Predictably, the NFL is asking a California Federal Judge to undo the recent $4.7 billion jury verdict in what is known as the “Sunday Ticket Case.”
What Happened In The Case?
The case revolves around allegations that between 2011 and 2023, the NFL, its teams, and DirecTV violated antitrust laws by artificially inflating the price of the Sunday Ticket, thus restraining trade and maintaining an illegal monopoly. Plaintiffs argued that the NFL’s practice of pooling television rights for out-of-market games and alleged side agreements with DirecTV to keep prices high were anticompetitive. The jury sided with the plaintiffs awarding approximately $4.7 billion.
The NFL’s Motion
The NFL has filed what is called a “Renewed Motion for Judgment as a Matter of Law or for a New Trial.” A copy of the NFL’s Motion is attached to this post. Basically, the NFL is trying to undo the jury’s verdict. Below is a summary of the NFL’s main arguments.
1️⃣ Jury’s Damages Calculation: The NFL argues that the jury improperly calculated damages, using a methodology not supported by any damages models presented by the plaintiffs or the defendants. They claim the jury effectively created their own damages model, which is deemed irrational and unsupported by the evidence presented at trial.
2️⃣ Failure of Plaintiffs’ Damages Models: According to the NFL, the plaintiffs failed to present viable class-wide damages theories that the jury could use to determine appropriate damages. The damages figures awarded ($96.9 million for the commercial class and $4.6 billion for the residential class) were allegedly not based on any proposed amounts from the plaintiffs during the trial.
3️⃣ Legal Errors and Jury Instructions: The NFL contends that there were errors in how the court instructed the jury, particularly concerning the rule of reason and considerations of competitive harm versus procompetitive benefits. They argue that these errors may have influenced the jury’s decision.
4️⃣ Allegations of Juror Bias: The NFL raises concerns about potential bias from the jury foreperson, who disclosed during voir dire that they paid for a relative’s Sunday Ticket through YouTubeTV, which wasn’t part of the class period. The NFL argues that this bias should have disqualified the juror and affected the verdict.
What Happens Next?
The Plaintiffs will have an opportunity to respond to the NFL’s Motion. As I discussed in an earlier post, If the NFL loses at the District Court level it will almost certainly appeal to the Ninth Circuit Court of Appeals. In so doing, the NFL will ask for a stay of the judgment pending the appeal. To get the stay, the NFL may have to post a bond (that’s not going to be a problem for the NFL) and if a stay is granted it means everything is on hold pending the appeal.
Bottom line, there is still a long way to go before the NFL must pay any money (if ever) or alter its broadcasting platform.
