Ticketmaster changes sales practices after Springsteen flap

Ticketmaster is changing the way it sells tickets online after a widespread backlash over allegedly inflated prices for Bruce Springsteen concert tickets.

New Jersey Attorney General Anne Milgram, who helped lead the investigation into whether the company broke state laws, said Monday that the two sides had reached a settlement.

The controversy began after more than 2,000 fans complained that initial attempts to buy tickets to a Feb. 2 Springsteen concert in New Jersey simply redirected them to a subsidiary, TicketsNow, which offered the tickets at an inflated price.

Under the settlement, Ticketmaster will pay the state $350,000 US to settle costs associated with the investigation, the Star-Ledger, a New Jersey paper,reported.

Monday's settlement also requires the firm tohalt a previous advertising arrangement that had customers Googling Ticketmaster being automatically sent to the TicketsNow website, the Star-Ledger reported.

But the Associated Press reported Ticketmaster would not admit to any wrongdoing in the case.

Problem due to software glitch: firm

Ticketmaster said in a statement Monday that the problem was caused by a software glitch. The "voluntary agreement" with the attorney general just formalizes changes the company had already implemented, the company said.

The company will now reimburse the ticketholders who complained and will change how it handles secondary sales nationwide.

Springsteen had blasted the company in the immediate aftermath of the controversy, saying he was "furious" and that the redirect was an "abuse" of his fans.

Ticketmaster CEO Irving Azoffthenissued an apology to the singer and his fans, saying the company has removed the redirect.

Similar Canadian controversy

The company has faced similar controversy in Canada. Earlier this month, two law firms launched class-action procedures against Ticketmaster and related parties in Ontario.

The firms say they represent people whobought tickets at inflated pricesfrom TicketsNow after first being turned away by Ticketmaster.

The law firms claim Ticketmaster and the other defendants owe a total of $500 million in damages to their client and others who were overcharged. They also allege the defendants violated Ontario law. Ticketmaster has said in response to prior complaints that the company's ticket-selling system is fair and doesn't violate the law.