A law firm in Australia is considering introducing a class action lawsuit against entertainment giant Live Nation and its ticketing subsidiary, Ticketmaster. This potential action comes after the program’s revealing investigations Four Cornerswhich exposed controversial practices in concert ticket sales.
At the center of the controversy is the practice known as dynamic pricinga method by which ticket prices fluctuate based on demand. This strategy, together with the imposition of hidden feeshas generated considerable discomfort among music fans in Australia.
James Naughtonpartner of Gordon Legalhas expressed that his firm has received numerous complaints from consumers concerned about these practices. Fans feel pressured to make hasty decisions about expensive purchases, without having a clear idea of the final price until the last moment. The firm is investigating whether these practices could constitute deceptive or immoral conductor if they violate consumer protection laws.
Live Nationwhich generated record revenue last year, has declined to comment on Gordon Legal’s plans. However, the company has previously defended its practices, stating that Ticketmaster does not set prices nor does it use algorithm-based pricing technologies. According to Live Nation, it is the artists’ teams and event organizers who control pricing.
The investigation of Four Corners revealed that concert-goers in Australia face a series of hidden feeswhich can be significant. For example, for a ticket over $65 at Melbourne’s Palais Theatre, fans may face additional fees of up to $30 or $40.
Ticketmaster has responded to these allegations by stating that it fully complies with Australian Consumer Law, incorporating all fees into the final price and clearly disclosing any optional charges. Live Nation argues that these fees are necessary to cover essential costs, including technological development, customer service and security.
The debate about these practices has even reached government levels. While the UK’s competition watchdog is investigating dynamic pricing, Australia’s federal Arts Minister, Tony Burkehas taken a more passive stance, suggesting that Australian consumers are already accustomed to this practice.
The controversy has also sparked reactions in the art community. Peter Garrettband leader Midnight Oilhas noted that musicians do not receive the full amount reflected in the ticket price, highlighting the complexity of the pricing and fee setting system in the live music industry.
This case highlights the tensions between the business practices of large entertainment corporations and consumers’ expectations of transparency and fairness. The possible class action lawsuit could set an important precedent in the regulation of the ticketing industry in Australia, potentially leading to significant changes in how prices are set and fares are communicated to consumers.
Meanwhile, music fans in Australia continue to face a complex and often opaque ticketing marketwhere the final price of attending a concert can be considerably higher than initially expected. The resolution of this conflict could have far-reaching implications for the live entertainment industry in Australia and potentially other international markets.
