The government suddenly settled with Live Nation-Ticketmaster mid-trial last week, but dozens of states decided to keep fighting the ticketing giant in court anyway.
This creates an unusual legal situation where state attorneys general are now leading a major antitrust case that the federal government just walked away from. The states believe they can get a better deal than whatever the Justice Department agreed to behind closed doors.
The States Step In
Originally, this was supposed to be a federal antitrust trial targeting Live Nation’s control over concert venues and ticket sales. But when the Justice Department reached a surprise settlement during the trial, it left the participating states in an awkward position.
Rather than accept the federal settlement, the states chose to continue the case on their own. Legal experts say this is pretty rare – usually when the feds settle, everyone else follows suit. But state attorneys general apparently think they can extract bigger concessions from Live Nation than whatever deal the Justice Department made.
The trial restarted Monday with a smoother tone than the chaotic previous week. States are now calling the shots instead of federal prosecutors, which could mean a completely different legal strategy going forward.
What’s Next
The states will need to prove they can effectively prosecute this complex antitrust case without federal resources and expertise. If they succeed, it could set a precedent for states taking independent action against big tech and entertainment companies when they disagree with federal settlements.
