Do You Like Comedy? Do You Hate Scammers? City Warns Comedy Clubs About Street Teams

It seems an odd question to ask busy pedestrians trying to make their way through Times Square but the query "Do you like comedy?" must be working. Mention the phrase to any random New Yorker who happens to visit the Broadway district at least semi-regularly and they'll probably recall encounters with hawkers blocking foot traffic as they try selling tickets to comedy clubs.

Surprisingly, these ticket sellers do not work directly for the clubs they push. As the New York Times reports, most show up when they want to work and sign out stacks of tickets from middlemen who run the street teams, as they are known.

Clubs such as Stand-Up NY and the Broadway Comedy Club have arrangements whereby the sellers keep whatever they make from the ticket sales, while the clubs make their money from drink minimums.

And while New Yorkers know that some of the most talented performers in the city are unknown to the rest of the world, a tourist looking for a big night on the town would be better enticed by "insider knowledge" that a huge star like Tina Fey was scheduled to make a surprise appearance.

Cick here for the full article.

It could be coincidence but the week after the Times article appeared, the New York City Department of Consumer Affairs sent this letter to the city's comedy clubs:

The New York City Department of Consumer Affairs ("DCA") has received reports alleging that ticket sellers for comedy clubs in and around Times Square are engaging in deceptive trade practices, including false advertising, in order to convince consumers to purchase tickets to comedy shows. In particular, it has been indicated that ticket sellers who promote comedy clubs and comedy performances have falsely claimed that:

• one or more well-known comedians will be performing;
• certain venues or performers are connected with well-known television channels, or television shows; and
• a comedian performing at a certain venue has, in the past, performed on a well-known television channel or television show.

We are writing to inform you that using false advertising to promote a venue, show, or performer, whether that promotion is conducted by a comedy club's employees or independent contractors, is illegal in New York City. Under Section 20-701(a) of the New York City Administrative Code, such false promotions are deceptive trade practices and can result in DCA bringing action to impose fines or civil penalties up to $500 per violation. Furthermore, DCA can also take legal action to obtain restitution for customers and/or obtain an injunction or restraining order against such practices.

If you are aware of false or deceptive advertising in connection with comedy shows, please contact Jared Greenfield, Senior Investigator, by emailing him at jgreenfield@dca.nyc.gov or by calling him at (212) 436-0334.