The U.S. Federal Trade Commission (FTC) and a group of state attorneys general filed a lawsuit against Ticketmaster and its parent company, accusing them of utilizing illegal tactics to overcharge consumers for live event tickets. The FTC alleged that Live Nation and Ticketmaster misled artists and consumers by advertising lower ticket prices than the actual cost and falsely claiming to enforce ticket purchase limits.
According to the FTC, Ticketmaster collaborates with ticket brokers who circumvent these limits by using fake accounts to purchase large quantities of tickets, which are then resold on Ticketmaster’s platform at inflated prices. This scheme allows Ticketmaster to profit from the additional fees generated by these sales.
Ticketmaster, controlling over 80% of primary ticketing for major U.S. concert venues, reportedly amassed over $82.6 billion in ticket sales between 2019 and 2024. FTC Chairman Andrew Ferguson emphasized the importance of making live entertainment accessible to all without exorbitant costs.
The lawsuit was filed in the U.S. District Court for the Central District of California, with several state attorneys general joining the legal action. Ticketmaster has faced scrutiny since 2022 when ticket sales for Taylor Swift’s Eras Tour were marred by technical issues and bot interference. The Biden administration implemented a rule banning hidden fees, mandating that Ticketmaster display the full ticket price upfront.
Subsequently, President Donald Trump signed an executive order directing enforcement actions against unfair practices in the ticket resale market. In a separate lawsuit, the FTC accused a Maryland-based ticket broker of using deceptive methods to acquire tickets, including those for Swift’s tour.
Regarding Canada’s response, Keldon Bester from the Canadian Anti-Monopoly Project highlighted Ticketmaster’s history of deceiving customers and enabling scalping. While the U.S. has robust consumer protection measures, Canada’s approach involves provincial jurisdiction over ticket sales regulations.
The Competition Bureau in Canada previously sued Ticketmaster in 2018 for “drip pricing,” alleging the company inflated ticket prices through hidden fees. Although Ticketmaster settled for $6 million, Bester anticipates a prolonged legal battle in the U.S., questioning whether consumers will benefit from any settlement agreements.
The Competition Bureau in Canada indicated awareness of the U.S. lawsuit but maintained confidentiality on potential investigations. Bester expressed skepticism about the prospects of a favorable resolution for consumers given Ticketmaster’s track record of exploiting customers and industry stakeholders.