The National Consumer Secretariat (Senacon), which is part of Brazil’s Ministry of Justice and Public Security, has initiated administrative sanction proceedings against the Viagogo platform to investigate potential violations of consumer protection laws and regulations.

The measure stems from a monitoring procedure involving the digital secondary ticket market. According to the technical assessment released by the authority, consumers may have difficulty recognizing that they are purchasing tickets through a resale platform rather than directly from the official channels responsible for the events.

Senacon also identified potential concerns related to seller identification, transaction traceability, and the sale of tickets at prices above those originally charged.

The initiation of the proceedings does not constitute a final finding of liability. The company has been formally notified and will have the opportunity to exercise its right to due process, submit a defense, and present evidence.

What did Senacon order?

As a precautionary measure, Senacon ordered Viagogo to clearly, permanently, and immediately disclose that:

• It operates as a ticket resale platform;
• It is not an official sales channel for the events advertised;
• Tickets are offered by third-party sellers;
• Prices may be higher than those charged through official channels.

This information must be displayed on both the platform’s website and mobile application.

In addition, the notice must be displayed again at the final stage of the purchase process, immediately next to the button used to confirm the transaction. The stated purpose is to ensure that consumers understand the nature of the transaction before completing the purchase.

Failure to comply with the precautionary measure may result in a daily fine of BRL 100,000, without prejudice to other applicable administrative or judicial measures.

What issues are being investigated?

The administrative proceedings are examining potential violations of several provisions of the Brazilian Consumer Protection Code and Decree No. 7,962/2013, which regulates electronic commerce.

The main issues under review include:

Clarity regarding the business model

Consumers must understand whether they are purchasing directly from an official supplier or acquiring a product from another seller through an intermediary platform.

The visual presentation of the website, advertisements, search results, and the order in which information is displayed should not create a perception that differs from the actual nature of the transaction.

Seller identification

Marketplaces should assess whether the information made available allows consumers to properly identify the party offering the product or service.

In the ticketing market, this verification may also be relevant to preventing fraud, duplicate listings, invalid tickets, or difficulties in resolving complaints.

Transaction traceability

The platform must maintain sufficient records to reconstruct the purchasing journey, identify the parties involved, and verify the history of transactions.

Such traceability may be important for consumer support, fraud investigations, dispute management, and compliance with administrative or judicial orders.

Price transparency

Consumers must be able to understand the total purchase price, including fees, charges, and any differences from the original ticket price.

Resale at a price above the official ticket price should not, in itself, be presented as a violation already established in the proceedings. However, a lack of transparency regarding such price differences and the possible imposition of manifestly excessive advantages may be subject to regulatory scrutiny under consumer protection legislation.

What does the law require from digital platforms?

The Brazilian Consumer Protection Code provides that consumers are entitled to adequate and clear information about products and services, including their characteristics, terms, conditions, and prices.

The legislation also prohibits misleading advertising and practices that may impose a manifestly excessive advantage on consumers.

In e-commerce, Decree No. 7,962/2013 further reinforces the requirement that information be clear, prominent, and easily accessible throughout the contracting process.

This means that essential information should not be confined to secondary pages, lengthy agreements, or terms of use that consumers are unlikely to access. It must be presented at the point when it can effectively influence the consumer’s purchasing decision.

Is disclosure in the terms of use alone sufficient?

The mere inclusion of information in a contractual document may not be sufficient when the interface, advertising, or purchasing flow communicates a different message.

The analysis should consider the entire consumer journey:

1. Advertisements and search results;
2. Platform homepage;
3. Product or event page;
4. Seller identification;
5. Presentation of prices and fees;
6. Shopping cart;
7. Final confirmation screen;
8. Receipt and post-purchase communications.

The most relevant information should be presented before the consumer makes the purchasing decision, using clear language and with a level of prominence appropriate to its importance.

What are the implications for other marketplaces?

Senacon’s actions are not limited to Viagogo. The authority stated that it is conducting broader monitoring of both the primary and secondary ticket markets and has also initiated a preliminary inquiry involving StubHub.

Other companies operating in the sector remain under review, particularly due to the growth of digital platforms and complaints involving a lack of transparency, fraudulent tickets, and prices above those offered through official channels.

The case also provides relevant guidance for marketplaces operating in other sectors. Platforms involving accommodation, professional services, second-hand products, delivery services, mobility, and financial intermediation face similar challenges when presenting their business models to consumers.

Among the questions companies should consider are:

• Does the consumer know who they are contracting with?
• Does the platform clearly identify itself as an intermediary?
• Can the seller be properly identified and verified?
• Is the total price disclosed before confirmation?
• Are there mechanisms to prevent fraudulent offers?
• Can the platform trace each transaction?
• Are responsibilities explained in accessible language?
• Could the interface lead consumers to an incorrect conclusion?

Manipulative patterns and interface design

The Ministry of Justice stated that it identified elements that could suggest the use of manipulative patterns in the way offers were presented.

Such patterns may arise when design choices, buttons, countdown timers, urgency messages, visual hierarchy, or the omission of relevant information influence consumers without ensuring an adequate understanding of the transaction.

The legal assessment of a platform, therefore, should not be limited to contracts and terms of use. It should also extend to the user experience, screen design, messages displayed, and the sequence of decisions consumers are required to make throughout the purchasing process.

How can companies reduce risks?

In light of the case, marketplaces and intermediary platforms should consider adopting preventive measures.

Review how the business model is communicated

The nature of the transaction should be explained from the beginning of the customer journey. Terms such as “marketplace,” “intermediary,” or “resale platform” should be accompanied by explanations that consumers can easily understand.

Clearly identify sellers

The platform should establish procedures for registering, validating, and updating information relating to third parties that use its environment.

Map the purchasing journey

Every stage should be reviewed to identify ambiguous messages, poorly visible information, incomplete pricing, or elements that could lead to misunderstandings.

Display the total price

Fees, charges, and other components of the purchase price should be disclosed before the transaction is confirmed.

Strengthen traceability

Records concerning sellers, offers, price changes, communications, payments, and customer service interactions should be maintained in an organized manner.

Establish fraud prevention mechanisms

Seller verification, offer authentication, and monitoring of suspicious behavior can reduce risks for both consumers and the platform itself.

Integrate different business functions

The review of the digital purchasing journey should involve Legal, Compliance, Product, Technology, Marketing, Customer Service, and User Experience teams.

Transparency as an element of digital governance

The proceedings initiated by Senacon reinforce that transparency should not be treated merely as a contractual provision.

It must be embedded in product design, user interfaces, seller participation rules, and the platform’s monitoring processes.

For digital companies, regulatory risk management requires an integrated approach involving consumer protection law, contracts, technology, user experience, fraud prevention, and third-party governance.

PDK Advogados provides integrated legal support in Digital Law, Regulatory Law, Corporate Contracts, Civil Litigation, and risk management, advising on the legal impacts associated with business models and operations conducted in digital environments.