id.

[7] Jordan Westlund, The Evolution of Event Ticketing: From Paper to Digital, Afton Tickets https://blog.aftontickets.com/the-evolution-of-event-ticketing-from-paper-to-digital/ (last visited Feb. 7, 2026).

[8] Harmon Leon, I Was the King of Counterfeit Concert Tickets, MEL Magazine (Mar. 28, 2022), https://melmagazine.com/en-us/story/counterfeit-concert-tickets.

[9] A Brief History of Live Event Ticketing, Crowd Work Blog (Jan. 16, 2023), https://blog.crowdwork.com/a-brief-history-of-live-event-ticketing/.

[10] See Joe Martin, In Ticket scalping, laws of supply and demand play out near venues, Cronkite News (April 9, 2014), https://cronkitenewsonline.com/2014/04/15894/index.html.

[11] Leon supra note 8.

[12] The Evolution of Sports Ticketing: A Dive Into the Future supra note 5.

[13] How StubHub Was Born – and Why It Still Matters 25 Years Later, StubHub Newsroom (Aug. 8, 2025), https://newsroom.stubhub.com/2025/08/08/how-stubhub-was-born/.

[14] Byard Duncan, “How is this legal?” Legions of Fans Say the Secondary Ticket Market is Rigged Against Them., Reveal News (March 8, 2021), https://revealnews.org/article/how-is-this-legal/.

[15] Nicole Spector, Watch Out for These 4 Ticketmaster and Stubhub Scams – and Know How to Avoid Them, Yahoo! finance (Aug. 18, 2023), https://finance.yahoo.com/news/watch-4-ticketmaster-stubhub-scams-150009513.html.

[16] Anti-Fraud Ticketing in Festival Fields: Timed Barcodes, Device Fingerprinting, and Offline Scanners, Ticket Fairy (Aug. 24, 2025), https://www.ticketfairy.com/blog/anti-fraud-ticketing-in-festival-fields-timed-barcodes-device-fingerprinting-and-offline-scanners.

[17] Id.

[18] Mendez supra note 1.

[19] Jason Koebler, Scalpers Work With Hackers to Liberate Ticketmaster’s ‘Non-Transferable’ Tickets, 404 Media (July 8, 2024, 10:25 AM), https://www.ticketfairy.com/blog/anti-fraud-ticketing-in-festival-fields-timed-barcodes-device-fingerprinting-and-offline-scanners.

[20] Complaint at 1, AXS Group, LLC v. SECUREMYTICKETS.com, No. 2:26-cv-00361 (C.D. Cal filed Jan. 16, 2026) [hereinafter Complaint].

[21] Id. at 8-19.

[22] Id. at 13-18.

[23] Id. at 4-6.

[24] Id. at 8-10.

[25] Id. at 11.

[26] Complaint, supra note 20, at 13-18.

[27] What is AXS Official Resale and how does it benefit fans?, AXS, https://axssupportanz.axs.com/hc/en-au/articles/8696840412700-What-is-AXS-Official-Resale-and-how-does-it-benefit-fans (last visited Feb. 7, 2026).

[28] Complaint, supra note 20, at 13-18.

[29] Id. at 13.

[30] Id. at 19-26.

[31] Id. at 26-28.

[32] Complaint at 3-4; AXS Group, LLC v. Internet Referral Services, LLC, No. 2:24-CV-00377 (C.D. Cal. filed Jan. 16, 2024).

[33] AXS Group, LLC v. Internet Referral Services, LLC, No. 2:24-CV-00377 (C.D. Cal. June 9, 2025) (order granting joint motion to dismiss).