Thousands of basketball fans who have paid up to $ 500 to sit in plastic chairs to watch the Boomers play against a little-known American squad get a refund.
- It was advertised that LeBron James and other top players would participate
- But it was later announced that they would not be playing in the August 2019 game
- Fans who paid hundreds of dollars complained about plastic chairs and bad views
- It prompted the ACCC to investigate misleading advertising
- TEG Live, which has sold the tickets, has admitted to making false or misleading claims
- More than $ 5 million is refunded to 5,000 fans who have bought 20,000 tickets
More than $ 5 million is being refunded to thousands of fans who have bought tickets to a basketball using false advertising to claim that LeBron would play James.
Entertainment company TEG Live reimburses approximately 5,000 customers who purchased 20,000 tickets for the game between the Australian Boomers and the US team in Melbourne last August.
NBA stars Steph Curry, Lebron James, Anthony Davis and James Harden were used in the original marketing materials for the games.
In the run-up to the showdown, however, it was announced that the top players would not participate.
When promoting the games, TEG Live also used a photo of an American basketball stadium showing that the seats would be arranged at floor level.
The plastic seats arranged on the playing field to accommodate the 50,000-strong crowd were slammed by fans who couldn’t see the players
But the seats at the Melbourne games were placed on the floor and made of plastic, which has left many fans complaining about the limited or no view of the players.
The controversy prompted the Australian Competition and Consumer Commission to investigate misleading advertising.
TEG Live, which has sold the tickets, has now admitted to making false or misleading claims about seats on the games.
The company acknowledged the ACCC’s concern that it may have violated consumer law by misleading consumers as to which players of the U.S. national basketball team would be playing.
“In our opinion, the behavior of TEG Live was unacceptable and we are pleased that approximately 5,000 consumers will receive automatic refunds by the end of July,” said ACCC chairman Rod Sims.
“Consumers paid a premium for ground floor seats ranging between $ 895 and $ 3995 for a hospitality package and may have done so due to misleading seat advertising,” Sims said.
Customers who receive a refund
• Consumers who bought tickets on or after August 15, 2018
• Consumers who made a refund request prior to the game in question based on the fact that one or more US players referenced in the ads were not present and did not attend the game
• Consumers who purchased floor level seats at the Melbourne Games between June 18, 2018 and August 24, 2019
The ACCC also discovered that TEG Live may have misled consumers when it advertised the games bearing the names of James and Durant.
“More than a year before the games, a 35-man squad was selected and TEG Live included the names and images of the majority of those players in its advertisements,” Sims said.
In the end, only four players from the 35-man squad, Harrison Barnes, Kemba Walker, Khris Middleton and Miles Turner, played in the games.
“We are concerned that consumers may have bought tickets with the belief that many of these advertised high profile players would play when ultimately this was not the case.”
Affected consumers will be contacted by TEG Live and will receive an automatic refund via their original payment method before the end of July.
The company acknowledged the ACCC’s concern that it may have violated consumer law by misleading consumers as to which players of the U.S. national basketball team would be playing. Pictured: The Australian Boomers and USA team at Marvel Stadium on August 24, 2019