WASHINGTON (AP) — The U.S. Department of Justice on Thursday sued Ticketmaster and its parent company Live Nation Entertainment, accusing them of operating an illegal monopoly on live events in the United States that inhibits competition and inflates ticket prices. of events.
The lawsuit was filed in federal court in Manhattan by 30 attorneys general from several states and districts. It seeks to dissolve the monopoly that, according to the complaint, is suffocating smaller promoters, harming artists and drowning fans with endless fees.
“It’s time for fans and artists to stop paying the price for Live Nation’s monopoly,” Attorney General Merrick Garland said Thursday. “It’s time to restore competition and innovation to the entertainment industry. It’s time to dissolve Live Nation-Ticketmaster. The American people are ready for it.”
The Justice Department accuses Live Nation of a series of practices, including threats and retaliation, that Garland says have allowed the entertainment giant to “stifle competition” by controlling virtually every aspect of the industry, from promotion from concerts to ticket sales. The impact on consumers is seen as “an endless list of charges for fans,” the attorney general said.
“Live music should not be available only to those who can afford to pay Ticketmaster fees,” said Deputy Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “Today we are here to fight for competition so we can reopen the doors of the live music industry for everyone.”
Live Nation has denied for years that it violates antitrust laws and said Thursday that the lawsuit “will not resolve the issues that matter to fans regarding ticket prices, service charges and access to high-profile shows.” demand”.
“Calling Ticketmaster as a monopoly may be a good short-term public relations strategy for the Department of Justice, but it will lose in court because it fails to take into account the basic economics of live entertainment,” Live Nation added, noting that the Most of the service charges go to the venues and that foreign competition has “consistently hurt” Ticketmaster’s market share. The company said it will defend itself “against these unfounded accusations” and push for other reforms.
The Justice Department said Live Nation’s anticompetitive practices include long-term contracts that prevent theaters from contracting with other ticketing companies, preventing theaters from using more than one ticket seller and telling theaters they could lose money and fans if they don’t use Ticketmaster. The Justice Department says Live Nation threatened to retaliate against a company if it did not stop a subsidiary from competing for artist endorsement contracts.
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2024-05-30 18:20:34