FTC, Seven States Sue Ticketmaster, Live Nation Over $3.7B Ticket Price Inflation Scheme

The Federal Trade Commission (FTC) and seven U.S. states have filed a lawsuit against Ticketmaster and its parent company Live Nation, accusing them of collaborating with ticket brokers to inflate ticket prices and deceive consumers. The lawsuit alleges that Ticketmaster allowed brokers to purchase large quantities of tickets, bypassing purchase limits set by artists, then resold these tickets on Ticketmaster’s platform at significantly marked-up prices, generating billions in resale fees. Additionally, Ticketmaster is accused of using bait-and-switch tactics by advertising lower prices but adding substantial hidden fees late in the checkout process, misleading buyers. The FTC’s internal investigation found a few brokers controlled thousands of accounts, holding hundreds of thousands of tickets for numerous events, which were resold at inflated costs. This legal action marks a significant test of the Better Online Ticket Sales (BOTS) Act of 2016, targeting Ticketmaster’s systemic practices rather than individual scalpers, with the goal of restoring fair access to live entertainment. The lawsuit highlights Ticketmaster’s dominant control over U.S. ticketing and follows prior controversies, including the problematic handling of Taylor Swift’s Eras Tour ticket sales.