Claiming the company defrauded at least one customer on a several-thousand-dollar order for tickets to last month’s Beijing Olympics, the Texas Attorney General’s office...

Claiming the company defrauded at least one customer on a several-thousand-dollar order for tickets to last month’s Beijing Olympics, the Texas Attorney General’s office recently filed a lawsuit against Austin, TX-based TicketCity on behalf of the unnamed aggrieved party.

According to the lawsuit, the customer ordered three tickets to the Opening Ceremonies for $1,250 each, or a total of $3,750, more than a year before the event, but by March of this year, after the consumer purchased “airline tickets to Beijing and made non-refundable deposits for hotel accommodations,” TicketCity allegedly informed them that the tickets were unavailable. The company advertised that it had Olympics tickets prior to the sale, and continued to advertise as such after the sale was negated.

“In truth, Defendant [TicketCity] did not possess these tickets; rather it merely had an arrangement with a supplier to provide the tickets. At the time, the supplier did not have the tickets either,” the lawsuit states. Click here to read the lawsuit.

Like other highly reputable brokers, TicketCity said it offered 200 percent refunds if it can’t deliver tickets it promises. But, when this customer allegedly tried to collect the 200 percent refund, TicketCity allegedly refused and hastily changed its Web site to say it would only give 100 percent refunds, according to the lawsuit. TicketCity refunded the purchase price for the tickets minus convenience fees.

“Defendant has engaged in false, misleading and deceptive acts and practices in the course of trade and commerce as defined herein and as declared unlawful pursuant to the Texas Deceptive Trade Practices Act,” the lawsuit states.

TicketCity CEO Randy Cohen and Chief Operating Officer Zach Anderson told TicketNews that they believed the case was “meritless,” but added that because the matter was in the hands of their attorney and still pending, they could not comment further.

Tom Kelly, spokesperson for Texas Attorney General Greg Abbott, told TicketNews that the Attorney General’s office granted TicketCity an extension for when it needs to respond to the complaint, and while the case is still pending, the two sides are in discussions to have the company “make changes to their Web site,” in addition to other remedies.

“One of the things we want to know is if there are any other customers out there who may have gone through similar circumstances,” Kelly said.

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