Ticketmaster and Live Nation Face New RICO Lawsuit Over Alleged Price Fixing

A group of fans of Taylor Swift and other musicians has filed a new lawsuit against Ticketmaster and its parent company, Live Nation, alleging that the two companies colluded with other organizations to drive up ticket prices. The plaintiffs claim that this conduct violates the Racketeer Influenced and Corrupt Organizations (RICO) Act, according to reports published on Monday.

The complaint, which was filed in California state court on Friday, expands on a federal court case brought by Swift fans earlier this year. It accuses Ticketmaster and Live Nation of engaging "in a pattern of racketeering activity". This lawsuit allegedly builds upon existing cases against the companies, with the most recent being the US Department of Justice's filing to dismantle Live Nation in May.

Live Nation has responded to these allegations, saying that they are based on false assumptions about how ticketing works. "Artist teams, not Ticketmaster, set prices," noted a spokesperson for the company. "Live Nation does not own stadiums in the U.S. and primary tickets are consistently priced below market value, as evidenced by resale prices averaging more than double."

The US Department of Justice had previously accused Live Nation of antitrust violations and monopolistic practices, which the company has denied, calling the accusations "absurd". However, a day after this suit was filed, another consumer antitrust lawsuit was also filed against Live Nation, seeking $5 billion in damages on behalf of millions of customers.

This comes as no surprise to those following the developments regarding Ticketmaster and Live Nation's practices since their merger in 2010. The companies have faced criticism over their ticket fees, customer service, and allegedly anticompetitive practices.