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STATE NEWS

Lawsuit claims Clear Channel caused higher ticket prices

11:45 AM CDT on Sunday, June 4, 2006

Associated Press

CINCINNATI -- A rock music fan filed a federal antitrust lawsuit against Clear Channel, claiming the radio giant caused a hike in the price of concert tickets by using its stations to promote only the artists who booked shows through its concert arm.

The lawsuit, filed last week by Daniel Woodring of Cincinnati, names San Antonio-based Clear Channel Communications Inc. and Clear Channel Broadcasting Inc. It seeks class-action status for people who purchased tickets to rock concerts in Kentucky, Indiana and portions of Ohio dating to June 13, 1998, and asks for unspecified monetary damages.

“Clear Channel has engaged in anticompetitive conduct ... that has severely curtailed competition in concert promotion, resulting in increased concert ticket prices,” the lawsuit said.

Woodring is identified in the lawsuit as someone who purchased tickets to one or more rock concerts promoted by Clear Channel.

“He thinks this is another example of a large corporation using its power to charge excessive prices to consumers,” said Woodring’s attorney, Jeffrey Goldenberg of Cincinnati.

The lawsuit also names the Beverly Hills, Calif.-based promotion company Live Nation, which was owned by Clear Channel under the names SFX and Clear Channel Entertainment from 2000 until 2005, when it was spun off and became a publicly traded company.

Messages were left Saturday seeking comment from Live Nation and Clear Channel.

The lawsuit claims Clear Channel, which owns about 1,200 radio stations in the United States, limited the radio airplay of artists who refused to use its promoter, while denying promotional airtime to those who used competing promoters.

It further alleges that the company refused to accept advertising from other concert promoters or charged them excess fees or offered only undesirable time slots.

The lawsuit also claims that Clear Channel paid artists inflated fees, sometimes more than 100 percent of gross sales, to fight competitors and recouped the costs through increased ticket prices.

It’s one of several similar lawsuits pending across the nation.

In March, a federal jury in Chicago ordered Clear Channel to pay

rival promoter Jam Productions Ltd. $90 million for engaging in anticompetitive behavior to land a deal to promote motorcycle races.

Clear Channel has said it would appeal that order.

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