Live Nation has avoided a potential payout in excess of $200m after being cleared of any liability related to cancelling its ticketing software licence with Germany rival CTS in 2010.
The Court of Arbitration of the International Chamber of Commerce ruled that Live Nation had validly terminated its ticketing software license agreement with CTS in June 2010 – and therefore owed no liability to the German company’s parent CTS Eventim AG. The deal covered the US, Canada and parts of Europe.
Live Nation’s share price has rocketed more than 15% in the wake of the ruling.
CTS initiated the case in April 2010. Live Nation acquired Ticketmaster in January 2010.
“We are very pleased with, but not surprised by, today’s ruling. The arbitrator’s final decision vindicates Live Nation’s steadfast position that we justifiably terminated our contract with CTS,” said Michael Rapino, president and chief executive officer of Live Nation Entertainment.Music Business Worldwide