Recent actions from the Federal Trade Commission (FTC) and seven state attorneys general have accused Ticketmaster and its parent company, LiveNation, of benefiting from fees while ignoring widespread illegal resale practices.
The complaint charges Ticketmaster, based in California, with misleading artists and consumers by advertising low ticket prices and imposing strict purchase limits. Ultimately, customers end up purchasing the same tickets at “a much higher cost” on Ticketmaster’s resale platform, according to the lawsuit.
An internal review by the FTC revealed that merely five brokers operate 6,345 Ticketmaster accounts, overseeing a staggering 246,407 concert tickets across 2,594 events.
According to the lawsuit, from 2019 to 2024, Ticketmaster allegedly hid mandatory fees that resulted in ticket prices being, on average, 44% higher by the time the transaction was completed. The total additional fees during this period amounted to $16.4 billion, as stated by the FTC.
FTC Chairman Andrew N. Ferguson remarked, “American Live Entertainment is the best in the world and should be accessible to all of us. It shouldn’t cost an arm and a leg to take your family to a game or a show with your favorite musician.”
The lawsuit has gathered support from the attorneys general of Virginia, Colorado, Florida, Illinois, Nebraska, Tennessee, and Utah in advocating for improved online ticket sales methods.
Ticketmaster has faced scrutiny from lawmakers since 2022, particularly following a disastrous ticket sale incident for Taylor Swift’s ERAS Tour, where their system was overwhelmed, allowing bots to scoop up tickets intended for fans. This incident led to a hearing in 2023, where Senator Amy Klobuchar questioned Live Nation’s practices.
The FTC reports that Ticketmaster commands about 80% of the primary ticket market for major concerts, making it a target for both the Biden and Trump administrations.
In March, former President Trump, alongside Kid Rock, signed an executive order aimed at combating ticket overpricing. This directive urged the FTC to take action against unfair and deceptive practices within the secondary ticket market.
In August, the FTC also sued a Maryland-based ticket broker accused of utilizing fictitious Ticketmaster accounts and other methods to acquire tickets for events, including those of Swift.
From 2019 to 2024, Americans reportedly spent over $82.6 billion on tickets through Ticketmaster, according to FTC data.
Nexstar attempted to reach out to Ticketmaster for a comment but did not receive an immediate reply.
