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Concertgoers breathed a sigh of relief following the Department of Justice’s lawsuit against Live Nation

Arizona Attorney General Kris Mayes, who announced that Arizona has joined the Department of Justice and 29 other states in suing Live Nation and Ticketmaster for anticompetitive business practices. (File photo: Mary Grace Grabill/Cronkite News)

WASHINGTON – Arizona concert-goers long irritated by the so-called “admission tax,” saw a glimmer of relief after the state and the U.S. Department of Justice charged companies with access to the nation’s top venues with monopolistic practices and price fixing.

“I hate them. The fees are absolutely ridiculous,” said Khambrel Speer, a hairdresser from Chandler who goes through Ticketmaster to watch the Rattlers play indoor soccer at the Desert Diamond Arena in Glendale.

The antitrust lawsuit filed Thursday by the Department of Justice and joined by 30 states, including Arizona, alleges that Live Nation and its subsidiary Ticketmaster harmed consumers through a series of inflated fees, including service fees, convenience fees, VIP and handling fees.

The lawsuit also accuses Live Nation of stretching its monopoly power by signing restrictive, long-term contracts with venues.

The lawsuit alleges that Live Nation owns or controls 60 of the top 100 amphitheaters nationwide. He also tours – for example, Maren Morris plays at Arizona Financial, a building owned by Live Nation, and Ticketmaster is the sole ticket provider.

The lawsuit accuses the company of using its leverage over venues and artists to drive ticket sales to Ticketmaster. Major venues across the valley use Ticketmaster as their primary ticketing application, including the Arizona Financial Theater in Phoenix and State Farm Stadium in Glendale, both controlled by Live Nation.

According to the Department of Justice and states, Ticketmaster handles 75% of ticket sales to major concert venues nationwide.

“I… always use Ticketmaster,” said Lindsey Kearns, who attended a Beyoncé concert at State Farm Arena last year.

But Kearns, 33, a counselor, would happily buy tickets elsewhere if she could.

“For years, Live Nation’s anti-competitive and monopolistic practices have resulted in Arizonans paying more to watch their favorite artists than they otherwise would have paid,” Arizona Attorney General Kris Mayes said in a written statement. “The uncompetitive live entertainment market created by Live Nation has also left artists and venues with no choice but to use Live Nation. This lack of competition harms everyone, from fans to performers – and it’s time to hold Live Nation accountable for its violations of the law.”

Public pressure for an investigation into Live Nation stems in part from the botched pre-sale of tickets for Taylor Swift’s Eras tour in November 2022. Live Nation ultimately canceled the pre-sale after Swifties struggled with long wait times and website outages.

As a result, the Senate Judiciary Committee subpoenaed Live Nation for a hearing on its role in the ticketing industry.

The confusion, however, did not lead to the adoption of any federal legislation.

In a written statement, Dan Wall, executive vice president of corporate and regulatory affairs at Live Nation, rejected the allegations made by the Justice Department and the states.

He said the antitrust lawsuit “blames concert promoters and ticketing companies – neither of which controls ticket prices – for high ticket prices. “It ignores everything that is actually responsible for higher ticket prices, from rising production costs to the popularity of artists to the 24/7 online ticket scalping that reveals the public’s willingness to pay much more than original ticket prices.”

Wall called it “absurd to claim that Live Nation and Ticketmaster have monopoly power. The characteristic feature of a monopolist is monopoly profits derived from monopolistic prices. Live Nation does not fit this profile in any way. Ticketmaster service fees are no higher than… other major ticketing sites, and are often lower.”

The Department of Justice and the states are asking the court to prohibit Live Nation from engaging in anticompetitive practices that make it more difficult for competitors to grow in the market because of the threat of retaliation from Live Nation. The Justice Department is also asking the court to order Live Nation to divest Ticketmaster, ensuring that the same company will not both control the facility and sell event tickets there.

“I appreciate the hope that they will make the purchasing process fairer and more organized,” Kearns said.