Atom Tickets, a popular digital ticketing platform, has agreed to a $550,000 settlement following a class action lawsuit that alleged the company violated New York State law by failing to disclose service fees on electronic theater tickets. The settlement impacts customers who purchased tickets in New York State and were charged service fees without proper notice.
Background of the Lawsuit
The lawsuit claimed that Atom Tickets violated New York’s Arts and Cultural Affairs Law § 25.07(4), which mandates that businesses must clearly disclose all ticketing fees before purchase. According to the complaint, Atom Tickets failed to adequately inform customers of these additional charges, leading to unexpected costs at checkout.
The lawsuit was filed on behalf of consumers who used Atom Tickets’ website or mobile app to purchase theater tickets in New York between August 29, 2022, and April 30, 2024. The plaintiffs argued that the hidden fees constituted deceptive business practices.
Who Is Eligible for a Payout?
Individuals who purchased electronic theater tickets in New York State through Atom Tickets and paid a service fee during the eligible period can file a claim. The settlement covers transactions made via the Atom Tickets website, mobile application, and other online platforms.
How to File a Claim?
Eligible individuals must submit a claim to receive a share of the $550,000 settlement fund. The key details are as follows:
- Deadline for Claims: June 23, 2025
- Proof of Purchase: Claimants must provide a unique Notice ID and Confirmation Code, which were sent via email to affected customers. If an individual did not receive a notice but believes they qualify, they should contact the class counsel at (646) 837-7150 for verification and further instructions.
- Submission Methods: Claims can be filed online or by mailing a completed claim form to:Settlement Administrator
P.O. Box 4454
Portland, OR 97208-4454
For more information and to file a claim, visit the official settlement website: Atom Tickets Fee Settlement.
How Much Will Consumers Receive?
Payouts will depend on the amount of service fees paid. The settlement fund will be distributed proportionally, meaning individuals who incurred higher service fees will receive a larger share. The exact distribution will be determined once all claims are processed.
Consumers will have several options for receiving their payments, including PayPal, Venmo, Zelle, check, or a prepaid debit card (for those who received a settlement notice by mail).
Important Deadlines
Consumers should be aware of the following key dates:
- Exclusion/Objection Deadline: April 7, 2025
- Final Settlement Approval Hearing: May 5, 2025
- Claim Submission Deadline: June 23, 2025
Legal and Consumer Rights Implications
New York State’s Arts and Cultural Affairs Law aims to protect consumers from hidden fees in ticketing transactions. The Atom Tickets settlement highlights the importance of transparency in online sales and reinforces the need for businesses to comply with state regulations.
For those interested in learning more about ticketing laws in New York, visit the New York State Department of Consumer Protection: https://dos.ny.gov/consumer-protection
Additionally, consumers who wish to report unfair business practices can file complaints with the New York State Attorney General’s Office: https://ag.ny.gov/consumer-frauds
Atom Tickets’ Response
In response to the lawsuit, Atom Tickets has updated its ticket purchasing process to ensure all service fees are disclosed before checkout. This change aligns with New York’s transparency requirements and aims to improve customer trust in the platform.
While Atom Tickets has denied any wrongdoing, the settlement allows the company to resolve the dispute without admitting liability.
What Consumers Should Do Next?
If you believe you are eligible for compensation, it is important to submit your claim before the deadline. Even if you did not receive a notification, you may still qualify, so verifying your eligibility is recommended.
For assistance, consumers can contact the Settlement Administrator through the official website or call (646) 837-7150.
Final Thoughts
This settlement serves as a reminder for businesses to be transparent about additional fees and for consumers to stay informed about their rights. If you frequently purchase tickets online, always review the full price breakdown before finalizing your purchase.
For the latest updates on consumer protection cases, visit the Federal Trade Commission (FTC) Consumer Protection Bureau: https://www.ftc.gov/about-ftc/bureaus-offices/bureau-consumer-protection
The Atom Tickets class action lawsuit underscores the significance of fair business practices, ensuring that customers receive clear and upfront pricing in their transactions. As the claim deadline approaches, eligible consumers should take action to secure their rightful compensation.
This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.
Premlata is a seasoned finance writer with a keen eye for unraveling complex global financial systems. From government benefits to energy rebates and recruitment trends, she empowers readers with actionable insights and clarity. When she’s not crafting impactful articles, you can find her sharing her expertise on LinkedIn or connecting via email at [email protected].