The U.S. Court of Appeals for the Ninth Circuit on Monday called Live Nation Entertainment Inc.’s requirement of new procedures for mass arbitration claims unenforceable and rejected the company’s bid to keep a proposed class action lawsuit alleging inflated ticket prices out of court.

The federal appellate panel said Live Nation’s arbitration agreement requiring claims to go through provider New Era ADR Inc. is “unconscionable” under California law. New Era’s newly created rules for dealing with mass arbitration claims gives the company a leg up over plaintiffs, the Ninth Circuit said.