Ozzy Osbourne has filed a class action antitrust lawsuit against AEG, THR reports. The suit alleges that the international entertainment giant is illegally tying the booking of its London and Los Angeles venues with something called the “Staples Center Commitment.” The commitment, the complaint alleges, prohibits artists from playing the O2 Arena in London unless they agree to play the Staples Center during their L.A. tour stop. While the complaint notes that the O2 Arena is the “only indoor arena in London with the capacity to host major concerts,” it points out that the Forum in Inglewood is less than 10 miles away from the Staples Center.
Osbourne’s lawyers call the tactic an “illegal tying practice” and claim that AEG is able to “coerce artists” into signing the agreement because of the company’s market power. By signing the agreement, the complaint claims, artists lose “the benefits of free and open competition between Staples and other competing venues such as the Forum.” The lawsuit seeks to nullify the Staples Center Commitment for Osbourne and any other artist who has signed it.
Jay Marciano, AEG’s chairman and CEO, responded to Osbourne’s complaint in a statement. “This suit is without merit and we will vigorously fight it,” he said. “We welcome a closer look at the global live entertainment market and, specifically, our practices and the practices of our competition. AEG has always worked hard to put artists first. At the same time, we must respond to the actions of those we compete with, specifically Live Nation and Madison Square Garden. Fighting for a level playing field is fair competition at its core.”
Osbourne’s management at Live Nation signed the agreement in the process of booking his upcoming farewell tour, No More Tours 2. (It’s worth noting that the Forum is co-owned by Irving Azoff, the former head of Live Nation who has feuded with AEG.) Sharon Osbourne, Ozzy’s wife and manager, has called the Staples Center Commitment “blackmail.” Read the full complaint.
Among other things, AEG owns Coachella organizer Goldenvoice and half of Coachella itself. AEG owner Philip Anschutz’s latest charitable filing showed ties to groups with conservative views on homosexuality, immigration, and more. Yesterday, Anschutz announced that he made a $1 million donation to the Elton John AIDS Foundation.
