Allegations of Illegal Practices
The Federal Trade Commission (FTC) and attorneys general from seven states filed a lawsuit Thursday against Live Nation Entertainment and its subsidiary Ticketmaster. The complaint, lodged in the U.S. District Court for the Central District of California, accuses the companies of allowing brokers to unlawfully purchase large quantities of tickets, reselling them at inflated prices, and employing deceptive pricing tactics.
Impact on Consumers
According to the FTC, Ticketmaster has advertised artificially low prices, only to raise them later through hidden fees and resale markups. Despite publicly claiming opposition to brokers who exceed ticket limits, the company allegedly benefitted financially from such practices. Between 2019 and 2024, consumers spent nearly $83 billion on tickets purchased through Ticketmaster, which controls about 80% of ticket sales at major event venues.
Legal Basis and Broader Context
The lawsuit claims Live Nation and Ticketmaster violated the Better Online Ticket Sales Act and other laws prohibiting deceptive business practices. This follows a May lawsuit filed by the Department of Justice accusing the companies of monopolizing the live entertainment industry. Live Nation acquired Ticketmaster in 2009, consolidating much of the ticketing market under one corporate umbrella.
Reactions to the Lawsuit
FTC Chairman Andrew N. Ferguson emphasized that live entertainment should remain accessible to American families, not priced beyond reach. Other industry groups welcomed the move, with the Coalition for Ticket Fairness noting that robust competition and transparent pricing would benefit both fans and artists. Live Nation and Ticketmaster have not yet commented on the case.