Judge Rules Live Nation, Ticketmaster Must Face Consumer Antitrust Suit

A judge has ruled that Live Nation and Ticketmaster must move forward with a consumer-led antitrust suit after the companies attempted to get the case tossed-out.

Judge George H. Wu handed down the decision on April 11. The consumer lawsuit, filed in January 2022, seeks monetary damages on behalf of millions of both original and resale ticket purchasers, claiming that Live Nation and Ticketmaster dominate the ticketing market, leading to inflated prices. The court found that these claims of monopolistic practices are plausible.

The plaintiffs specifically allege that Ticketmaster controls around 60% of a specific submarket in the ticketing industry. According to Bloomberg, Judge Wu found that this was enough of a plausible claim of market power, which is an essential point in antitrust litigation.

Judge Wu’s decision means the case will be able to move forward and the companies will face the next phase of the litigation. A major component of the suit also touches on Live Nation and Ticketmaster’s business practices harming competitors; the plaintiffs claim that the pair use their position to suppress rivals and increase their own market share.

Live Nation and Ticketmaster are facing a separate antitrust action filed by the U.S. Department of Justice and 39 states. Earlier this year, Judge Wu denied denied Live Nation’s request to delay the proposed class action until after the government’s case, which aims to break up the two companies and is set for a trial beginning in March of next year.

| READ: Judge Rejects Live Nation Effort to Pause Consumer Lawsuit Amid DOJ Case |

Live Nation argued that running both lawsuits simultaneously would waste resources and risk inconsistent rulings. In his order, however, Judge Wu rejected that contention, emphasizing that “the only reason why this case has not progressed further is because defendants sought to enforce extremely unconscionable arbitration terms.”

Last year, The 9th U.S. Circuit Court of Appeals upheld a lower judge’s 2023 ruling in Heckman v. Live Nation Entertainment, which said Live Nation could not enforce contract provisions that required ticket buyers to arbitrate their claims instead of suing them in federal court. The appeals panel called the arbitration rules unfair to consumers, while “overtly” beneficial to defendants.