The ongoing litigation involving Live Nation and its subsidiary Ticketmaster has reached a notable–but not final–stage. A New York jury recently found civil liability for monopolization and tying brought by a coalition of states. Following the verdict, Bona Law partner Aaron Gott discussed the ruling on FOX 9 ALL DAY and what it may signal for companies.
What the Verdict Establishes
The jury found that Live Nation/Ticketmaster unlawfully maintained monopoly power in ticketing at major concert venues and engaged in tying arrangements linking promotion, venue access, and ticketing services. By controlling multiple levels of the supply chain, the entity effectively eliminated the competitive pressure necessary to keep ticket prices and service fees in check. The theory–vertical integration and contract leverage–is not new, but this case reflects a willingness by enforcers and juries to scrutinize ecosystem-style business models.
