Top Antitrust Enforcer at Justice Department Departs Ahead of Key Case
In a surprising turn of events in mid-February, the Justice Department lost its top antitrust enforcer, Gail Slater. This came just weeks before Slater was set to argue one of the year’s biggest antimonopoly cases in court. Slater announced her sudden departure on her personal X account, sparking increased scrutiny and speculation.
Rumors of Internal Tensions
Insiders familiar with the agency’s workings were less surprised by the announcement. Rumors of tension between Slater and her team, the DOJ leadership, and President Donald Trump had been circulating for months. The president’s penchant for personal negotiations raised questions about who would be in charge of antitrust enforcement.
Two of Slater’s top deputies were previously fired for what the DOJ labeled as “insubordination”. These officials were reportedly resistant to a wireless network deal between Hewlett Packard Enterprise (HPE) and Juniper Networks, which was being pushed by lobbyists and DOJ officials. A third deputy also left the agency a week before Slater’s departure.
Possible Influence of Lobbyists
The timing of Slater’s departure has raised eyebrows due to the potential involvement of Mike Davis, a lobbyist close to Trump. Davis, who was involved in the HPE-Juniper deal, is also reportedly linked to Live Nation. However, Live Nation did not comment on this alleged connection. A former DOJ official described Slater’s departure as an explicit representation of what was previously happening implicitly. The official suggested that powerful companies have realized they could broker deals and achieve favorable results in ways that were previously impossible.
Following Slater’s announcement, Attorney General Pam Bondi thanked her for her service to the Antitrust Division in a statement, recognizing her efforts to protect consumers, promote affordability, and expand economic opportunity.
Legal Battle Against Live Nation-Ticketmaster
The DOJ and a group of 40 state attorneys general filed a lawsuit against Live Nation-Ticketmaster in May 2024. The lawsuit alleges that Live Nation-Ticketmaster used anticompetitive practices to lock artists and venues into its orbit, driving up ticket prices for consumers. The company denied these claims, stating in a blog post that the lawsuit overlooked the actual factors responsible for the rise in ticket prices.
With the trial set to begin on March 2, there are questions about whether the DOJ will continue with the case. If the DOJ decides to back out, some of the 40 states that were part of the original lawsuit would likely continue with the litigation. California’s top antitrust enforcer, Paula Blizzard, and Tennessee Attorney General Jonathan Skrmetti, have already expressed their intentions to proceed with the lawsuit.
Interim Successor Committed to Continuity
Omeed Assefi, who has taken over Slater’s role on an interim basis, has committed to continuing her agenda. He believes the arguments favor going to trial and has encouraged staff to use his work in criminal antitrust enforcement as a guide for how he plans to run the division. Nevertheless, Slater’s departure is a significant loss, given her reputation as a serious antitrust enforcer.
States Prepared for Changes
State law enforcement officials are no strangers to changes in trial partners or jurisdictional priorities, as noted by Gwendolyn Lindsay Cooley, Wisconsin’s former antitrust chief and chair of the National Association of Attorneys General’s multistate antitrust task force. States are prepared to handle these changes and have experienced trial lawyers ready to fill in any gaps left by federal prosecutors.
The case of the T-Mobile-Sprint merger dispute, where some states continued to fight the merger despite approval from Trump’s DOJ, serves as an example of potential scenarios. The states could potentially be more aggressive in pursuing the Live Nation-Ticketmaster lawsuit, as the company has been widely criticized by musicians and concertgoers alike.
According to Cooley, complaints about Ticketmaster are among the top 10 issues state AGs often hear about, indicating that this is a matter of significant public interest. As such, it is expected that state AGs will pay close attention to the lawsuit and its outcomes.
For more information on this topic, click Here.
