In what looks like an increasing frustration by Ticketmaster with sellers in the secondary market "interfering" with their exclusive business deals, it has responded by filing a number of lawsuits this week, culminating with eBay's StubHub.
The suit alleges that StubHub acquired tickets for the Rowdy Frynds Tour and sold them, knowing that Ticketmaster has an exclusive deal with the venue. Ticketmaster also said that the company marketed themselves as the "official" provider of premium seats.
Ticketmaster also said that StubHub used strongarm tactics to force companies to sell premium tickets to them or they would "not be chosen to host future events."
Responding to the law suit, StubHub spokesman Sean Pate said, "StubHub believes the lawsuit filed by Ticketmaster is without merit and intends to vigorously defend itself against these unsubstantiated claims."
Ticketmaster is asking to be compensated for all the money gained by StubHub through their "unlawful and improper business practices," and additional punitive damages along with a permanent injunction barring them from these types of sales in the future.
Other lawsuits filed by Ticketmaster this week targeted RMG Technologies which they say makes software which enables users to get hold of huge blocks of seats that can then be resold for a profit. They also went after some individuals who they accuse of using bots and other devices to get into Ticketmasters servers, which they say violates their terms of service and is a federal computer crime.
Ticketmaster has been successful by controlling the stadiums and arenas and stamping out competition. Makes for a great business but with no real competition, not such a great service, and there is no one to check their ability to keep raising their fees. One can only hope the internet and web marketers will open up this market like they have so many others. Does this lawsuit even make sense? Does anyone know what StubHub has to do with the venues? Isn't it like Craigslist or eBay? I don't understand how it has any power to make them do anything.
Posted by: BGreen | April 22, 2007 7:27 PM | Permalink to Comment