Live Nation signage is displayed outside of offices in Hollywood, Calif. on May 30, 2024. Photo by PATRICK T. FALLON/AFP via Getty Images

The U.S. Federal Trade Commission and seven states sued Live Nation Entertainment Inc. and its Ticketmaster subsidiary for failing to stem the use of automated ticketing bots and large-scale resale operations in a lawsuit that could see the ticketing giant face billions of dollars in penalties.

The consumer protection agency said the nation’s largest ticketing platform failed to enforce its own purchase limits, which allowed resellers to buy up large numbers of passes for popular events, according to a lawsuit filed in California federal court Thursday. The agency said that Ticketmaster systematically ignored ticket brokers that bypassed its limi

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