Live Nation has reached a $20 million settlement with investors after a class-action lawsuit alleged that the company misled them regarding its business practices that could spur federal antitrust action. The lawsuit accused Live Nation of implementing high fees, bundling services, and retaliating against venues using non-Ticketmaster services, ultimately exposing the company to risk. Following scrutiny tied to issues during Taylor Swift's ticket sales, the investors contended that they were misinformed about potential risks, including fines and reputational damage, in violation of securities laws. The parties involved deemed the settlement 'fair, reasonable and adequate.'
In 2019, the Justice Department said that Live Nation had violated the terms of its 2010 merger with Ticketmaster by mandating venues use Ticketmaster's ticketing platform if they wanted to book Live Nation performers and retaliating against venues that declined.
The class-action suit claims that Live Nation misled investors when it said it 'does not engage in behaviors that could justify antitrust litigation, let alone orders that would require it to alter fundamental business practices.'
Investors should have been told these practices may 'incur regulatory scrutiny and face fines, penalties, and reputational harm,' the suit claimed.
The settlement comes after a 2023 class-action lawsuit accused the Beverly Hills concert promotion giant of lying about business practices including charging high fees, service bundling and retaliation against venues that used a non-Ticketmaster ticketing service.
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