LotRO Summer Festival guide page 5: Lithe Days
Now within The Shire, there are many parts to the Hobbit festival known as Lithe Days. These segmented events are spread all across The Shire from the Party Tree just north of Hobbiton, over to where Misty Bolger resides for the fishing tournament, all the way down to the area just south of Michel Delving for the only other horse race: the All-Shire Run. This race is very similar to the Bree Derby, with a few variations in the obstacles you'll face. Still, it's an easy race and well worth it, considering the eventual prize. Keep in mind that while you can run these horse races multiple times, there is a 9 hour cool-down period for your character between each race.
For the fishing tournament, you'll need to talk to Neddie Grub. He's located right along the river just to the east of Hobbiton. He will ask you to catch an assortment of fish from the different regions of Middle-earth. You'll need three Amberjack from Thorin's Hall, three Luillim from Celondim and three Drum from Breeland. Once you've caught these fish, you turn them in to Neddie for the reward of three Summer Festival Tokens.
The main festival itself, up at the Party Tree is where you'll find the usual suspects, plus one very interesting fellow who will initiate you into the Inn League. Since this event requires an entire page of explanation of its own, you will find it on the following page.