Ticketmaster, one of the largest ticket sales and distribution companies, has been involved in several high-profile lawsuits over the years related to its business practices. Here is a look at some of the notable legal cases involving Ticketmaster and whether they resulted in wins or losses for the company.
Conclusion on Ticketmaster Lawsuits
In summary, Ticketmaster has faced its fair share of lawsuits over the years, some of which have resulted in major fines and settlements for the company. However, it has also had success defending itself in court in other cases. Some of the biggest wins for Ticketmaster have come when defending against anti-trust allegations related to exclusive deals with venues and mergers with competitors like Live Nation. But the company has also paid out hundreds of millions in settlements related to cases involving order processing fees, refunds, and alleged anti-competitive behavior. While legal challenges will likely continue, Ticketmaster remains one of the most dominant players in the live event ticketing industry.
Notable Ticketmaster Lawsuits and Outcomes
TicketsNow Lawsuit
In 2008, Ticketmaster faced a lawsuit from ticket reseller TicketsNow, which it had recently acquired. The lawsuit alleged breach of contract, claiming that Ticketmaster had missing revenue targets it was obligated to meet. In 2009, the two sides reached a settlement in which Ticketmaster agreed to pay $18.2 million to TicketsNow.
UPS Ticket Delivery Lawsuit
In 2003, Ticketmaster was sued by UPS over an exclusive agreement with the delivery service for tickets sold online and over the phone. The lawsuit alleged the deal froze out competitors like FedEx. In 2009, Ticketmaster settled the lawsuit by agreeing to suspend the agreement with UPS and open ticket delivery to other companies.
Order Processing Fee Class Action
Ticketmaster paid $18.5 million in 2017 to settle a lawsuit that alleged the company misleadingly charged excessive order processing fees on top of the listed ticket prices. The company did not admit wrongdoing but agreed to more clearly disclose the fees to customers moving forward.
Songkick Antitrust Lawsuit
In 2018, Ticketmaster reached a settlement in an antitrust lawsuit brought by concert discovery site Songkick. The lawsuit argued Ticketmaster tried to “squeeze out” Songkick after it began selling concert tickets. Ticketmaster paid $110 million as part of the settlement.
Deferred Tour Refunds Lawsuit
A 2021 class action lawsuit accused Ticketmaster of refusing to provide timely refunds to customers whose events were postponed due to the COVID-19 pandemic. In January 2023, Ticketmaster agreed to pay $34.6 million to settle the lawsuit and provide refunds for eligible purchases.
Pearl Jam Anti-Trust Lawsuit
In 1994, the band Pearl Jam filed an anti-trust lawsuit against Ticketmaster, arguing its exclusive contracts were anti-competitive and drove up service fees. A judge later dismissed the lawsuit, dealing a major defeat for Pearl Jam’s efforts to change the company’s business practices.
Live Nation Merger Lawsuits
Ticketmaster has successfully fought off multiple lawsuits aiming to block its 2010 merger with promoter Live Nation, which combined the two largest concert companies in the U.S. Judges have consistently ruled against claims that the merger would be anti-competitive.
Other Notable Ticketmaster Lawsuits
There are several other major lawsuits worth mentioning:
- In the mid-1990s, Ticketmaster paid a $4.5 million settlement over allegations it misled customers on added ticket fees.
- In 1999, a class action lawsuit led to Ticketmaster paying $15.25 million over order processing fees.
- In 2016, Ticketmaster settled a lawsuit for $400 million on charges that it colluded with Live Nation on ticket prices.
Ticketmaster’s Defense of Its Practices
While acknowledging some settlements, Ticketmaster has largely defended its business practices when faced with lawsuits. They contend:
- Exclusive venue contracts help guarantee volume sales that keep ticket prices lower.
- Order processing fees cover costs of online sales infrastructure and are standard in ecommerce.
- Their operation of both primary ticket sales and resale marketplaces expands options for fans to get tickets.
The company points to dismissal of the Pearl Jam lawsuit and approval of the Live Nation merger as evidence that their business foundation is legally sound even if certain practices have needed revisions over time in response to lawsuits.
Ongoing Legal Challenges
In 2022, Ticketmaster is facing a new lawsuit from fans alleging “grossly inflated” platinum ticket prices for Bruce Springsteen concerts defy reasonable market value. The case is pending, but highlights ongoing legal scrutiny on Ticketmaster’s practices with premium tickets. Whether this latest lawsuit gains traction or fades away, Ticketmaster will likely continue facing regular legal challenges from fans, competitors, and regulators aiming to rein in its immense market power.