National Independent Talent Organization Comments on “Critical Gaps” in Live Nation Antitrust Settlement
As Live Nation’s antitrust trial continues with 36 co-filing states pursuing their claims following the Department of Justice’s sudden settlement, the National Independent Talent Organization has issued a statement calling for changes to “critical gaps” in the proposed deal. The trade organization representing independent managers and agents commented on the settlement terms in an open letter to the state attorneys general, now tasked with defining more ambitious objectives as they assume direction of the case, and which expressed concerns about “what remains undefined and what that ambiguity could mean for working artists and fans.”
NITO’s open letter outlines five key changes to the settlement structure, strengthening the draft’s agreed-upon “structural changes” for the entertainment giant’s operations by tightening its framing. The organization’s first point regards the requirement that Live Nation share ticketing data with artists as “potentially the most consequential provision in this settlement,” but asserts that the provision would be “toothless” unless it explicitly requires the data to be actionable and available for import into artists’ own CRM systems.
NITO also addressed the proposed 15% cap on service fees at Live Nation amphitheaters. While this concession is arguably most immediately relevant to concertgoers, the organization’s letter illustrates how “service fees” are only one aspect of the bundled, unexplained additional fees tacked on to the original ticket price at purchase, and that limiting the requirement to amphitheaters does little to support the emerging artists with price-sensitive audiences most harmed by excessive fees. To address this, the organization proposes a comprehensive cap on total fees at 15% of a ticket’s face value, applied to all Live Nation shows and venues.
To resolve the anticompetitive practices and market dominance at the heart of Live Nation’s antitrust trial, NITO proposed enabling independent promoters at Live Nation venues to access ancillary revenue (food and beverages, parking and merchandise) and expanding the outside ticketing inventory allowances at formerly Ticketmaster-exclusive venues to a full 50% split with other primary ticketing platforms of the venue’s choosing. Finally, the letter calls for a robust enforcement mechanism for all these regulations, citing previously ineffective consent decrees and the enduring threat of retaliation from Live Nation.
“NITO is committed to working constructively with all parties toward a more competitive, transparent, and equitable live music industry,” NITO Executive Director Nathaniel Marro wrote. “Our members and our organization stand ready to serve as a resource in that effort and we will continue to advocate loudly until these gaps are closed.”
Learn more about NITO at nitolive.org.
