The NFL surprised many by not settling an antitrust class action lawsuit over the Sunday Ticket. Instead, the league is defending its broadcasting practices in a trial in a Los Angeles federal district court. Impressions from the courtroom indicate that the league’s decision to go to trial may be paying off.
According to journalists covering the trial, U.S. District Judge Philip Gutierrez has shown skepticism towards the plaintiffs’ case. He may even grant a motion for judgment as a matter of law. This means that before the case goes to the jury, the judge can decide that no reasonable jury could come to a different conclusion.
The core antitrust question in the trial is whether individual NFL teams can agree to license their broadcasts without competing with each other. Normally, antitrust law requires competitors to compete, but the NFL teams have pooled their broadcasting rights through the Sunday Ticket service. This has allowed local fans to watch their favorite teams without subscribing to cable or a paid satellite service, unlike fans of other sports leagues who usually have to pay to watch games.
The class action lawsuit, which began nine years ago, represents over 2.4 million residential subscribers and more than 48,000 commercial establishments that purchased the Sunday Ticket. Potential damages could exceed $20 billion, as antitrust damages are often tripled.
The NFL’s decision to go to trial shows the league’s confidence in prevailing. The NFL rarely goes to trial and usually settles cases it cannot dismiss. The league’s legal defenses, including arguments related to the Sports Broadcasting Act of 1961, are seen as persuasive.
The trial is expected to conclude soon, and the NFL is hopeful that not settling the case will prove to be the right decision in the end. The league’s ability to maintain control over its broadcasting practices and ensure fans can watch any game, regardless of their location, is a key point in the trial.
Overall, the NFL’s response to the Sunday Ticket trial has been positive, and the league remains optimistic about the outcome of the case.
