In light of the whole Ed Sheeran debacle, I was wondering if someone could explain how these big tours work.

Does Live Nation, for example "hire" and artist and then handle all the logistics of booking arenas, selling tickets etc? If so, can arena/stadium owner close their venue without financial penalties? How does it work if an artist cancels a tour? Are there provisions in the contract to that regard?

Thanks in advance. And btw I'm not trying to shift the blame or whatever. I'm genuinely curious about how all of this works.