The United States Department of Justice (DOJ) has reached a tentative settlement in the antitrust lawsuit filed against Live Nation and Ticketmaster two years ago for allegedly monopolizing the live entertainment industry.
This comes less than a week after proceedings began in New York federal court. Although a number of states joined the federal government in its 2024 challenge, Maine was not among this group.
As part of the tentative agreement, Ticketmaster would be required to allow venues to sell a portion of their tickets through other companies. Half of all tickets at amphitheaters owned, operated, or controlled by Live Nation could also be sold through other ticketing companies.
Live Nation would also need to create a $280 million settlement fund that would be used to settle claims or pay civil penalties to states.
Service fees at Live Nation venues would be capped at 15 percent, and the company would be required to divest control or ownership of 13 amphitheaters nationwide.
Among the venues listed on the term sheet for this agreement was the Maine Savings Amphitheater in Bangor.
Should the settlement go through, it is not immediately clear when a sale would happen or what it might mean for the venue, according to WGME.
Before the agreement can be finalized, however, the judge overseeing the case must give it his approval.
The proposed resolution to the lawsuit has, however, faced almost immediate pushback.
Sen. Amy Klobuchar (D-MN), a member of the Senate Judiciary Subcommittee on Privacy, Technology and the Law, argued that the only way to end Live Nation’s monopoly over the entertainment industry is to break up the company.
“The Justice Department’s previous agreements with Live Nation failed because they did not change its incentives to enrich itself over fans, artists, and venues. Today’s settlement appears to be more of the same,” she said in a statement, according to the Associated Press.
Both Judge Arun Subramanian and a number of the states involved in the lawsuit have also criticized the settlement agreement.
According to Judge Subramanian, he was not notified about the negotiations between Ticketmaster and the DOJ, calling it “entirely unacceptable” that the court was not adequately informed.
A statement shared by New York Attorney General Letitia James argued that the terms of the settlement “[fail] to address the monopoly at the center of this case,” indicating that the states will continue pursuing their challenge against the company.
North Carolina Attorney General Jeff Jackson called the tentative settlement “a terrible deal” that was not made known to the states until the eleventh hour.
“This case is about Live Nation and Ticketmaster harming consumers, trapping artists, and driving up ticket prices,” he said. “We will see them back in court, shortly.”
Despite this, a senior Justice Department official told the Associated Press that at least ten states were expected to sign onto the agreement.
The official called the deal a “win-win for everybody,” saying that it would bring immediate relief to consumers and protect venues from retaliation when working with Live Nation’s competitors.
Live Nation Entertainment said in a statement that it was pleased with the agreement it had reached with the DOJ.
“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,” said Michael Rapino, Live Nation president and CEO.
