The US Federal Trade Commission (FTC) and seven states have filed a lawsuit against Ticketmaster and Live Nation, alleging the companies engaged in deceptive practices that allowed scalpers to circumvent ticket purchasing limits and resell at inflated prices.
The lawsuit claims Ticketmaster and Live Nation worked directly with ticket brokers in the secondary market, allowing scalpers to acquire tickets and resell them at steep markups far above face value, while the companies profited from each transaction.
The US National Independent Venue Association and National Independent Talent Organization, both representing independent entities in the touring industry, praised the legal action. NIVA executive director Steven Parker stated: “Today’s lawsuit has given credibility to what fans, artists, and independent stages have believed for years: Live Nation and Ticketmaster exploit their dominance not just in concert promotion and primary ticketing, but in the resale market as well.”
The FTC alleges violations of the Better Online Ticket Sales Act, claiming Live Nation and Ticketmaster “give purchasing consumers no choice” while enabling scalpers to game the system. The lawsuit follows a similar Department of Justice action filed last year and comes after the FTC sued ticket resale company Key Investment Group in August for using illegal methods to secure and resell tickets for events including Taylor Swift’s ‘Eras’ tour.