US states urge judge to break up Live Nation, Ticketmaster
What's the story
A coalition of 33 US states and the District of Columbia has filed a motion in the Southern District of New York, calling for the breakup of Ticketmaster and its parent company, Live Nation. The move comes after a jury's April verdict that deemed the companies as an anti-competitive monopoly. The states are seeking remedies, including fan compensation, stricter industry regulations, and divestment of amphitheaters along with Ticketmaster itself.
Legal defense
Live Nation calls states' request 'performative and political'
In response to the states' motion, Live Nation has defended its position. The company's executive vice-president, Dan Wall, said the jury's verdict doesn't support a request for divesting Ticketmaster from Live Nation. He called the states' request for a breakup "performative and political." Earlier this month, Wall had told CBC News that their company monopolized only 20% of the primary ticketing market, not the entire thing.
Settlement talks
Tentative settlement with DOJ rejected by states
The case was first brought by the US Department of Justice (DOJ) under the Biden administration. However, in March, Live Nation's CEO, Michael Rapino, met with Trump's White House officials and reached a surprise tentative settlement with the DOJ to avoid a breakup of the company. This deal was rejected by 33 states and DC, who opted to proceed with trial instead.
Court proceedings
Breakup case to take at least a year
The judge will hear arguments on the proposed breakup in a few months. The case is expected to take at least a year before any formal orders are issued by the court. The states are also seeking remedies addressing specific trial allegations, such as prohibiting retaliation or conditioning concert access based on ticketing platform choice. They have also sought monetary relief for overcharged ticketing fees.