Ticketmaster Faces Class Action Complaint Over Reported Data Breach: A ‘Failure to Implement and Follow Even the Most Basic Security Procedures’

Federal Judge Dismisses Class-Action Lawsuit Against Ticketmaster
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On cue, Live Nation is facing a class action complaint over the possible hack that reportedly saw criminals secure 560 million Ticketmaster customers’ personal information.

Two Ticketmaster users just recently submitted the nearly 40-page suit to a California federal court, only days after reports indicated that a hacker group called ShinyHunters had compromised the ticketing platform.

At present, the precise extent of the reported Ticketmaster hack is unclear, as are the identities of the almost 600 million impacted consumers. Live Nation, undoubtedly working behind the scenes to assess and mitigate potential damage, doesn’t appear to have commented publicly on the matter.

But according to an early report from HackRead, which is cited in the class action, the mentioned group nabbed an astonishing 1.3 terabytes’ worth of sensitive customer details. Among other things, this includes names, addresses, purchase info, and certain credit-card specifics, per the initial coverage.

Meanwhile, what appears to be a messaging-board screenshot posted by the hacker group shows a sample of the allegedly stolen data and, cutting to the chase, claims one can purchase the entire collection of information for $500,000.

Returning to the suit filed over the far-from-ideal occurrence, the complaint alleges negligence, breach of fiduciary duty, and more on the part of Ticketmaster, which allegedly failed “to implement and follow even the most basic security procedures.”

The reported 560 million affected individuals “now face an increased risk of identity theft and will consequentially have to spend, and will continue to spend, significant time and money to protect themselves,” per the legal text, emphasizing as well the possible victims’ “emotional pain and mental anguish and embarrassment.”

“Those impacted are under heightened and prolonged anxiety and fear, as they will be at risk of falling victim for cybercrimes for years to come,” the plaintiffs added for good measure.

Lastly, in terms of the straightforward action’s key components, the plaintiffs proposed a nationwide class (encompassing U.S. residents whose information was reportedly lifted) and a subclass for California residents.

Allegations associated with the latter group include purported Live Nation and Ticketmaster violations of the California Consumer Privacy Act, the Consumer Legal Remedies Act, and the Unfair Competition Law.

Looking ahead to the future, Live Nation, having reportedly settled all but one wrongful death suit stemming from the Astroworld tragedy, will eventually resolve this class action and put the reported Ticketmaster hack in the rearview.

However, the situation marks the newest in a line of setbacks (and negative headlines) for the business; as most know, the Justice Department is looking to split up Live Nation and Ticketmaster, while a $5 billion consumer class action, potentially the first of many, is also underway.

Notwithstanding these and other setbacks, investors don’t appear especially concerned. Shares in Live Nation (NYSE: LYV), which execs say is set to turn in another record year, are down less than one percent across the past five trading days. Additionally, LYV’s current price, $93.45, represents a close to 17 percent spike from late May of 2023.