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Leagues and Governing Bodies

DOES PGA'S FEE FOR RYDER CUP TICKETS FALL UNDER "GRAY AREA"?

          The PGA of America's nonrefundable $5 fee for fans to
     have their name entered in a drawing to become eligible to
     purchase tickets for the '99 Ryder Cup in Brookline, MA, is
     "unusual in the ticket business" and local experts disagree
     on whether the PGA is "running what amounts to an illegal
     lottery," according to Mohl & Wen of the BOSTON GLOBE's
     "Consumer Beat" column.  MA Attorney General officials said
     they don't think the PGA ticket-selling system is an illegal
     lottery, although one AG office official said the PGA is
     operating in a "gray area."  PGA execs said this is the
     "first time they have imposed a nonrefundable processing
     fee, which they say is needed to cover costs of
     telemarketers, phone lines, credit card processing and
     mailings to notify entrants whether they were selected." 
     Only 10,000 of the event's 30,000 tickets will be available
     to the public.  The PGA started taking entries on June 8,
     and in the first week, it received more than 30,000
     applications and netted $150,000.  If "that pace were to
     continue" through August 31, the PGA would collect 360,000
     entrants and $1.8M in application fees.  The final drawing
     will be held in September (BOSTON GLOBE, 7/26).

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