Service Charges Go To Court

A class-action lawsuit has been filed against Live Nation Entertainment in Baltimore, alleging the company is violating state law by tacking on unreasonable service charges to its tickets.

The lawsuit was filed on behalf of Andre Bourgeois, who bought a ticket to see Jackson Browne at Lyric Opera House in 2009 and had a service charge exceeding $12 on top of the $52 face value. Bourgeois bought his ducat through Ticketmaster, but Live Nation is a defendant because of the merger of the two.

The lawsuit claims Baltimore City Code prohibits the sale of tickets, at face value or above, by anyone not licensed as a “ticket agency” by the Baltimore City Director of Finance. Neither Live Nation nor fellow defendant Monumental Ticketing – previously known as Ticketmaster Group Limited Partnership – are allegedly licensed as ticketing agencies in Baltimore. And, if they were, the city code allows them to have a maximum service charge of 50 cents per ticket, according to the lawsuit.

The lawsuit charges several violations, including violation of the Maryland Consumer Protection Act and negligent misrepresentation and several violations of the RICO act, including mail fraud, wire fraud and interstate transport of money converted or fraudulently obtained.

The lawsuit seeks the return of the service charges, plus treble damages, pre-judgment interest, and reasonable costs and attorneys’ fees, among other demands.

A Live Nation spokeswoman told Pollstar the company does not comment on pending litigation.