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Department of Justice

The federal judge presiding over the Department of Justice’s sweeping antitrust case against Live Nation thinks the trial can begin as early as March 2026, according to recent federal court filings.
Judge Arun Subramanian explained Thursday (June 27) in the case’s first pre-trial hearing that he hoped jury selection could begin that month, although he stopped short of setting a firm date.

One of the first items of business for Subramanian, who was appointed to the federal bench by President Joe Biden in 2023, is to rule on a planned motion by Live Nation to move the case from the Southern District of New York to the federal circuit court in Washington, D.C., where Live Nation’s 2010 merger with Ticketmaster was first approved. Subramanian said he believed his court could properly preside over the case but that he would fully consider the advisement.

Prior to being appointed to the federal bench, Subramanian was a partner at litigation firm Susman Godfrey LLP, which currently represents Live Nation in the 2021 Astroworld festival class action lawsuit. Subramanian did not work on that case.

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Government attorneys said in a Tuesday (July 25) filing that they plan to bring additional claims against Live Nation, noting the new claims could include information that attorneys from Live Nation have designated as highly confidential and might ask the courts to seal.

Attorneys for the government “do not believe any of the information at issue merits sealing or overcomes the presumption of public access to judicial documents,” the filings explain, noting that if Live Nation doesn’t budge, the government will ask the judge to rule on the matter.

Department of Justice (DOJ) lawyers also complained that Live Nation attorneys have delayed discovery requests and failed to “fully comply with any of the United States’s three pre-complaint civil investigative demands” dating back to October 2022.

“It took Defendants nearly a year to start producing custodial documents,” the filing reads, noting that “their responses to many specifications remain incomplete today.”

Lawyers for Live Nation called the government’s discovery allegation false, noting that “since October 2022, Defendants have spent over 200,000 attorney hours reviewing documents, produced over 600,000 documents from nearly 70 custodians, produced over 33 million observations of data, submitted dozens of written responses, and provided investigative deposition testimony from three high-level executives in response to Plaintiffs’ investigations. In addition, DOJ has access to nearly two million documents that Defendants produced during prior investigations.”

Attorneys for Live Nation added that they want “any documents, data or testimony Plaintiffs received from third parties during their investigation” no later than July 22, 2024.

Live Nation is also challenging the government’s unusual request for a jury trial instead of having the verdict determined by a judge. “If it occurred, it would be the first jury trial ever in a government-brought monopolization case,” the company’s attorneys wrote.

Outside of Live Nation, the government also says it plans to issue more than 100 third-party subpoenas to “ticketers, promoters, ticket brokers, venues, venue management companies, artists, and artists’ agents and managers.”

Live Nation declined to comment for this story.

Live Nation is being represented by longtime attorney and litigator Timothy L. O’Mara and Alfred C. Pfeiffer, both partners at Latham and Watkins. Pfeiffer is the former co-chair of the firm’s Antitrust & Competition Practice. Ticketmaster is represented by David R. Marriott with Cravath, who successfully represented Illumina against the Federal Trade Commission and secured a 2022 victory for the Louis Dreyfus Company against DOJ efforts to block the sale of Imperial Sugar to U.S. Sugar.

The government is represented by Bonny Sweeney, who joined the DOJ in 2022. Sweeney formerly served as a partner at San Francisco firm Hausfeld where she was co-chair of its U.S. antitrust practice group. In 2023, she was named antitrust lawyer of the year by the California Lawyers Association.

Given the glacial pace at which federal antitrust litigation moves, the U.S. Department of Justice’s historic lawsuit against Live Nation and its wholly owned subsidiary Ticketmaster is expected to take years to wind its way through the legal system whether it’s fully adjudicated or the live-event Goliath agrees to make changes to its business, which the government often terms “behavioral remedies.”
And though it’s clearly too early to predict how the case will play out, legal expert and antitrust attorney Lawrence J. White from New York University’s Stern School of Business says the potential winners and losers have already been largely pre-determined based on hints found in the 128-page complaint that the DOJ filed May 23 in U.S. District Court in the Southern District of New York.

“The companies mentioned in the complaint as being the most harmed by anti-competitive behavior are typically the same companies that stand the most to gain in the solution,” White says.

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In the case of Live Nation, the winners will very likely be the company’s main concert promotion rival, AEG Presents; secondary-market ticketing competitor SeatGeek; and a handful of major independent promoters like Chicago’s Jam Productions. The losers would likely be Live Nation; Irving Azoff and Tim Leiweke’s venue owner, management and hospitality company, Oak View Group — which the DOJ alleges “has described itself as a ‘hammer’ and ‘protect[or]’ for Live Nation” — as well as, potentially, major artist management companies and talent agencies, depending on the government’s solution for more competitive ticket pricing.

“The government tends to rely on private companies to carry out its policy goals during the remedy phase of an antitrust case,” explains White, pointing toward the original consent decree drafted around the 2010 merger of Live Nation and Ticketmaster. That agreement unsuccessfully propped up two private companies — AEG and Comcast Spectacor — to serve as competitors to Ticketmaster.

Whether the DOJ wins in court or ends up settling with Live Nation, White says it will lean on large corporations to assist with enforcement of the ruling. As Live Nation’s only major competitor for ticketing and concert promotion, AEG, which owns AXS Ticketing, is an obvious choice as a DOJ partner because of the company’s large scale, which will be critical for the DOJ’s long-shot goal to lower ticket prices. (The DOJ is believed to have interviewed more than 100 individuals from the live-music industry as part of its recent antitrust investigation into Live Nation.)

In a May 23 press release that announced the lawsuit filing, Attorney General Merrick Garland said, “We allege that Live Nation relies on unlawful, anti-competitive conduct to exercise its monopolistic control over the live-events industry in the United States at the cost of fans, artists, smaller promoters and venue operators.” He contends that increasing competition among Live Nation’s ticketing rivals and in the artist promotion space will lower the face value prices of tickets.

Prior to the 2010 merger of Live Nation and Ticketmaster, four or five ticketing companies were capable of competing with the latter at the arena level. In 2024, only two remain: AXS and SeatGeek, the secondary site that also happens to own one of the only primary ticketing products capable of servicing major arenas and stadiums.

In a statement released to Billboard, SeatGeek said, “We are hopeful that the Department of Justice’s antitrust lawsuit to break up the Live Nation-Ticketmaster monopoly will restore fair market competition to live entertainment.” On the concert promotion front, there are far fewer major independent promoters now than there were prior to 2010 and only a handful capable of touring major arena acts across the country. In addition to Jam Productions, they include Nashville’s Outback Concerts and Another Planet Entertainment in the San Francisco Bay Area. All three promoters declined to comment for this story.

In a May 31 letter to his staff, AEG chairman/CEO Jay Marciano outlined how the DOJ could make concert promotion fairer and drive down the cost of ticketing by dismantling Live Nation’s “flywheel” business model, which is cited in the DOJ’s complaint and described in its May 23 press release as “a self-reinforcing business model that captures fees and revenue from concert fans and sponsorship, uses that revenue to lock up artists to exclusive promotion deals and then uses its powerful cache of live content to sign venues into long-term exclusive ticketing deals, thereby starting the cycle all over again.”

Marciano’s letter said Live Nation’s flywheel model “deploys the excessive profits of its ticketing monopoly to outspend what the concert market can profitably sustain.”

Under this theory, ticket prices would drop if Live Nation was prevented from using its other revenue sources to overpay artists and compete with other promoters offering artists an 85/15 or a 90/10 split on ticket sales.

Although the theory is not widely accepted by most major talent agents or managers — IAG executive vp/head of global music Jarred Arfa calls it “unrealistic” and “illogical” — it is gaining popularity among large indie promoters and DOJ lawyers, sources tell Billboard. White notes that whether the government settles or takes Ticketmaster to trial will depend on “the time and resources the DOJ wants to expend on the case and the evidence against Live Nation it has collected.”

Sorry, kids — Live Nation’s antitrust issues have nothing to do with how hard it is to get Taylor Swift tickets. Those are expensive because there just aren’t enough for everyone who wants to see the show, and the antitrust lawsuit against Live Nation won’t change that — and it might not even change the cost of tickets. What it could do, though, is reshape the way the U.S. concert and ticketing businesses work — as well as how they work together.  
The lawsuit, filed by the Department of Justice and more than two dozen states, alleges that Live Nation colluded with the venue management company Oak View Group, threatened potential rivals, locked venues into long-term agreements with Ticketmaster in a way that shuts out competitors, restricted promoters’ access to its venues, and acquired companies to reduce competition. There’s a lot there. 

Live Nation, at least according to the lawsuit, operates less like a concert promoter than a live entertainment platform — one that uses its dominance in some sectors to secure or further its dominance in others by making it hard for other companies to separate out its services. The most relevant comparison, at least in legal terms, might be the Microsoft antitrust case. Almost all of the behavior described in the lawsuit takes place outside of public view, but the Department of Justice argues that it reduces competition, and indirectly raises ticket prices for consumers. The first of these seems very likely, at least based on the descriptions of company policy in the lawsuit, but the second is less clear. Based on the thriving secondary market, concert tickets still seem to be underpriced. 

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The common complaint about Live Nation is that it controls too many venues, and that Ticketmaster has too large a share of the ticketing business, especially in ways that annoy the hell out of consumers. Those factors may be less important than they seem, though. Most areas only have so many venues, and it’s not entirely clear how much sense it might make to have more than one ticket retailer handle each show. (It’s far easier to argue that companies in the primary market shouldn’t enter the secondary market, and vice versa.) And since a share of Ticketmaster fees end up going to promoters or venues anyway, cutting them could just end up shifting costs to the face-value price of tickets. I hate the extra charges on budget airlines, but eliminating them would just make tickets more expensive.  

The more serious issue is how Live Nation uses its market power. Ticketmaster signs long-term contracts with venues in exchange for exclusive ticketing rights, which has been an issue since Pearl Jam took on the practice three decades ago. But the most damning parts of the lawsuit, to which Live Nation will respond before the end of summer, involve issues that haven’t received as much attention. The Department of Justice alleges that Live Nation restricts artists from performing in its venues unless they also use the company as a promoter and presses venues to sign exclusive deals with Ticketmaster. This kind of behavior is an important part of what antitrust law is designed to prevent — wielding the leverage that comes from dominance in one market to gain an unfair advantage in others. The government would need to prove its case, though — and antitrust cases can be hard to win. 

The lawsuit alleges that Live Nation works that way by design. It references a 2019 statement by CEO Michael Rapino that “we have to put the show where we make the most economics,” and that venues that use other ticketing companies could be at a disadvantage. (Under the terms of an antitrust consent decree, Live Nation has a court-appointed monitor tasked with preventing this.) The question is whether Live Nation operates this way, and whether what might be thought of as its platform is intended to do so.

Hence the comparison to Microsoft, which the Department of Justice sued in 1998 for trying to use its dominance in operating systems, and its resulting leverage over PC makers, to control the market for web browsers. (Microsoft lost in district court; that decision was partly overturned by the court of appeals; and the case was eventually settled.) In that case, though, the compatibility issues were intuitive and the harm to consumers was obvious.

For years, antitrust law focused on protecting consumers from higher prices, and it’s not entirely clear that tickets would get cheaper — or that there would be more or better concerts — if Live Nation were constrained or broken up. Some judges and scholars now take a broader view, though, and it’s easier to imagine that more competition would lead to more innovation.

Apart from the legal issues, the lawsuit portrays Live Nation as a minefield of conflict of interest, where the best side of a deal to be on is both of them. Thinking about the company means appreciating the significant synergies among its different businesses while somehow also believing that those different businesses can negotiate fairly with one another. Think of Live Nation’s talent management operation, where agents that represent artists sometimes negotiate deals for concerts against another division of the company. The artists must be satisfied with the service they’re getting, but you also have to wonder if the House always wins.

This is just the opening salvo in what’s likely to be a long conflict — antitrust cases tend to be long and complicated, and this one could have eras, like Swift. By the end of it, though, whichever side wins, Live Nation will either be constrained from having its various divisions work together in a way that disadvantages competitors or it will have to take more care that they don’t — and this can only be a good thing for the rest of the business. 

Officials with the Department of Justice’s Antitrust Division plan to sue Live Nation after they wrap up a two-and-a-half-year investigation into the company, according to two high-level sources with knowledge of the matter.
The lawsuit will take aim at Ticketmaster’s use of exclusive venue contracts for its ticketing services, the sources say. Last week, Live Nation officials met with attorneys from the Department of Justice to discuss the case, including DOJ Assistant Attorney Jonathan Kanter, but neither the DOJ nor Live Nation commented on the meeting’s details. There’s no clear timeline on when the DOJ plans to officially close its investigation or file suit, and the two sides could meet again to discuss the case. Both The Wall Street Journal and Politico have previously reported that the DOJ planned to sue Live Nation in published reports earlier this year.

Live Nation officials are continuing to cooperate with the investigation, company president Joe Berchtold indicated on a May 2 earnings call. Based on the issues the DOJ has raised with Live Nation, Berchtold said he believes the lawsuit is related to “specific business practices at Live Nation” and “not the legality of the Live Nation/Ticketmaster merger.”

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That’s both good and bad for Live Nation officials. On the one hand, if the merger isn’t central to the government’s case, then ending the merger and splitting the company up probably isn’t on the table — at least according to Berchtold. Alternatively, if the government believes that the company’s use of exclusive ticketing contracts with venues is monopolistic, it could propose an even harsher penalty.

That’s because politicians like Senator Amy Klobuchar (D-Minn.), who chairs the anti-trust subcommittee in the Senate, have zeroed in on Ticketmaster’s 70-80% market share of the top 100 highest-grossing theaters, arenas and stadiums in North America. Klobuchar has repeatedly said she believes Ticketmaster uses exclusive contracts to lock up market share. In contrast, Ticketmaster attorneys and industry advocates have argued before that the exclusive nature of these contracts benefits venues because it simplifies the ticket-buying process for consumers and generates important revenue for venues that they would not earn without an exclusive agreement.

DOJ officials are also expected to argue that Live Nation has illegally abused its power in the concert business to drive up ticket prices over the last decade, in part through additional fees that can add as much as 30% to ticket prices.

But officials from Ticketmaster, which Live Nation controls, have long argued that artists set their ticket prices, not Ticketmaster, and that only a small percentage of the fees collected above face value go to the ticketing company, with the vast majority of those funds going to venues to help cover the costs of a concert.

The government also bears the burden of proving why its proposed remedies — like forcing Live Nation to sell its stake in Ticketmaster — would benefit consumers.

Simply being named in an antitrust lawsuit filed by Kanter has the potential to significantly damage Live Nation reputationally and financially. A detailed lawsuit against it could galvanize the company’s critics behind a narrative that alleges the concert conglomerate acts monopolistically and abuses its power, undoing the company’s efforts in recent years to improve its image and destigmatize its business model.

A lawsuit will also likely have a negative impact on the company’s share price and serve as a major distraction for Live Nation when it would otherwise be focused on strategic expansion following its most successful fiscal year ever, with revenue up 36% from the previous year and an impressive $1.8 billion in adjusted net income.

Instead, Live Nation may face the full weight of America’s top law enforcement agency, which this year has taken on companies like Apple and Google with market capitalizations that are each 100 times larger than Live Nation’s. While Kanter’s efforts against these companies have been applauded by powerful allies including Senator Amy Klobuchar (D-Minn.), who has vowed to “make antitrust sexy again,” Kanter’s efforts so far have been unsuccessful, with the DOJ losing the bulk of the major antitrust cases it has filed. In December 2022, a judge dismissed the DOJ’s efforts to block a merger between security firms Booze Allen Hamilton and Everwatch as well as mergers between UnitedHealth Group and Change Healthcare, U.S. Sugar Corp and Imperial Sugar, Meta and Within, and Microsoft and Activision.

Kanter also lost a major ruling in the DOJ’s antitrust case against Google earlier this year when a judge struck down a request to bar the tech giant from offering up evidence that activities the government had deemed anti-competitive also had positive qualities that improved the product and generated positive consumer feedback.

“If the government can tip the scales and prevent courts from considering pro-competitive effects, the government could win every case by default,” wrote Sean Heather, a senior vp at the U.S. Chamber of Commerce, in a recent paper on the Google case.

The Google litigation, which deals with ongoing business practices at the company as opposed to a merger, could be a litmus test for a yet-to-be-filed Live Nation suit. In the Google case, the government alleges that the company controls 90% of the online search advertising market by paying out billions of dollars each year to companies like Apple and Samsung to be the default search engine on their computers and smartphones.

While Live Nation officials are confident they can prevail in the looming antitrust case, they will do so with far fewer resources than other companies hauled before the Justice Department in recent years. Live Nation’s market cap currently sits at $22 billion, whereas Google and Apple’s combined market cap is $6.7 trillion, making Live Nation one of the smallest companies in recent decades to be the subject of such a lawsuit.

Live Nation declined to comment for this story. The Department of Justice did not respond to requests for comment.

The U.S. Department of Justice is planning to sue Live Nation over alleged violations of federal antitrust laws, according to a report by the Wall Street Journal.
A lawsuit will be filed within weeks that alleges the concert giant leveraged its dominance over the live music industry to undermine competition for ticketing, the Journal reported Tuesday, citing people familiar with the matter. Few other details about the planned case were revealed.

Live Nation has faced widespread criticism from angry fans and lawmakers since its botched handling of Taylor Swift’s “Eras” tour in 2022. Days after the incident, news broke that the DOJ had already been investigating Live Nation for months over potential antitrust violations.

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Representatives for Live Nation and the DOJ did not immediately return requests for comment from Billboard.

Since Live Nation and Ticketmaster merged in 2010, the company has long faced criticism that it exerts an unfair dominance over the market for live concerts. The DOJ approved the merger at the time, but imposed a so-called consent decree designed to prevent the company from abusing its position. Those restrictions were set to expire in 2020, but they were extended by five years after the DOJ accused Live Nation of repeatedly violating the decree.

That same criticism resurfaced in late 2022 with the disastrous roll out of tickets to Swift’s tour, which saw widespread service delays and website crashes as millions of fans tried – and many failed – to buy tickets.  Live Nation pinned the blame on a “staggering number of bot attacks,” but lawmakers quickly argued that the incident was the result of a market dominated by one company.

“Ticketmaster’s power in the primary ticket market insulates it from the competitive pressures that typically push companies to innovate and improve their services,” said Sen. Amy Klobuchar (D-Minn.), the chair of the Senate subcommittee for antitrust issues.

In December 2022, the New York Times reported that DOJ had already been investigating Live Nation for months before the Swift debacle, including reaching out to venues across the country to ask about the company’s conduct. A year later, Reuters reported that the probe was ongoing, with federal investigators focusing on whether Live Nation imposed anticompetitive agreements on venues.

Last year, Live Nation hired Dan Wall, a veteran competition attorney who previously headed the antitrust practice at the law firm Latham & Watkins, as an executive vice president for corporate and regulatory affairs. In a blog post last month, Wall publicly defended the company against allegations similar to those that could be coming in the DOJ’s lawsuit, arguing that ticket prices were set by artists and driven up by the forces of supply and demand.

“In the ongoing antitrust attacks on Live Nation and Ticketmaster, a constant theme is that their alleged ‘monopolies’ are responsible for high ticket prices,” Wall wrote. “Rhetorically, that’s understandable, because if you want to rile up fans against Live Nation and Ticketmaster, there is no better way than to blame them for something you know fans dislike.”

HipHopWired Featured Video

Source: The Washington Post / Getty
The five former police officers involved in the death of Memphis man Tyre Nichols have been officially indicted by a federal grand jury.
On Tuesday (September 12th), the Justice Department announced that the five former Memphis Police Department officers were indicted on four federal criminal charges in relation to the 29-year-old Black man after he was assaulted on January 7th, accusing them of violating his civil rights. “Tyre Nichols should be alive today. No one in this country should have to bury a loved one because of police violence,” said Kristin Clarke, head of the civil rights division of the Justice Department.

The four counts consist of two counts of deprivation of rights under color of law. The grand jury concluded that the officers – Tadarrius Bean, Demetrius Haley, Emmitt Martin III, Desmond Mills Jr., and Justin Smith – unlawfully assaulted Tyre Nichols and then refused to disclose his injuries to medical responders and willfully refused him medical aid. Nichols would die three days later in the hospital due to injuries sustained from the brutal beating inflicted on him. Those two counts could carry a sentence of life in prison if convicted for each defendant. The other two counts of witness tampering and obstruction carry a potential sentence of up to 20 years in prison.
The federal charges are separate from the charges brought by Tennessee state prosecutors against the former officers, who are also Black. Those charges of second-degree murder, aggravated assault, and official misconduct came after the five were fired and barred from working with law enforcement in the state. Memphis Police Department also disbanded the SCORPION unit they were attached to. The Shelby County District Attorney’s Office welcomed the federal charges, adding that the trials would likely intersect.
“We all heard Mr. Nichols cry out for his mother and say, ‘I’m just trying to go home.’” Said Attorney General Merrick Garland in a video statement before adding, “The Justice Department will continue to hold accountable officers who betray their oath.”
In a statement released to the press afterward, the Nichols family attorneys Ben Crump and Antonio Romanucci said of the indictments: “We applaud AG Garland and Assistant AG Clarke for their tireless efforts to create federal accountability for these officers who were selected to be part of the Memphis Police Department’s SCORPION unit and savagely ended Tyre’s life, setting a critical precedent for accountability and justice.”

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