Photo Credit: Wesley Tingey
A federal judge has now determined that Live Nation must face the music. The high-stakes trial is still set for March 2nd, though backroom DOJ discussions continue.
The U.S. Department of Justice’s antitrust case against Live Nation/Ticketmaster will continue, Judge Arun Subramanian of the United States District Court for the Southern District of New York determined on Wednesday, February 18. However, some aspects of the case have been tossed, including allegations tied to so-called “fan experiences.”
After 15 months of discovery leading up to the trial, which is still set to begin on March 2, Live Nation moved for summary judgment on the government’s claims, aiming to settle the case piecemeal or outright. Now, the judge has determined exactly what will be up for debate at trial, and what aspects Live Nation can see tossed out. Spoiler alert: not much is being tossed out.
The court specified that three sets of claims against Live Nation will proceed to trial: the government’s claims concerning whether Live Nation used its “vast portfolio” of amphitheaters to impact the artist-facing amphitheater market; its claims concerning whether the company used its weight to skew the venue-facing primary ticketing market (which includes the states’ claim for damages); and the state claims that aren’t subject to dismissal based on resolution of the federal claims.
Meanwhile, the court is still determining whether Live Nation’s request for the government to cut its witness list can move forward, while the government argues that Live Nation’s own list is even larger and therefore makes their request moot.
Live Nation has also requested that the court bifurcate the trial in order to separate the federal from the state claims, which would result in only the state claims being heard at trial while the DOJ claims would proceed separately.
According to Live Nation, requiring a single jury to apply evidence of federal claims separately from state claims in the same trial “would create substantial prejudice.” Further, Live Nation points out that “under the applicable statutes of limitation, the States and DOJ are not allowed to use the same evidence to pursue their claims.”
Whether the state claims will be the core of the matter at trial while the DOJ’s claims are either tried separately—or settled behind closed doors—will be revealed in the coming weeks. While the request for bifurcation makes sense, it could easily play into Live Nation’s hand of trying to settle the federal matter without going to trial outright.
The state attorneys general have made clear they intend to move forward with their claims against the live events giant regardless of the federal government’s decision. Perhaps only hearing the state matters at court could play to the state AGs’ advantage too. Keep watching this space for updates.
