Millions of concertgoers who purchased tickets through Ticketmaster are edging closer to taking legal action as a class against Live Nation Entertainment and its Ticketmaster subsidiary. They allege that the companies used their dominant market position to inflate ticket prices unfairly.
The case is before U.S. District Judge George Wu in Los Angeles federal court. During a recent hearing, the judge took the plaintiffs’ motion for class certification under advisement. While the official ruling has yet to be released, court discussions suggest the motion is likely to be granted.
Class certification would allow millions of plaintiffs to unify their claims, increasing their negotiating power. Live Nation could face billions in damages, given that federal antitrust laws allow for treble damages if the plaintiffs prevail.
The lawsuit was initially filed nearly four years ago by named plaintiffs seeking to represent all U.S. ticket purchasers who bought event tickets from Ticketmaster since 2010. Their motion claimed the class comprises millions who directly paid ticketing fees at major U.S. concert venues.
Live Nation’s attorney Tim O’Mara challenged the class certification, arguing the plaintiffs failed to show all ticket buyers were similarly impacted by any anticompetitive conduct. He noted the plaintiffs’ expert economic analysis overlooked differences between venue sizes, locations, and negotiated fees.
“The anticompetitive conduct needs to be isolated,” O’Mara asserted. He warned that certifying this class could set a precedent allowing any case to proceed as a class.
Judge Wu, however, expressed reluctance to question the economic model’s reliability at this early stage. He suggested Ticketmaster could address such issues through pretrial motions rather than during class certification.
One of the plaintiffs’ attorneys, Kevin Teruya, cited Ninth Circuit law that permits the court to consider expert analysis at this phase unless there are obvious flaws, which he stated were absent.
If certified, treating the plaintiffs as a group rather than individually would strengthen their negotiating position. Combined legal efforts typically deter defendants from offering low settlements.
Live Nation is the largest concert promoter globally, and Ticketmaster controls much of the market due to an acquisition in 2010. Fans have long criticized the companies for high ticket prices attributed to Ticketmaster’s market dominance.
The antitrust complaint states that Live Nation pays top artists substantial sums to secure tours and forces venues into exclusive Ticketmaster contracts. This results in Ticketmaster’s control over ticket sales at major venues, allowing it to impose excessive fees in the primary market.
Additionally, the plaintiffs claim that Ticketmaster restricts secondary ticket sales by requiring resellers to use its platform, further limiting competition.
Judge Wu previously denied Ticketmaster’s attempt to compel arbitration and dismissed efforts to throw out the lawsuit. The unfolding legal battle could reshape ticketing practices and impact millions of concertgoers nationwide.
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