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Ticketmaster Faces Class Action Lawsuit Over Online Ticket Sales

Ticketmaster will need to defend itself in a class action for allegedly engaging in a type of "bait and switch" tactic that sent ticket buyers to an online Ticketmaster subsidiary which charged much higher prices, if a New Jersey court gives the okay to the lawsuit.

The lawsuit filed Tuesday alleges that fans looking to purchase tickets to concerts featuring popular performers like Britney Spears, Phish, and Hannah Montana were re-directed to TicketsNow.com, a Ticketmaster subsidiary that resells tickets at much higher prices, according to the New Jersey Star-Ledger.

If class action status is granted for the lawsuit, thousands of consumers may be able to join, provided that they 1) visited Ticketmaster.com after January 15, 2) were automatically re-directed to TicketsNow.com, and 3) bought tickets at a price that was over face value, according to the New Jersey Star-Ledger.

In class action lawsuits, people with the same (or similar) injuries or damages join together in a single legal action against one or more defendants. In consumer class actions, people who may be affected will usually receive a notice in the mail describing the suit, and are given an opportunity to join or instructions on how to "opt out." (Learn more about Class Action cases.)

Today's announcement of a proposed class action lawsuit against Ticketmaster in New Jersey is just the latest entry on a timeline of legal action between the state and the ticketing giant.

In February, Ticketmaster and New Jersey Attorney General Anne Milgram reached an agreement to settle allegations over the company's online sale of tickets to two Bruce Springsteen concerts, including charges that fans were charged for transactions that were never completed, or were directly referred to a more expensive Ticketmaster subsidiary's website.

• N.J. Star-Ledger: Lawsuit Challenges Ticket Site's Markups
• Ticketmaster Settles With New Jersey AG Over Springsteen Ticket Sales (FindLaw's Common Law)
• Consumers and the Law: Articles, FAQ, and More (FindLaw)
• What is a Class Action? (FindLaw)
• Internet Class Actions (provided by Erik S. Syverson, Attorney at Law)

Full post as published by FindLaw's Common Law on May 07, 2009 (boomark / email).