Live Nation Clears Legal Jam
Most notably, the long-running battle between Clear Channel and Chicago’s JamSports Entertainment – which originally resulted in a $90 million judgement in JamSports’ favor last March – was settled out of court just weeks before a new trial was to begin February 6.
Clear Channel’s motor sports division was transferred to Live Nation in the spinoff December 21.
Terms of the settlement, which was filed with the U.S. District Court, Northeast Illinois, on December 21 are confidential, but Jam’s Jerry Mickelson confirmed the suit’s resolution to Pollstar.
“The parties have resolved all their differences,” Mickelson said. “The JamSports principles are very, very, very happy to have this behind us.”
Judge Matthew Kennelly decided in August to throw out $73 million in combined punitive damages awarded for the claims to separate different issues in the original suit, ordering a new trial on that basis, according to JamSports attorney Jeffrey Singer.
The remaining $17 million was awarded for compensatory damages.
According to court documents, the ruling did not alter the findings of the jury, but would have required a new trial, with a new jury, to revisit the determination of damages. The settlement makes the issues, and the trial, moot.
A week before settling with JamSports, Clear Channel cleared an even longer-running case from the dockets.
Former Metropolitan Entertainment Group promoter Keith Beccia sued Clear Channel and Covanta Energy Corp. in 2002 over the sale of Metropolitan’s assets to Mitch Slater.
In his suit, Beccia accused Clear Channel of underming a deal he made for the sale of Metropolitan after an offer made by the conglomerate was turned down.
That suit was also scheduled to go to trial February 6. Instead, a settlement was reached December 14.