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Could UK Class Actions Put a Stop to Ticketmaster’s Price-Gouging?

Could UK Class Actions Put a Stop to Ticketmaster’s Price-Gouging?

The following piece was contributed by Tom Davey, Co-Founder and Director at Factor Risk Management. News of another class-action lawsuit against Ticketmaster comes as little surprise, given the company’s long history of legal disputes both in the UK and North America. Described by US senator Richard Blumenthal as a “monopolistic mess”, the company has been beset with criticism and legal action ever since merging with events promoter and venue operator Live Nation in 2010. The combined entity controls around 70% of the live venue and ticketing marketplace, a situation which many believe it exploits at the expense of its customers. The latest class-action suit, filed by a Canadian law firm, centres on the alleged price-gouging of ticket sales for an upcoming concert by rap superstar Drake. A Montreal man purchased two “Official Platinum” tickets for Drake’s show on 14th July, believing it was the only date he would be performing at the Bell Centre. Having paid $789.54 for each ticket, he then discovered the next day that a second show had been added, with the same tickets each costing $350 less than what he had paid. The suit claims that Ticketmaster had been deceptive in not announcing both dates at the same time and had intentionally withheld the information about a second show to manipulate fans into overpaying. Further, the suit alleges that the tickets sold as “Official Platinum” were simply ordinary tickets relabelled as premium in bad faith. As such, compensation of the difference between the prices paid and the cheaper-priced identical tickets is being sought, as well as punitive damages of $300 for each affected customer. While collective actions are not easy to mount in North America, plaintiffs are bolstered by the fact that juries there tend to be more claimant-friendly than in other jurisdictions, including by awarding significant damages when finding in their favour. Beneficial costs rules also make such legal actions easier to bring, making the conditions sufficiently clement for group claims to proceed to trial. By contrast, the system in the UK remains more austere, operating under an unclear, unpredictable and complex regime, whether in the High Court or in the Competition Appeal Tribunal (CAT). However, there is an increasing trend of lawyers at North American firms with a UK presence, or vice versa, noticing the direction of travel set by their colleagues in the US and exploring similar actions, subject to the limitations of their respective jurisdiction. As such, Ticketmaster’s various legal issues in North America may well prove a precursor for similar UK-based claims. The current class-action facing Ticketmaster is just the latest in a series of lawsuits brought against the company for claims including price fixing and anti-competitive behaviour. The company also faced severe criticism after introducing a “dynamic pricing” model in the UK last year. Already in use in its US sales operations, the system replaces fixed-price tickets with tickets that fluctuate in price based on demand, with critics seeing the model as yet another example of Ticketmaster abusing its dominance of the market to extract even more profit from a captive consumer base. The company’s legal woes are not limited to issues over the pricing of its tickets. Following a data breach affecting 1.5m UK customers in 2018, Ticketmaster settled out of court in relation to a 40,000-strong group claim. However, the £1.25m penalty notice issued by the ICO did not confer compensation to the affected individuals, nor was it binding by the court. In any event, given the seriousness of the breach, in which personal and banking information was stolen and misused, resulting in over 60,000 bank cards being fraudulently used, such a small fine would have had little effect as a deterrent. With global revenues of over $9 billion, it is evident that large companies like Ticketmaster are able to flout the rules with limited financial impact. With little meaningful regulatory or court enforcement against the firm, Ticketmaster continues to operate with impunity, safe in the knowledge that its ballooning profits will exceed any financial penalties imposed for any wrongdoing it carries out. There are clouds on the company’s horizon, however, with US Senators earlier this year calling on the Justice Department to investigate what they called “anticompetitive conduct” by Ticketmaster in relation to its sales. Their call to arms followed a Senate Judiciary Committee hearing in February, which had convened to investigate the lack of competition in the ticketing industry and what they saw as the unfair dominance of Ticketmaster in the sector. The Senate inquiry had been prompted in part by the well-publicized fiasco surrounding ticket sales for Taylor Swift’s upcoming five-month tour. Ticketmaster’s website crashed during the sales process, stranding customers in line for “presale” tickets for hours, and eventually leading to the cancellation of the public sale. Instead, the only tickets available for purchase were listed on resale sites at sky-high prices, despite Ticketmaster’s promises to weed out scalpers, bots and resale firms from its original sales process.  A class action lawsuit duly followed the debacle, as well as reports that the Justice Department had already opened an antitrust investigation into the firm. Politicians were quick to echo the concerns of affected customers, while Tennessee’s attorney general announced a consumer protection investigation into the company after being deluged with complaints from residents of the state. Should the claims of antitrust practices be confirmed by the Justice Department, there is a high likelihood that legal teams in the UK would then explore a potential claim against the company via the CAT. This would be a lengthy, expensive and high-risk process, with any cases brought via such route needing third-party funding in order to see their way to fruition. While group actions such as the Canadian lawsuit currently facing Ticketmaster can be complex processes to negotiate, court-awarded compensation is a far more effective tool in curbing corporate malpractice when compared with the modest fines which regulators can levy. If UK law firms are to follow the lead of their North American counterparts, Ticketmaster may finally pay the price for price-gouging.

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Eskariam Secures €50 Million Credit Facility from Victory Park Capital to Expand Complex Damages Litigation

By John Freund |

Spanish litigation boutique Eskariam has secured a €50 million senior secured credit facility from U.S.-based Victory Park Capital, providing fresh capital to finance the firm's pipeline of complex damages and commercial disputes.

As reported by Iberian Lawyer, the facility underscores growing investor appetite for deploying private credit into litigation-intensive law firms in continental Europe, where the market for third-party capital has lagged the U.K. and the United States but is maturing rapidly.

Eskariam was founded to pursue large-scale damages claims, including cartel follow-on actions, competition cases, and high-value commercial disputes. The firm intends to use the facility to underwrite case costs, including expert fees and long-tail disbursements, while pursuing an expanding portfolio of multi-party claims on behalf of corporate clients.

Victory Park Capital, a Chicago-headquartered alternative asset manager with more than $10 billion in assets under management, has become an increasingly visible lender to specialty finance businesses, including law firm credit and litigation finance platforms. The Eskariam transaction reflects VPC's continued push into European legal assets, where credit facilities to claimant-side firms are emerging as a preferred structure for institutional investors seeking exposure to litigation returns without taking direct case risk.

The deal arrives against the backdrop of a European Commission weighing regulatory guardrails for third-party litigation funding, even as funders and law firms deepen the capital structures underpinning cross-border damages claims.

Federal Judges Weigh the Future of Third-Party Litigation Funding Inside Their Courtrooms

By John Freund |

Federal trial judges are openly grappling with how third-party litigation funding is reshaping the litigation they oversee, even as the formal rules governing disclosure remain unsettled.

As reported by Law.com, district court judges have acknowledged that funded claims are now routine features of complex commercial dockets, with funding arrangements shaping case strategy, settlement posture, and litigation duration. Several jurists emphasized that rules of disclosure have not caught up to the economic realities already present in their courtrooms.

The remarks underscore a growing divide between the federal judiciary's operational experience with litigation funding and the slower-moving rule-making process. The Judiciary's Advisory Committee on Civil Rules advanced a TPLF transparency proposal earlier this month, but broad federal disclosure remains a meaningful distance from adoption. In the meantime, individual judges are using existing case-management authority to probe funding arrangements where conflicts, control, or settlement dynamics come into question.

For commercial funders, the discussion highlights the importance of maintaining clean documentation and control boundaries between funded parties and their investors. Disclosure-adjacent questions — including whether funders exercise veto rights, participate in settlement decisions, or receive litigation work product — are increasingly the subject of ad hoc scrutiny from the bench.

The conversation also signals that judges are unlikely to wait for national rule-making before addressing TPLF-related issues that affect their cases, reinforcing the patchwork regulatory environment in which commercial funders currently operate.

Michigan House Committee Advances Third-Party Litigation Funding Transparency Bill

By John Freund |

A Michigan House committee has voted to advance legislation requiring disclosure of third-party litigation funding arrangements in civil cases, joining the wave of state-level transparency measures working their way through U.S. legislatures.

As reported by Michigan Farm News, the bill would compel parties in civil litigation to disclose outside funding arrangements to defendants, judges, and courts. Supporters argued that current practice allows outside investors to finance lawsuits without any of the other participants knowing, creating undisclosed conflicts of interest and distorting litigation dynamics.

The measure reflects a coordinated push by business coalitions, insurers, and tort-reform advocates to bring greater visibility to the capital structures behind civil claims. Similar bills are active in Florida, Louisiana, Pennsylvania, Kansas, and at the federal level, reflecting an evolving state-by-state landscape in which funders increasingly face a patchwork of disclosure regimes.

Proponents argue that transparency gives courts information needed to manage conflicts and police abusive practices, particularly in multi-plaintiff and mass-tort contexts. Opponents, including consumer funding advocates and commercial funders, argue that broad disclosure risks discouraging legitimate financing arrangements and exposing confidential business information without a corresponding benefit.

For commercial and consumer funders operating in Michigan, the committee vote is an early warning that disclosure standards are moving in a less permissive direction. If enacted, the Michigan law would require operational and contractual adjustments to align with the state's reporting requirements, adding to compliance costs across multi-state portfolios.