States Claim Fans Overpaid for Concert Tickets in Case Against Ticketmaster

According to Reuters, an attorney representing New York state told jurors on Tuesday that Ticketmaster retains an average of $7.58 from the price of each ticket sold for events at major concert venues. The claim is part of a broader case alleging the company used its dominance in the live entertainment industry to overcharge fans and limit competition.

The trial could have sweeping consequences for the concert business. Per Reuters, the U.S. Department of Justice (DOJ) may seek to break up Live Nation and Ticketmaster if the government prevails, or the companies could be ordered to compensate ticket buyers. The DOJ, along with attorneys general from New York, 38 other states and Washington, D.C., argues that the entertainment giant used its influence to dominate the market in ways that harmed artists, venues and consumers.

Opening statements from the government side framed the case as a battle against monopoly power in the live music industry. “Today, the concert ticket industry is broken, in fact the concert industry itself is broken,” DOJ attorney David Dahlquist told jurors. “It is controlled by a monopolist. It is controlled by Live Nation.”

According to Reuters, lawyers representing the states say Ticketmaster collects higher service fees than competitors such as AXS. Jonathan Hatch, an attorney for New York state, cited an expert estimate suggesting that fans in the states seeking damages may have overpaid between $1.56 and $1.72 per ticket. “We are talking about real money coming out of people’s wallets,” Hatch told the court.

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Live Nation disputes the allegations and says the market remains competitive. Defense attorney David Marriott told jurors that Ticketmaster typically keeps around 5% of the total price paid by fans for tickets. He argued that the company must compete aggressively for business across the live entertainment industry.

Read more: DOJ Accuses Live Nation of Running Illegal Concert Industry Monopoly at Trial Opening

“Every customer we get is a hard-fought battle in a competitive marketplace,” Marriott said.

Per Reuters, several high-profile figures from the music industry are expected to testify during the trial. Among them are singer Kid Rock and Ben Lovett of the band Mumford & Sons. Executives from competing ticketing companies and venue operators, including representatives from Madison Square Garden, are also expected to appear.

The case stems from a DOJ lawsuit filed in 2024 alleging that Live Nation maintains illegal monopolies in parts of the live event and ticketing markets. According to Reuters, prosecutors claim the company required artists to use its concert promotion services if they wanted to perform at outdoor amphitheaters owned by Live Nation. The government also alleges Ticketmaster strengthened its control of ticketing services by using threats and long-term exclusive agreements with major venues.

The legal battle has already narrowed slightly. U.S. District Judge Arun Subramanian recently dismissed several claims in the lawsuit, though he denied Live Nation’s request to pause the trial while it pursued an appeal.

Meanwhile, regulatory scrutiny of Ticketmaster extends beyond this case. According to Reuters, the U.S. Federal Trade Commission has filed a separate lawsuit accusing the company of allowing ticket resellers to bypass its rules and charge excessive prices to fans.

Source: Reuters