Ticketmaster, TicketsNow to hand over broker information to state and federal officials

By Alfred Branch Jr.

Bowing to pressure from state, federal and Canadian authorities, Ticketmaster Entertainment said today that it was going to turn over to officials "certain information about TicketsNow's broker clients and their sales activities."

In an email to TicketsNow clients, Ticketmaster outlined some of its reasons for doing it, stressing that it centered around its handling of Bruce Springsteen ticket sales, which were part of a settlement the company reached with New Jersey Attorney General Anne Milgram.

But, the company said it is not only turning over records pertaining to the Springsteen sales, but it was also turning over "the names and contact information of all ticket brokers with whom TicketsNow does business," in addition to "copies of TicketsNow broker contracts."

One of the government entities likely requesting the information from Ticketmaster and TicketsNow is the U.S. Department of Justice, which recently launched a second wave of questions as part of its investigation into the proposed merger of Ticketmaster and Live Nation. There is also speculation that a grand jury may be seeking information on ticket holdbacks.
Text of the email sent out by Ticketmaster is below:

As you are aware, recent events have resulted in a heightened level of interest in Ticketmaster’s and TicketsNow’s businesses. One by-product of this heightened interest is that we have received a number of subpoenas and demands for sworn information about TicketsNow and its broker clients. These include formal requests for information and/or subpoenas from, among others, the United States Department of Justice, the New Jersey Attorney General’s office, the Federal Trade Commission and the Canadian Competition Bureau.

The purpose of this letter is to inform you that we are now required to hand over certain information about TicketsNow's broker clients and their sales activities. In particular, we are required to identify: (i) information regarding any seller of tickets on TicketsNow for the May 21 and May 23, 2009 Bruce Springsteen concerts at the IZOD Center in New Jersey; (ii) the names and contact information of all ticket brokers with whom TicketsNow does business; and (iii) copies of TicketsNow broker contracts.

We are taking steps to protect the confidentiality of these materials once produced but feel we are required to provide these materials in response to lawful demands. Therefore, please be advised that we will respond to these subpoenas and demands for information one week from today.

We appreciate your understanding in this matter.

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Anonymous's picture
 

Anonymous's picture
Anonymous (not verified)

Talk about a turn of events, just last summer ticketmaster loved brokers, at NATB they were gushing about how they want to work with us, not against us. Well guess what. Cheryl is gone, Sean is gone and Azoff told congress he wants to do away with the secondary market. Huh?

Before they purchased TNow they hated brokers ... why? Because it made them more money.

After they bought TNow they loved brokers ... why? Because it made them more money.

Now they want to merge with LiveNation and hate brokers again ... why? Because it will make them more money.

Ted's picture
Ted (not verified)

The bands are just as guilty as the brokers and Ticketmaster. They have individuals who negotiate the deals for the band to get a certain percentage of the tickets. There is a large number of these that are then sold back to Ticketmaster to put on the Ticketrsnow website at twice or more than face value.

The bands make more money, they keep their fans, and Ticketmaster takes the heat.

Pearl Jam will have members from their staff on the leaked list of brokers.

Just watch.

Anonymous's picture
Anonymous (not verified)

You sleep with dogs, you are gonna get fleas. Getting harder to tell which is which, but Tioketmaster is definitely the blood sucking flea.

Anonymous's picture
Anonymous (not verified)

Well said.

Anonymous's picture
Anonymous (not verified)

Just read the email myself. Not impressed.

Anonymous's picture
Anonymous (not verified)

When Springsteen was referring to others scalping tickets, I think he was trying to specifically rat out Bon Jovi his NJ rivals. Image is everything to Springsteen he comes of so wholesome but legendarily pays his band members sh*t.

I think Springsteen’s influencing the NJ AG's office to investigate how many tickets Bon Jovi sold for his shows on TicketMaster's TicketExchange

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