, , , , , , ,

StubHub Hit With $16M Verdict in Long-Running Court Battle With Ticketing Startup


StubHub must pay more than $16 million in legal damages after a jury decided that the ticketing giant intentionally torpedoed a smaller company’s lucrative concierge partnership with American Express.


Following a month-long trial, a Los Angeles jury on Friday (May 24) sided with Spotlight Ticket Management — a tech startup that had sued over allegations that StubHub failed to pay Spotlight millions in commissions and then used false statements to “poison” the company’s relationship with Amex.

Related


Leading up to the trial, StubHub had argued it paid Spotlight everything that was owed and that the smaller firm had killed its Amex deal itself by being an “unreasonable partner” to the financial giant: “The true cause of Spotlight’s demise was Spotlight itself.”


But in Friday’s verdict, the jurors found for Spotlight on both issues. They ordered StubHub to pay $3 million over the commissions; $5.3 million over money lost from the terminated Amex partnership; and another $8.1 million that they said Spotlight would have earned from Amex in the future.


StubHub did not immediately return a request for comment. Amex was not named as a defendant in the case or accused of any wrongdoing. In a statement, Spotlight called the verdict “a victory for Spotlight, for affiliate partners more broadly, and for ticket purchasers across the country.”


Launched in 2007, Spotlight offers ticketing management software to help companies provide event access to their employees or customers. One of its major clients was Amex, which used Spotlight as part of its concierge system to buy concert and sports tickets for premium cardholders.


In its lawsuit, Spotlight claimed that it had successfully partnered with StubHub for years, sending as much as $85 million in ticket sales to the company’s platform and receiving a 7% commission on those sales.


But starting in 2016, Spotlight claimed that StubHub began underpaying those commissions. And when the smaller company raised the dispute, it claimed that StubHub retaliated by tanking its relationship with Amex with false and disparaging claims.


“StubHub gave Amex an ‘ultimatum’ that it could not work with Spotlight for these reasons and Amex would lose access to StubHub’s entire ticket inventory, crushing the availability of secondary market tickets to the Amex Concierge program overnight, unless Amex got rid of Spotlight,” the company’s attorneys wrote in a pre-trial briefing.


StubHub sharply disagreed. In its own filings, the company argued that it had paid Spotlight all the commissions that it was actually owed under its affiliate program. And it said that the smaller company had “destroyed its own relationship with Amex” through “erratic behavior.”


“Spotlight has taken a modest dispute about payment of affiliate commissions and morphed it into a conspiratorial web to support its claim for hundreds of millions of dollars,” StubHub’s attorneys wrote. “Amex witnesses have testified that they decided not to renew based on Spotlight’s unreasonable demands and that StubHub had nothing to do with Amex’s decision.”


But following a three-week trial, jurors believed Spotlight’s version of events, finding StubHub liable for breach of contract over the unpaid commissions as well as intentional interference with contract and intentional interference with prospective economic relations over the Amex partnership.


StubHub can appeal the verdict, first by asking the judge to order a new trial and then by taking the case to a California appeals court.

https://www.billboard.com/pro/stubhub-pay-16m-verdict-lawsuit-ticketing-startup/


January 2025
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728293031  

About Us

Welcome to encircle News! We are a cutting-edge technology news company that is dedicated to bringing you the latest and greatest in everything tech. From automobiles to drones, software to hardware, we’ve got you covered.

At encircle News, we believe that technology is more than just a tool, it’s a way of life. And we’re here to help you stay on top of all the latest trends and developments in this ever-evolving field. We know that technology is constantly changing, and that can be overwhelming, but we’re here to make it easy for you to keep up.

We’re a team of tech enthusiasts who are passionate about everything tech and love to share our knowledge with others. We believe that technology should be accessible to everyone, and we’re here to make sure it is. Our mission is to provide you with fun, engaging, and informative content that helps you to understand and embrace the latest technologies.

From the newest cars on the road to the latest drones taking to the skies, we’ve got you covered. We also dive deep into the world of software and hardware, bringing you the latest updates on everything from operating systems to processors.

So whether you’re a tech enthusiast, a business professional, or just someone who wants to stay up-to-date on the latest advancements in technology, encircle News is the place for you. Join us on this exciting journey and be a part of shaping the future.

Podcasts

TWiT 1015: Smarter Than a House Cat – TikTok, Trumpcoin, Samsung Unpacked 2025 This Week in Tech (Audio)

Supreme Court Upholds Law That Threatens US TikTok Ban Trumpcoin Texas Sues Allstate Over Its Collection of Driver Data Skyrocketing car-insurance premiums are pushing inflation higher Behind the Curtain — Coming soon: Ph.D.-level super-agents 4 surprise products we could see at Samsung Unpacked 2025 Apple suspends error-strewn AI generated news alerts US Finalizes Rule Banning Smart Cars With Russian, Chinese Tech Natrium 'advanced nuclear' power plant wins Wyoming permit – WyoFile Cash App parent fined $175 million for 'woefully incomplete' response to fraud FDA Proposes Significant Step Toward Reducing Nicotine to Minimally or Nonaddictive Level in Cigarettes and Certain Other Combusted Tobacco Products Host: Leo Laporte Guests: Jason Hiner, Paris Martineau, and Molly White Download or subscribe to This Week in Tech at https://twit.tv/shows/this-week-in-tech Get episodes ad-free with Club TWiT at https://twit.tv/clubtwit Sponsors: joindeleteme.com/twit promo code TWIT ziprecruiter.com/twit NetSuite.com/TWIT canary.tools/twit – use code: TWIT shopify.com/twit
  1. TWiT 1015: Smarter Than a House Cat – TikTok, Trumpcoin, Samsung Unpacked 2025
  2. TWiT 1014: Just Say It's Capitalism – CES 2025, Meta News, Newag DRM
  3. TWiT 1013: Calamari in Crisis – Touching the Sun, Fake Spotify Artists, Banished Words
  4. TWiT 1012: Our Best Of 2024 – The Best Moments From TWiT's 2024
  5. TWiT 1011: The Year in Review – A Look at the Top Stories of 2024