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Supreme Court Declines Live Nation Appeal in Antitrust Arbitration Dispute

By  |  October 6, 2025

The U.S. Supreme Court has rejected an appeal by Live Nation Entertainment Inc., leaving intact a lower court ruling that dealt a setback to the concert giant’s attempt to steer a consumer antitrust lawsuit into arbitration. According to Bloomberg, the justices declined to review a federal appeals court decision that found the company’s arbitration agreements with customers to be “unconscionable” under California law and therefore unenforceable.

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    The decision allows consumers to continue pursuing their claims in federal court, alleging that Live Nation and its Ticketmaster subsidiary imposed inflated ticket fees. Per a statement, the case—filed in Los Angeles federal district court—also seeks class action status, potentially broadening its impact on the ticketing industry.

    Live Nation had sought to move the dispute into group arbitration overseen by New Era ADR. The 9th U.S. Circuit Court of Appeals in San Francisco ruled that the Federal Arbitration Act of 1925 does not extend to modern forms of arbitration that did not exist when the law was enacted, including group proceedings. The Supreme Court’s refusal to intervene effectively affirms that position.

    Related: FTC and Seven States Sue Ticketmaster and Live Nation Over Ticketing Practices

    The ruling marks another legal challenge for Live Nation, which has faced extensive scrutiny since its 2010 merger with Ticketmaster. The Justice Department has an active lawsuit seeking to break up the company and is conducting a criminal antitrust investigation that includes Chief Executive Officer Michael Rapino. Additionally, the Federal Trade Commission filed a separate suit last month, accusing Live Nation of enabling large-scale ticket scalping.

    According to Bloomberg, supporters of arbitration argue that the process is less costly and more efficient than traditional court proceedings. Critics counter that companies use arbitration to limit consumers’ rights, preventing them from fully exercising procedural protections available through the judicial system.

    The Supreme Court has previously upheld the enforceability of arbitration clauses under the 1925 law, but the Live Nation case suggests courts may be reevaluating the boundaries of that precedent in the face of evolving arbitration models.

    Source: Bloomberg