LAFC was eliminated from the FIFA Club World Cup after Denis Bouanga had a penalty saved deep into stoppage time of a 1-0 loss to Esperance Sportive de Tunis in Nashville on Friday.
The victory takes Esperance level with Chelsea in Group D, after the Premier League side lost 3-1 to Brazil's Flamengo earlier on Friday.
Youcef Belaïli put the Tunisian side in front in the 70th minute but LAFC looked set to level and keep its hopes alive going into the final round of games when referee Espen Eskas awarded a late spot kick following a video review, ruling Khalil Guenichi had felled Marlon in the area.
But Bouanga drove his ensuing penalty kick into the dive of Ben Said, to confirm the exit of LAFC, which gained its place after winning a playoff with Club América just three weeks ago.
The winner of Esperance's meeting with Chelsea on Tuesday in Philadelphia will move on to the knockout phase, with Chelsea advancing on a draw based on superior goal differential. Esperance's victory on Friday confirmed Flamengo's place in the round of 16.
Information from Field Level Media was used in this report.
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