Wednesday, April 6, 2011

NFL & Brady Brunch Go to Court Today

The NFL and the Players (Brady Bunch) are heading to Court today.

This is day 1 of the hearing, and the players are asking the Court to lift the injunction. Why? Once it's lifted, the NFL will have to set down a bunch of rules governing the players next season (e.g., franchise tag, draft rules, etc.), which will be challenged as antitrust or anti-competitive violations. This is because competitors can't get together and impose restrictions on the marketplace. The Courts have repeatedly concluded that the 32 NFL teams are competitors, so any restrictions they impose on the players open them up to antitrust litigation. The players would in turn sue for those violations. The prospect of catastrophic monetary damages being awarded against the NFL for these antitrust violations in turn gives the players tremendous leverage in CBA negotiations. Messy business.

Expect a quick decision from the Court.

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