Just a week after going to trial, the United States Department of Justice has moved to settle its antitrust lawsuit against Live Nation, Reuters reports. The two parties arrived in New York federal court this morning (March 9) with a tentative deal that, while it would break up Live Nation’s venue network and secure nearly $300 million in payouts, would not require the concert giant to divest from Ticketmaster.
The DOJ and the attorneys general for 38 states, plus Washington, D.C., sued Live Nation in May 2024, arguing that the company holds a monopoly in the concert market. In February, Judge Arun Subramanian handed down a summary judgment dismissing that claim. He did, however, find grounds for the DOJ’s allegations that Live Nation forces venues to sign long-term contracts with Ticketmaster or be passed over for tour bookings, and that they illegally restrict access to those venues to artists who are use their promotion services.
Today’s settlement agreement requires that Live Nation divest from exclusive booking agreements at 13 venues. The exclusivity contracts that Ticketmaster has with venues will be capped at four years, and those venues will also be given the option of non-exclusive primary ticketing contracts that allow them to sell tickets through other platforms. Live Nation will also be forced to let rivals like SeatGeek and Eventbrite list tickets on its online marketplace. Finally, the company is set to pay out a cumulative $280 million to the states that agree to settle, according to Billboard,
However, Judge Subramanian still needs to approve the deal, which the DOJ and Live Nation reportedly signed last Thursday, March 5. He has ordered DOJ antitrust chief Omeed A. Assefi and Live Nation CEO Michael Rapino to appear in court tomorrow. In addition, The Wall Street Journal reports that 25 state attorneys general are dissatisfied with the settlement as it stands, and are collectively calling for a mistrial.
“The settlement recently announced with the U.S. Department of Justice fails to address the monopoly at the center of this case and would benefit Live Nation at the expense of consumers,” New York Attorney General Letitia James said in a statement. “We will keep fighting this case without the federal government so that we can secure justice for all those harmed by Live Nation’s monopoly.”
Live Nation CEO Rapino has also shared a statement, writing, “We have never relied on exclusivity to drive our ticketing business, it has simply been the result of having the best products, services and people in the industry. We are happy to take greater steps to empower artists and venues in their ticketing decisions, and are confident we will continue to succeed on the quality of what we deliver.”
In a statement to Pitchfork, Stephen Parker, executive director of the National Independent Venue Associaion (NIVA), shared: “We do not believe the reported elements of the settlement will restore competition for independent venues and festivals – and for fans and artists. Limiting exclusive ticketing contracts, requiring Live Nation to pay the equivalent of four days’ of revenue to the states, and opening Ticketmaster to predatory resale platforms is neither accountability nor progress. It might even take us backwards.”
