WASHINGTON (AP) — The Justice Department touted a tentative settlement of its antitrust lawsuit against Ticketmaster and parent company Live Nation Entertainment on Monday as a victory for consumers that would end an illegal monopoly over live events in America, but over two dozen states planned to keep fighting the companies in court.
The negotiations leading up to the agreement drew criticism from the judge who would have to approve any deal as soon as a government lawyer revealed it in Manhattan federal court, where an antitrust trial began last week. Throughout the day, various state attorneys general issued statements criticizing the agreement.
A “term sheet” spelling out details of the pact said Live Nation had agreed to let venues reach deals that would let a certain portion of tickets be sold by entities other than Ticketmaster. It also would let up to 50% of all tickets to be sold through any ticketing marketplace at amphitheaters that Live Nation owns, operates or controls.
The term sheet also called for Ticketmaster to cap its service fees at those amphitheaters at 15% and to divest ownership or control of 13 amphitheaters, including venues in Milwaukee, Cincinnati, Syracuse, New York, and Austin, Texas. It said Live Nation will create a $280 million settlement fund to settle claims or pay civil penalties to states.
The settlement includes an eight-year extension of the company’s consent decree with the Justice Department, enabling continuing oversight.