#Socialites, get a load of this! The Federal Trade Commission (FTC) and a bipartisan group of state prosecutors have filed a joint lawsuit against Ticketmaster and Live Nation, accusing them of “illegal” ticket resale tactics.
RELATED: Ticketmaster Trouble: US Government Might Break Up Live Nation Giant
Department of Justice Files Antitrust Lawsuit Against Ticketmaster And Live Nation Alleging ‘Illegal Monopoly’ Over Live Events
As we previously shared, Ticketmaster and its owner Live Nation have been under government review for a while now. In May 2024, we shared how the Department of Justice (DOJ) sued both companies, accusing them of engaging in anticompetitive behavior and establishing an “illegal monopoly” over live industry events in the United States.
At the time, the DOJ, along with 30 state and district attorneys general, took legal action against the companies, filing a civil antitrust lawsuit in the U.S. District Court for the Southern District of New York. The lawsuit alleged that Live Nation’s unlawful and anticompetitive conduct allows them to exert monopolistic control over the live events industry.
Subsequently, their actions have resulted in higher fees for fans, limited concert opportunities for artists, and fewer ticketing options for venues. Speaking on the civil lawsuit, Attorney General Merrick Garland said in a statement:
“We allege that Live Nation relies on unlawful, anticompetitive conduct to exercise its monopolistic control over the live events industry in the United States at the cost of fans, artists, smaller promoters, and venue operators.
The result is that fans pay more in fees, artists have fewer opportunities to play concerts, smaller promoters get squeezed out, and venues have fewer real choices for ticketing services. It is time to break up Live Nation.”
The DOJ Seeks Structural Relief And Restored Competition In Lawsuit Against Ticketmaster And Live Nation
While releasing a statement, the DOJ said Ticketmaster and Live Nation have been using unfair practices to maintain their dominance in the industry. The statement read:
“The flywheel is Live Nation-Ticketmaster’s self-reinforcing business model that captures fees and revenue from concert fans and sponsorship, uses that revenue to lock up artists to exclusive promotion deals, and then uses its powerful cache of live content to sign venues into long term exclusive ticketing deals, thereby starting the cycle all over again.”
Ultimately, the DOJ’s lawsuit seeks to restore competition with the live concert industry and provide structural relief. The DOJ also hopes to give fans better chances at lower prices and opening more venue doors for musicians and other performers.
Federal Trade Commission And State Prosecutors File Joint Lawsuit Against Ticketmaster And Live Nation Accusing Them Of ‘Illegal’ Ticket Resale Tactics And ‘Triple Dipping’ On Fees
Nearly a year and a half after the Department of Justice sued Ticketmaster and Live Nation, the U.S. Federal Trade Commission file their own lawsuit. Like the DOJ, the FTC — the U.S.’s consumer protection agency — is accusing Ticketmaster and its parent company, Live Nation Entertainment, of using “illegal” ticket resale tactics.
In its lawsuit, the FTC has joined forces with a group of bipartisan group of state prosecutors from seven states, including Florida, Illinois, and Virginia. The joint lawsuit was filed in federal court in California. In the filing, the FTC wrote that the companies “tacitly worked” with scalpers and allowed them to “unlawfully purchase” tickets to increase their profits. The lawsuit reads:
“[Ticketmaster and Live Nation’s] illegal conduct frustrates artists’ desire to maintain affordable ticket prices that fit the needs of ordinary American families, costing ordinary fans millions of dollars every year.”
The lawsuit also accuses Ticketmaster of employing a “bait and switch” method, allowing them to alter its advertising of ticket prices to effectively raise total prices. The FTC accuses Ticketmaster of allowing brokers to knowingly exceed ticket limits for reselling, ultimately violating the Better Online Ticket Sales Act.
The FTC also accused Ticketmaster of “triple dipping” by collecting fees from brokers on the primary and secondary markets, plus consumers on the secondary market. Ticketmaster reportedly raked in $3.7 billion in resold tickets between 2019 and 2024. The alleged practices allegedly affected consumers and artist on both sides of the Ticketmaster sales.
The consumer protection agency also claims that Ticketmaster controls roughly 80% of major concert venues’ ticketing. Additionally, between 2019 and 2024, consumers reportedly spent more than $82 billion purchasing tickets on the platform. Following news of the lawsuit, Live Nation shares fell about 2%.
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