BLAW Final 9-12
Constitutional Background: fourteenth amendment
"...No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States...": Equal Protection Clause
Constitutional Background: First Amendment focus
"Congress shall make no law respecting the establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech and or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievance."Establishment Clause. Free Exercise Clause. Freedom of speech: Team prayer constitute freedom of speech rather that religion?, Many arenas and stadiums on college campuses are publicly funded
Strikes and lockouts: history
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NCAA: ethnic- based mascots
31 schools had to explain necessity of using Native America mascot or logo -threatened to prevent hosting post-season championship events or wearing logos on jerseys during that event -seminoles, illini, w&m fighting sioux
MLB: MLBPA v. Steve Garvey
Alleged contract not extended due to collusion. Appeals court reviewed because said arbitrator "dispensed his own brand of industrial justice"- Refusal to credit letter inexplicable and bordered on the irrational. Supreme Court - if an arbitrator is even arguably construing or applying the contract and acting within the scope of his authority the fact that a court is convinced he committed serious error does not suffice to overturn his decision.
Norris LaGuardia Act
Allows employees to organize as a collective bargaining unit to negotiate contract that governs all covered employees as a unit. Attempt to remove courts from having to become involved in labor matter and from abusing their power by issuing injunctions in unionized labor activity.
Federal Baseball Club of Baltimore v National League of Professional Baseball(1922)
Antitrust laws do not apply to professional baseball did not affect interstate commerce- not interstate commerce, travel of state lines only incidental, legitimized reserve clause
Olympic Movement
Arbitration. Ted Stevens Olympic and Amateur Sports Act. Three major classes of disputes. Osbudsman: Provides free advice to athletes
Forms: Arbitration
Arbitrator is the decision-maker
Lindland v. United States Wrestling Assoc.
Argument on who should represent US at Olympics- Lindland protested results of match he lost, Arbitrator Campbell approved the result of the original bout and ignore result of rematch, Campbell Award cannot be confirmed- Exceeded his powers, instituted arbitration to contest Burns Award- Stevens Act does not authorize arbitration about propriety of another arbitrator's decision. Letter from member of Congress tell a judge how to decide a pending case reflects a misunderstanding of the difference between legislative and judicial functions.
Islam
Athletes allowed to fast in observance of religion
Ambush marketing
Attempts of companies to associate themselves with an event, although they are not an official sponsor of the events -deliberate effort to capitalize on the reputation or popularity of an event by creating an association, without the authorization or consent of the parties involved and without paying the sponsorship fee. No per se violation of Lantham Act -unfair competition - use of a conspicuous disclaimer may by enough to avoid liability or an injunction. IOC requires host countries and cites to enact special-event legislation to curtail ambush marketing
ADEA: Minimum Age
Boris v USFL (1984)- Draft rule consisted group boycott; per se violation of s. 1 of Sherman Act
LSU Trademark Licensing
Brian Hummel - director of trademark licensing Lsu licensing trademark program established in 1981
Doe v. Duncanville Indep. Sch, Dist. (1995)
Coach cannot lead prayer before or after games
NCAA: Own form of private justice
Committee of Infractions. Infractions Appeals Committee. Coaching terminations: Arbitration or mediation
Borden v. Sch. Dist. of Twp. of E. Brunswick ('08)
Community knew coach had lead prayer for 23 years, so reasonable observer would perceive as display of governmental endorsement of religion.
Licensing
Considerable revenue from royalty of officially licensed product -ex. Sports merchandising
Counterfeiting
Crime that consist of use of a substantially identical copy of a registered mark on the same goods or services for which the original mark is registered; association -thousands of dollars in lost profits
NBA v Williams
Draft and salary cap are protected by non stat labor exemption
Right of Publicity: C.B.C. Dist. & Mkt, Inc. v. MLB Advanced Media
Elements are (1) use of name as a symbol of identify, (2) without consent, (3) with intent to obtain a commercial advantage -intimation of endorsement is not necessary. Information all in the public domain -speech that entertains protected under the 1st amendment. Baseball players are rewarded through salaries and endorsements-no danger of star power endorsement because of inclusion of all players. Players association did not have exclusive right, title and interest in use - breached a material obligation that it undertook to contract.
ADR
Emphasis is less on lawyers and civil procedure and more on the needs of the parties themselves.
Sherman Antitrust Act of 1890
Enacted to regulate business practices among competitors affecting interstate commerce. It promotes competition and deters monopolistic practices that ultimately hurt consumers.
Trade Dress
Encompasses the total image of a product as opposed to a product's individual parts of aspects. Totality of features - size, shape, color, texture, graphics, packaging -distinctive. Bd. of Supervisors of LSU v. Smack Apparel -use of school colors can create confusion
Hamm
Error identified with the benefit of hindsight, whether admitted or not, cannot be grounds for reversing the result of field of play decisions during competition.
Lemon v. Kutzman (1971)
Excessive Entanglement: Total separate of church and state not required. Must invalidate a statute if it lacks secular legislative purpose.
Copyright: Sonny Bono Copyright Term Extension Act of 1998
Extends duration of copyright protection additional 20 years -Life of the author +70 years, Joint work - 70 years after last surviving author's death, Anonymous, psuedanymous, works for hire - earlier of 95 years from year of first publication or 120 years from year of creation
Subcategories
Fanciful/arbitrary marks - name means nothing before it was big (nike). Suggestive trademarks - allude to the quality or product (coppertone - tanning). Descriptive trademarks - describes the goods and services (LSU - as university). Generic trademarks - bandaid, milk, glue, coke?
Arbitration: Process
File a Grievance. Select and Arbitrator- Jointed process; can either agree to an arbitrator, both can appointed an arbitrator then those arbitrators will agree on a third arbitrator to actually hear the case, Must have some negotiating experience
NFL: Terrell Owens
Filed grievance with support of NFLPA alleging four game suspension was too harsh
Alternative Dispute Resolution
Final agreements or decisions are not made by judges or courts. In sports: Big Four use arbitration as a method to resolve grievances, Olympic Movement uses Court of Arbitration for Sports to resolve disputes surrounding the Olympic Games
ADEA: moore v ND (1998)
Fired after age discrimination claim; willful and discriminatory in violation of ADEA
Section 1 of Sherman Antitrust Act of 1890
Forbids contract, combinations, or conspiracies that may unreasonable restrain trade across state lines.
Patent
Formal grant of property right to the inventor. Granted by US govt to an inventor -exclude others from making, using, offering for sale, or selling the invention for a limited time in exchange for public disclosure when the patent is granted. Grant - novel, not obvious, and serve a useful purpose. Maintain - periodic maintenance fees
License
Formal grant of the use of copyrighted material by the author, conditioned upon payment of a fee or royalty by licensee. Generate money by licensing the material to someone else -ex. Using athletes names and likeness in video games requires a license
Trade Secrets
Formula, pattern, device of compilation of information that is used in business and gives an opportunity to obtain an advantage over competitors who do not know or use it -rights end once released to public
Arbitration: Judicial Review
Generally not appealable to a court. Exceptions: Corruption, fraud, refusing to hear certain evidence, exceeding power, he arbitrator's decision cannot be appealed. The PROCESS can be appealed if the arbitrator has committed fraud or acts in a way that is unfair to one party
Chaudhuri v. State of Tennessee (1997)
Generic Prayers have a secular purpose of dignifying or memorializing a public event, that they do no entangle church and state, and that they do not impermissibility advance or inhibit religion.
National Labor Relations Act: Wagner Act
Guarantees workers right to join union without repercussions. Encourages collective bargaining that requires good faith negotiation re: wages, hours, and other terms of employement- bilateral, good faith, does not compet either part to agree to a proposal or require them to make a concession.
Licensing Agencies
Hired to maintain, protect, market and collect royalties for trademark or media rights -collegiate licensing company, licensing resource group, learfield sports. Owners must protect marks against infringement or risk losing ownership of mark -most important role of licensing company is to protect from illegitimate or unauthorized commercial use.
Mediation-arbitration
Hybrid of mediation and arbitration
NCAA: March MAdness
IHSA and NCAA formed March Madness Athletic Association -transferred all rights and received a license
Olympic Trademarks
IOC has exclusive rights to Olympic symbol, flag, motto, anthem and the Games themselves -grant exlusive marketing rights for a substantial fee. Exclusive rights to the words "Olympic" and "Olympiad". USOC v. International Fed'n of body builders -no likelihood of confusion b/w Mr. Olympia bodybuilding contest and USOC's right to control olympic trademark.
Prohibitions
Immoral, deceptive or scandalous matters cannot be trademarked -ex. Native American references
Cybersquatter
Individual who registers popular or trademarked names in the Internet name space with plans to either sell the names or keep them to turn a profit -extort companies and individuals into paying substantial sums of money in order to regain Internet domain names.
Lantham Act
Injunctions. Treble damages for infringement is confusion, mistake, deception.
Elk Grove Unified School Dist. v. Newdow (2004)
Issue of whether 1954 insertion by Congress of the phrase "under God" into the Pledge of Allegiance violated the First Amendment's Establishment Clause. Supreme Court ruled that Newdow lacked standing so didn't rule.
Menora v. Ill. High Sch. Assn. (1982)
Jewish basketball players failed to prove the ban on headgear placed an undue burden on religious practices.
Field of Play Decision: Ohno
Korea appealed the blocking disqualification of skater.
Clayton Act
Labor unions and labor activities are exempt from Sherman Act. Allows injunction against anti-competitive behavior. DOJ and FTC approval of merger of 2 large corps which prevents merger from creating organization so large it would be too powerful and could hurt consumers. Enforcement civil and criminal by DOJ- fines and imprisonment, civil by FTC, private rights to action-treble damages with Sherman Act violated.
Judaism
MLB players not playing on Jewish holidays. Jets changed game start time to accommodate fans observing Yom Kippur, beginning at sundown.
Collective Bargaining Agreements
Mediation rarely used in team sport disputes since CBAs mandate arbitration. Seitz Decision: Arbitration decision influenced the commencement of free agency in other professional sports leagues
Forms: Mediation
Mediator plays the role of settlement-facilitator
Andrea Armstrong
Muslim who petitioned for an exemption to wear long pants, a top with long sleeves and a scarf during games
Justice v NCAA (1983)
NCAA amateurism rules have sustantial effect on interstate commerce but reasonably related to NCAA's goals of preserving amateurism and promoting fair competition
Tim Tebow Rule
NCAA changed rules to prevent eye black messages entirely containing no words, logos. numbers or other symbols
BYU: Policy against Sunday competition
NCAA has attempted to accommodate by allowing competitor to compete prior to any competition scheduled on a Sunday.
Gains v NCAA(1990)
NCAA's eligibility rules insulated from sherman act
La Mem'l Coliseam Comm'n v NFL (1984)
NFL franchise relocation rules violated section 1 of Sherman Act
Radovich v NFL (1957)
NFL is subject to antitrust laws
USFL v NFL
NFL pressure of major TV networks not to form agreement when USFL was unlawful monopolization
Video Replay
NFL: Indisputable visual evidence in order to overturn an on-field car. MLB: Clear and convincing evidence to overrule call. NHL: Check Goals. NBA: Last second shots.
Rozelle Rule
New club had to compensate previous club with draft pick, current or sum or money that was either agreed upon or imposed by commissioner before trade is effective- kept salaries low, NFL's reserve clause
ncaa: promoting cause
No championship events in South Carolina or Mississippi-ole miss mascot
World Intellectual Property Organization
Offers clauses, rules and neutrals related to ADR procedures. Administers procedures for resolution of disputes relations to abusive registration and otherwise illegitimate domain names
Typosquatting
Owner speculates that someone will misspell an otherwise legitimate domain name and purchases that variation of the name in order to make a profit
McNeil v NFL (1992)
Plan B free agency- allowed clubs to protect right SOT 37 players. League compensation rules were more restrictive than reasonably necessary to achieve the objective of establishing a competitive balance on BLH. Establish unrestricive
Free agency
Player may shop his services around to other teams within the league- not established in professional sports until 1970s.
Air Force Academy
Poem by the Fellowship of Christian Athletes asked to be removed by Academy officials
Santa Fe Indp Sch. Dist. v. Doe (2000)
Prayer in public school over the loudspeaker before game violated Establishment Clause.
Lassonde v. Pleasanton Unified Sch. Dist. (2003)
Principal disallowed parts of student's graduation speech that were heavily religious.
Litigation
Process which uses the legal system to resolve
Section 2 of Sherman Antitrust Act of 1890
Prohibits monopolization of trade and commerce. It prevents abuse of monopoly power by a single entity.
Right of Publicity: Protection
Protects from commercial misappropriation or using likeness without consent form a commercial advantage -includes pot-mortem rights. Exception-No protectable interest for newsworthy events -1st amendment guarantees freedom of speech and the press -right of publicity balanced against these 1st amendment considerations. Facenda v. NFL Films- Violated right of publicity by using Facenda's "Voice of God" in cable TV production without his consent.
ADEA: Age Discrimination and Employment Act (1967)
Protects individuals over 40- Both employees and job applicants with term, condition, and privileges of employment, Also unlawful to retaliate. Defenses- Bona fide occupational qualification, bona fide seniority system, legit reduction in work force, business necessity, merit system, business judgment rules, Win loss record, recruiting ranking, written performance reviews important
Copyright
Protects original literacy, artistic, dramatic, musical, graphics or other creations, including computer software. United States Copyright Act of 1909 -protects the creative ideas of individuals against unauthorized use of copyrighted materials and works. Constitution, Article 1, Section 8, Clause 8- "To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and inventors the exclusive Right to their respective Writings and Discoveries. Exclusive right to reproduce the copyrighted work, prepare derivative works and to distribute copies of the copyrighted work, and to perform or display the work publicly
The Star Spangled Banner
Refusal to stand or turning back to flag. Elevation of love for country over love for God.
Professional Sports No state action but attempt to demonstrate state action based upon use of public stadiums.
Religions
World Intellectual Property Organization
Responsible for the promotion of the protection of intellectual rights.
Right of Publicity: In re NCAA Student Athlete Name and Likeness Litigation
Sam Keller and Ed O'Bannon sued for use of student-athletes' names, pictures and likeness without their permission and without compensation.
Toolson v New York Yankees (1953)
Sherman Act was not meant to include baseball- acknowledged baseball's antitrust exemption was flawed but didn't overrule
Mediation: Process
Shuttle Diplomacy- private Caucuses with parties. Terms of a successful mediation will be reduced to a written contract between the parties.
God Bless America
Since 9/11 commonly sung during 7th inning stretch. NYY threw fan out who left seat to go to bathroom
Interscholastic Environment: Issues
Sports practice and competition prayer. High School Graduation prayer.
Court of Arbitration for Sports:
Sports-specific forum intended to be final, neutral decision-making arbitration body and the only means for Olympic athletes and international federations to resolve their disputes, International Council for Sports Arbitration
Engel c. Vitale (1962)
State officials may not mandate that a prayer be recited at the beginning of each school day, even if it is denominationally neutral and student participation is optional. Teacher led prayer is considered unconstitutional in public schools. Students can exercise their freedom of speech and THEY can pray, but teachers (government actor) cannot join in.
Doping Disputes: Landis
Stripped of 2006 Tour de France title after testing positive for synthetic testosterone levels
Wallace v. Jaffree (1985)
Struck down Alabama statute adding "or voluntary prayer" authorizing a period of silence for meditation in public schools. Struck down because it was entirely for religious purpose.
ACLU of NJ v. Black Horse Pike Reg'l Bd of Ed. ('96)
Struck down policy that allowed class officers to poll graduating class re: prayer, moment of reflection, or nothing at all for graduating ceremony
Minitrials
Structured dispute resolution method in which senior executives meet in the presence of a neutral advisor
Adler v. Duval County Sch. Bd. (1994)
Student's religious message at graduation ok because not school officials' choice.
Jones v. Clear Creek Ind. Sch. Dist. (1992)
Student-led prayer at high school graduation which was approved by a vote of the students, and was non-sectarian and non-proselytizing was acceptable.
Mediation
Submission of a dispute to an impartial facilitator who assists the parties in negotiating a settlement of their dispute. Parties are in complete control of the process and can walk away at any time. Generally not binding. Both parties must agree to decision and sign contract, then one party can sue another for breach of contract
Arbitration
Submitting a dispute to a neutral decision maker for a final resolution of a disagreement. Mostly found in a clause in a contract. Arbitrator makes the final, binding decision unless otherwise agreed in advance by the parties
NBA: Latrell Sprewell
Suspended full year and guaranteed contract terminated for allegedly choking coach.
County of Allegheny v. American Civil Liberties Union (1989)
The government cannot endorse, favor, promote, or prefer any religious belief or practice.
Lee v. Weisman (1992)
The government may not coerce anyone to support or participate in religion or its exercise. Common in the argument against prayer before junior high and high school sports. They feel that have a coach begin prayer in front of team, they may feel obligated to participate or uncomfortable if they choose not to.
Employment Law Issues
Title VII requires employers to reasonably accommodate religious practices of employee unless undue hardship.
Uniform Domain Name Dispute Resolution Policy
Trademark holders can file a case in an attempt to show: that the registered domain is identical or confusingly similar to their trademark; that the registrant has no legitimate interest in the domain name; that the domain name is being used in bad faith.
Copyright Infringement
Unauthorized use of another's work -Tort (ex. Sports broadcast media rights), injunctions, collection and destruction, monetary damages
Trademark
Used by a merchant or manufacturer to identify and distinguish their goods from others -Prevent others from using name, symbol or emblem -Avoid confusion over quality and source of product. Words, names, sounds, colors, scents, symbols, shapes and phrases have been held to be legitimate trademarks. Only after registered at federal level can ™ and ® be used -Loss -abandonment, generice use, indiscriminant licensing, failure to prosecute -Can be maintained forever, as long as used commercially (delaration). Renewed every 10 yrs
United State Patent and Trademark Office (utility lasts 20 yrs, design lasts 14 yrs, plant lasts 20 yrs)
Utility patents, design patents, plant patents -focus on excluding others from using invention without permission
Online Dispute Resolution
Virtual method to resolve disputes
Team Chaplains
Voluntary position, cannot promote any particular religious group or belief, and had to be committed to working with people of a variety of faiths.
Service Mark
Word, name, symbol, device or any combination used or intended to be used in commerce to identify and distinguish the services of one provider form others and to indicate the source of the services. (fedex best known)
Work for Hire
Work prepared by an employee within the scope of employment -specifically ordered or commissioned. Employer is considered to be the author.
Public Domain
Works deemed to be in the public domain may be used without seeking permission and without infringement concerns. No one owns to the right to the works anymore -Lost copyright, expired copyright, owned or authorized by federal government, specifically granted to public domain, non-copyrightable.
Bridgeman v NBA (1987)
after good faith bargaining, the non stat labor exemption last for as long as employer continues to impose particular restraint, once impasse has been reached an employer may unilaterally implement changes that are reasonably comprehended with pre impasse proposals
Antitrust analysis: per se rule analysis- collusion
agreement between 2 or more parties to control price, costs, etc, that is not a product of arms length transaction, ex- MLB owners colluded to not sign free agents to keep salaries down
National Labor Relations Act: non-statutory labor exemption
antitrust laws are not applicable when unions and management that take part in collective bargaining process of negotiating working labor contract- unionized players or employees cannot file antitrust laws
Seitz Decision (1975)
arbitrator ruled that reserve clause granted team only 1 additional year, not perpetual right
Bd of Regents v U of OK and UGA athletic association (1984)
awarding tv rights of college football games to only 2 networks violated antitrust laws and was an unreasonable restraint of trade, precendent needed to televise college sports on an unlimited basis
Categories
brand names, trade dress, certification marks, collective marks
antisiphoning rules
cable monopolies uncontstitutional except for specific events such as march madness and super bowl
Agner (2010)
claimed NCAA conspires to prohibit with college to prohibit multi year athletic scholarhips- prove into whether student athletes shoul be compensated
Basset v NCAA and UK athletic association (2008) case #13)
claimed that bans affect interstate commerce by preventing schools from hiring boycotted coaches to generate sports revenue and preven coach from seeking gainful employment- alleged no antitrust injust, complaint wholly devoid of any allegation on the commercial nature of NCAA's enforement of the rules it determined Bassett had violated
NCAA v Smith (1999)
claims that transfer eleigibility rules violated sherman act were dismissed, changed rules afterward anyway
cartel
combination of producers of a product joined together to control production, sale or price- march madenss and BCS are set up to reward larger conferences more favorably than others
Curt Flood Act of 1998
congress' attempt to legislatively override the antitrust ruling in Federal Baseball- gave mlb players right to sue under antitrust laws provided they first decertify as a union, limited only to certain activities of baseball and little effect on prior court decisions or practival application- does not apply to minor leagues, franchise relocation, club ownership, the relationship between the commissioner and owners and relationships with umpires, MLB is only professional sport which holds an exmption from antitrust laws
Strikes and lockouts: impasse
deadlock, owners can unilaterally institute terms
Walk on Football players (2006)
denied class certification for suit claiming NCAA rules limiting number of scholarships could award violated antitrust law
sports patent
desiign and manufacture for all equipment and goods
Fair Use Doctrine
exception to copyright law- Balance the rights of the copyright owner with society's interest in allowing copying of certain works -Non-commercial endeavors such as teaching, research and science are permitted to distribute and disseminate information to others without having to pay a fee to do so -No clear, bright-line test
TV broadcasts
exempts tv agreements entered into by big 4 from sherman act and deferral antitrust laws. profootball canno tbe broadcase on fridays after 6 pm or saturdays from 2nd froday in sept to 2nd sat in december
Strikes and lockouts: strikes
failure of workers to report to work, majority of players covered by union- 60 day notice- cooling off period, employees can be replaced by "scabs"
blackout rule
games not broadcast within 75 miles of stadium when not sold out 72 hours of opening kickoff
Work Hockey association
granted injunction barring NHL from seeking injunctions under state law to prevent players from moving to WHA. Mccourt v cali sport (1979)- applied mackey test and found that reserve system was incorporated into CBA through bonafide arms length bargaining and so it was exempt from antitrust laws
Haywood act
hardship rule moved to straight from high school- concern for older players. 2005 CBA- 1 year removed/ age 19
Antitrust analysis: Per se rule analysis
inherently unreasonable restraints of trade will be invalidated- harmful effect on competition, conclusively presumed to be unreasonable therefore illegal, ex: price fixing
American football league c NFL (1963)
insufficient evidence of NFL's attempt to monopolize, natural monopoly- did not violate antitrust laws
American Needle v NFL (2010)
issue was whether 32 teams is single entity for antitrust purposes or a collection of 32 separate entities. NFL is not a single entity. league is subject to sherman act and antitrust scrutiny
Warrior Sports v NCAA (2010)
lacrosse rule change affected all manufacturers equally so not an antitrust violation
Molinas v NBA (1961)
legitimate interest in banning gambling- not violation of antitrust law for suspension
Hennessy v NCAA (1977)
limit on number of football assistance coaches was not unreasonable restraint of trade after weighing pro and anticompetitive benefits of restriction
Student athletes not employees so no labor concerns
limited coaches salaries or number of times a school can appear on tv violate antitrust laws because deal with commmercial purposes
Adidas v NCAA (1999)
limiting size of logos on uniforms did not have anticompetitive effect in a properly defined marketing
Free agency: unrestricted free agent
may shop their services around to highest bidder after a certain number of seasons in the league or unpon reaching certain age
ncaa high school logos
minimal licensing fee
National Labor Relations Act: collective bargaining
minimum salaries and salary caps fall under mandatory topics in sports context. guaranteed contracts, renegotiation options and termination clauses permissible topics in the Big 4
Antitrust analysis: per se analysis- tying arrangement
must buy 1 product to purchase another- personal seat licenses
Mackey v NFL (1976)
no bonafide arms length bargaining and concluded that for non statutory labor exemption to apply collective bargaining resulting from good faith arms length bargaining must have occured. mackey test- CBA is only exmpt from anti trust laws when: restraint primarily affects parties agreement, provisions is mandatory subject of bargaining under NRLA, restraint was product of bonafide arms length tranaction. Rozelle Rule considered an unreasonable restraint of trade
Clarette v NFL
non state exemption barred antitrust claim for NFL rule that player couldn't be drafted until 3 years after HS graduation- non stat exemption applied to both labor members and future members
Powell v NFL
nonstatutory labor exemption extends beyond impasse, league did not violate antitrust laws when continued to enforce tears of expired CBA, unions forced to decertify in order to gain leverage during bargaining relationship
Antitrust analysis: rule of reason analysis
not blatantly illegal: plaintiff must allege and price and anticompetitive effect within a cognizable relevant market, burden shifts to defendant to show that the conduct precompetitive effect outweighs anticompetitive effect- whether same effect could be achieved through less restrictive means
National Labor Relations Act: decertification
nuclear option- no union to represent players; lose all benefits contained in CBA, players able to bring antitrust lawsuits
Antitrust analysis: quick look analysis
observer with even a rudimentary understanding of economics could conclude that the arrangements in question would have an anticompetitive effect on consumer markets, presume competitive harm- if not precompetitive justification is given, illegal restriction. if procompetitive justification is given, full scale analysis
Brown v Pro fooball Inc (1996)
owners capping developmental players squad salaries was lawful. non stat labor exemption extends beyond impasse and allows employers to impose unilateral restraints outside the collective bargaining process without fear of antitrust violations
Strikes and lockouts: lockout
owners prevent worker from entering work site
Student athletes not employees so no labor concerns: amateurism and eligibility rules
practice hours, eligibility years, scholarships granted don't serve commercial purposes
Anticybersquatting Consumer
prevents an individual from registering a web domain name in order to profit from the name or mark in bad faith
Single entity theory
professional sports teams are usually not considered single entity since teams are separately owned- WNBA, MLS, AFL were established so league owns all teams so they would be considered single entity.
National Labor Relations act: enforces NRLA
prohibits employers from committing unfair labor practices. oversees process of collective bargaining, leaving results to bargaining parties.
LAw v NCAA (1998)
restricted earnings coaches salaries limited, precompetitive justification that it provides competitive balance did not outweigh costs
Haywood v NBA (1971)
rule that required players wait 4 years to be drafted constituted a group boycott in violation of Sherman Act- didn't require college, Haywood was a pro
White v NCAA
settled case claiming antitrust violations for engaging in horizontal agreement to exclude shcolarhsip from full cost of attendance
free agency: restricted free agent
shop services around but current team retains the right to math the best offer
single entity theory: frasier v MLS
single entity pretest to eliminate competition on market. court said not enough power to collude- didn't clearly answer if single entity
Flood v Kuhn (1972)
sued in order to become free agent- reserve clause was unreasonable restraint of trade under Sherman Act, Team should be able to renew contract for only 1 year not to be built on top of previous extension, Federal Baseball decision was an anomaly, but up to congress to change antitrust exemption, not supreme court
Banks v NCAA (1992)
supported NCAA's intent to create a clear line of demarcation between amateur and professional sports
NIT
teams selected for march madness had to attend- bough out NIT and MIBA schools receive $1M annually
Tanaka v USC (2001)
transfer rules were not commercial and therefore not subject to sherman act scrutity