State Attorneys General Seek Mistrial After Surprise Settlement in Live Nation/Ticketmaster Case

The Trump administration has unexpectedly agreed to a settlement with Live Nation and Ticketmaster, halting its pursuit of breaking up the companies, a move that has taken state attorneys general by surprise during an ongoing trial. The lawsuit, initially filed by the US Department of Justice and numerous states during the Biden administration in 2024, accused Live Nation of monopolizing the live music industry in the United States and sought the divestiture of Ticketmaster.

The trial, which began last week in the US District Court for the Southern District of New York, was abruptly interrupted when the US and Live Nation announced a proposed settlement on March 8. This unexpected development prompted the presiding judge to express disapproval, labeling the manner of the announcement as "absolutely unacceptable."

In response, attorneys general from 27 states and the District of Columbia have filed a motion for a mistrial. They argue that the sudden withdrawal of the US from the case could mislead the jury into believing that Live Nation's alleged antitrust violations have been resolved or that the states' claims lack merit. The states are seeking time to prepare for a new trial and to assess the settlement terms.

The settlement, according to reports, involves Live Nation agreeing to alter its ticketing practices, allowing venues to use multiple vendors instead of exclusively working with Ticketmaster. Additionally, Live Nation would permit touring artists to use other promoters for performances in its amphitheaters and pay financial damages to states joining the settlement. The company has also agreed to pay $280 million in civil penalties and make its ticketing platform accessible to other sellers.

However, some state attorneys general, including Massachusetts' Andrea Joy Campbell, have criticized the settlement as insufficient. Campbell argues that the penalties are minor compared to Live Nation's substantial revenue and that the settlement fails to adequately address the issue of exclusive contracts with concert venues. Her office plans to continue litigation against Live Nation and advocate for the complete divestiture of Ticketmaster.

The settlement agreement, reportedly signed by the DOJ and Live Nation, was not disclosed to the court until after a jury was empaneled. Judge Arun Subramanian criticized the lack of transparency, stating it showed "absolute disrespect for the court, the jury, and this entire process."

State attorneys general were reportedly excluded from settlement discussions and were only informed of the near-final terms shortly before the settlement was announced. They have requested the court to stay proceedings to allow them time to assume the lead role in the trial and explore settlement options independently.

As the states prepare to take over the lead role in the trial, they face the challenge of reallocating resources and negotiating terms without the DOJ's involvement. The outcome of their motion for a mistrial and the future of the case remain uncertain as they seek to address the alleged monopolistic practices of Live Nation and Ticketmaster.