Verdicts & Settlements

RESULT DATE: Mar. 21, 2025
Brian Donley, individually and on behalf of all others similarly situated v. Live Nation Entertainment Inc., Michael Rapino, and Joe Berchtold (2:23-cv-06343-KK-AS)
CD CA
25-JV_144703

TOPIC: Securities
SUB TOPIC: Securities Exchange Act
FURTHER DESCRIPTION: Commodities
Arbitration

JUDGE: Kenly K. Kato
ATTORNEYS:
Plaintiff:
Laurence M. Rosen (The Rosen Law Firm PA)
Phillip Kim (The Rosen Law Firm PA)
Joshua Baker (The Rosen Law Firm PA)
Robert V. Prongay (Glancy, Prongay & Murray LLP)
Ex Kano S. Sams II (Glancy, Prongay & Murray LLP)
Garth A. Spencer (Glancy, Prongay & Murray LLP)
Frank R. Cruz (Law Offices of Frank R. Cruz)

Defendant:
Melanie M. Blunschi (Latham & Watkins LLP)
Nicholas R. Rosellini (Latham & Watkins LLP)
Elizabeth J. Cheng (Latham & Watkins LLP)

FACTS: In 2022, The *New York Times* reported that the DOJ had opened an antitrust investigation into Defendants Ticketmaster and Live Nation after the ticketing platform’s systems crashed during a competitive presale for Taylor Swift tickets. As a result, Live Nation’s stock price fell 7.8%. A few months later, *NPR* reported that a Senate Judiciary Subcommittee presented to the DOJ evidence that Live Nation was harming America’s music industry with its anticompetitive business tactics. Following this news, Live Nation’s stock price fell 10.1%. Five months later, *Politico* reported that the DOJ was expected to file an antitrust lawsuit against Defendants, and another stock price decline of 7.8% followed.

A group of shareholders led by Brian Donley sued Live Nation and affiliates, alleging that Defendants made materially false and/or misleading statements by failing to disclose to investors that: Live Nation engaged in anticompetitive conduct; Live Nation was reasonably likely to incur regulatory scrutiny,  Penalties, and reputational harm; and as a result of the foregoing, Defendants’ positive statements about the company’s business prospects were materially misleading and/or lacked a reasonable basis. The parties agreed to settle the case.

RESULT: The case settled for $20 million.
FILING DATE: Aug. 4, 2023