The antitrust trial against Live Nation and Ticketmaster will resume this Monday, March 16 after over 30 US states rejected the Justice Department's proposed settlement.
Lawyers told the judge on Friday only seven US states — Arkansas, Iowa, Mississippi, Nebraska, Oklahoma, South Carolina and South Dakota — filed in support of the Justice Department's $280 million settlement, which would have allowed Live Nation to continue owning Ticketmaster but sell 13 of its ampitheaters, cap service fees, and allow other ticketing companies to sell for Live Nation-owned venues, per Associated Press.
The other 32 states, as well as the District of Columbia, plan to continue arguing that Live Nation and its subsidiaries are in direct violation of US antitrust laws, and their business practice of cornering the live music entertainment market and purposefully driving up prices are predatory.
Last week's settlement announcement was met with sharp criticism by attorneys general, senators, and live entertainment venue associations alike. At the time of the Justice Department's proposed pact, 26 US states immediately formed a coalition to reject the unsatisfactory terms and continue the antitrust case anyway.
In a statement given to NPR, Arizona Attorney General Kris Mayes said:
"The case against Ticketmaster is strong, and I am committed to seeing it through. The settlement recently announced by the federal government does not adequately remedy the harm done to Arizona consumers and the live music marketplace...Arizona is prepared to continue litigating this case alongside our bipartisan coalition of attorneys general to hold Ticketmaster accountable in court and secure real relief for music fans."
The judges also overruled Live Nation's objection to include leaks of their company's mean-spirited Slack exchanges admitting to "robbing fans blind" in the trial. Live Nation argued these remarks — which called people "so stupid" for buying tickets their own company overvalued at $250 — were not made in reference to the main concert-going experience. Their team claimed they made “passing references to non-ticket ancillary products — such as VIP club access, premier parking, or lawn chair rentals — sold to concertgoers at two amphitheaters,” as printed in Associated Press.
The judge, however, ruled that overall fan experience is relevant to performances, and artists might not want to perform at Live Nation venues if they know they overcharge fans for any amenities, including "ancillary products."
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