The Biggest Story in Sports Is Also the Biggest Secret in Sports… Also: NBA Pressed by Congressman on Age-Limit Rule

July 21, 2009 by dwil 

A cold chill could soon come over professional sports. Soaring ticket and merchandise prices would drive the average fan away from stadiums – and likely away from team support. The players’ unions would all be fractured or no-existent, but not before they embark on the strike to end all strikes against draconian new economic standards set by leagues that benefit no one but team owners.

And if you think the players are paid to highly now, just wait until neither coaches nor players are paid commensurate to their entertainment value, especially in the NFL where players trade short-term fame for a 56-year average lifespan and a post career of pain so severe they cannot sleep at night, even with the aid of handfuls of narcotic painkillers.

This new world of pro sports could well be right around the corner…

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It is said that nothing moves the sports media needle like mentioning the name of a big sports star. How about LeBron James? Mike Shanahan? Shaquille O’Neal?

If you watch ESPN and are an NBA fan you noticed that the network scaled back its NBA news last Friday. Monday, other than a mention of Steve Nash’s accepting the Phoenix Suns’ offer of a $22 million extension, there is still no news on the “Lig.” 

Sure, it’s summer and other than NBA Summer League play, not much is happening. But just a week ago talk of player movement in the NBA was top headline news. It was the same for Sports Illustrated.com, the same for CBS Sports.com, and the same for Fox Sports.com.

Now —————- nada. 

And the talk about player movement – particularly the, ‘which team will land LeBron James’ talk – in the bonanza season of 2010-2011 has screeched to an abrupt halt.

Why?

The answer is, just under the surface of the NBA, NFL, MLB, and the NHL lies, potentially, the biggest story in the history of professional sports.

Lying in wait as this is being written is a court case, American Needle, Inc. (ANI) vs. NFL

In December of 2004 ANI filed an antitrust case against the NFL. ANI claims that the NFL, because the league monopolizes professional football in America, is depriving the Buffalo Grove, Illinois company of its fair share of the hats and caps market which bear the logos of NFL teams. The NFL terminated its decades-long relationship with ANI in 2000. Lester Munson, who acts as the ESPN and ESPN.com legal expert explains the rest:

American Needle’s experience offers some evidence of what can happen when the NFL is successful in defending itself against antitrust suits. In court papers, attorneys for American Needle explain that the manufacturer was one of several competing companies licensed to make hats and caps bearing NFL logos. When the league agreed to grant caps-and-hats exclusivity to Reebok in 2000, the prices jumped from $19.99 to $30. Prices of replica jerseys increased by 60 percent, according to Carey, the ANI attorney.

After hearings in 2006, the Senate Judiciary Committee confirmed that it is “well documented” that fans and consumers suffered “losses from potentially anticompetitive agreements among professional sports clubs” such as the exclusive contract with Reebok….

Four and a half years ago, the case was nothing unusual. These sorts of legal actions happen all the time, as the NFL is a popular target for antitrust cases large and small. The league’s law firm, Covington & Burling in Washington, D.C., has defended similar suits for nearly 60 years — recently, the unsuccessful attempt by Ohio State running back Maurice Clarett to alter the NFL’s draft age requirements. Notable losses for the league came in the antitrust cases filed in Minneapolis by Freeman McNeil and Reggie White in the late ’80s and early ’90s that established free agency and other important benefits for NFL players.

For a time, the American Needle case seemed on its way to a rapid conclusion. The NFL won as quickly and as conclusively as anyone can win an antitrust lawsuit in the trial court and in an appeals court.

But American Needle didn’t give up. It filed a request for review to the U.S. Supreme Court, one of 7,500 or so such requests filed annually. The court takes only 70 or 75 cases for decision each year, and American Needle’s quest seemed quixotic at best.

Then, in a stunning development, the NFL told the Supreme Court it endorsed American Needle’s request for a hearing and a decision. The league’s attorneys announced, in a remarkable understatement, that they “are taking the unusual step of supporting” American Needle’s effort to have the case reviewed at the highest level.

The league’s action was a legal bombshell. Instead of standing on its lower-court wins over American Needle, the league told the Supreme Court that it wants the justices to consider an issue far beyond the caps-and-hats contract. It wants the court to grant the NFL total immunity from all forms of antitrust scrutiny, an immunity that would then apply to the NBA, the NHL and MLB, as well.

Seven previous attempts at usurping antitrust laws by the NFL failed. 

But today the league sees a corporatist (i.e. fascist) Supreme Court that puts ideology over legal regulation and rules accordingly. The major players sure to rule in favor of the NFL are John Roberts, Clarence Thomas, Antonin Scalia, and Samuel Alito. These four will hope to find an ally in Stephen Breyer, who Munson says:

…could easily join the pro-business justices based on his opinion in an NFL case in 1996 in which he hammered the union.

It is expected that the NBA and NHL will join in the fracas, siding with the NFL as “friends of the court.” Though these leagues have no direct stake in the court’s decision their lawyers will appear on behalf of the NFL with the hope of influencing the outcome of the Supreme Court’s decision.

The NCAA and BCS are also hoping for an outcome favorable to the NFL. For the NCAA they would no longer worry about losing antitrust lawsuits as they have done in the past. For the BCS a decision in favor of the NFL means added protection against antitrust lawsuits that could otherwise break up the present bowl configuration.

How are these entities able to act in this capacity?

Because the NFL has surveyed the Supreme court’s judicial landscape and feels that, even with the confirmation of Sonia Sotomayor, the league is asking the Supreme Court justices not only to render a hats and caps ruling but to consider a single-entity rule for all leagues with no exemptions to the rule. The single-entity rule means the court would establish that the teams within the league are not entities unto themselves competing against each other, but instead that the league is the single “being” competing against other forms of entertainment, and that the teams exist solely under the umbrella of the league.

It is a dangerous time for anyone not owning a sports team or lording over an sports association, as in the case of the NCAA and the BCS. Players can expect their salaries to drop precipitously or rise and fall at the whim of owners. Player movement will be grossly restricted, making moot once and for all the heroic battle against the reserve clause undertaken by Curt Flood, which led to free agency in Major League Baseball. Coaches’ salaries across the board will suffer. Ticket and merchandise prices will rise to the chagrin of the fan. Fans can also expect to pay for league-run websites, while the information provided by independent websites will be heavily restricted.

All of this equates to the raping of the system by owners. And profit hikes for the owners beyond what are, to the fan, tenable.

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In retrospect, perhaps this is what lies behind the abrupt shift in ideology from Paul Tagliabue to Roger Goodell. As commissioner, Tagliabue acted to keep the league on an even keel, while quietly building the NFL brand. Goodell, on the other hand, hit the ground running with a plantation owner’s mentality toward the players and a totalitarian dictator’s demand that everyone involved with the NFL become solemn and kneel in fealty to “The Shield.” 

Because of his early successes Goodell has even turned his eye to the fans in the belief that the NFL is the single, all-powerful sports entity. And to Goodell, if the present ticketholders fail to conform to his wishes, there are plenty more people in line with wallets open in awe of his product, begging to be gouged at the ticket booth and the merchandise kiosk just to be afforded the opportunity to witness the spectacle of violence that is the National Football League.

To seal his fate as the ultimate owner’s commissioner, Goodell is leading the owner’s charge right to the Supreme Court, armed with tactics usually reserved for only the most powerful – and corrupt – of Capitol Hill lobbyists.

And under Roger “The Blond Ghost” Goodell, there is no care as o whether or not everyone suffers. As long as 32 men are happy.

And The Blond Ghost makes 33 – a magical number if there ever was one.

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A Postscript:
This potential sport-wide altering decision is not front webpage or front sports page news at every sport news outlet. The excuse that is does not “move the meter” doesn’t fly. The thought that the hype to this point that the LeBron James – and other top NBA players – sweepstakes is quite possibly just a ruse move the meter. The uproar this news would cause in New York City would reverberate across the nation. The NYC press could write forever of the conspiracy of collusion to keep the Knicks down; New York fans would lose their minds.

Meantime, the discussion of the negatives and positives of blowing up player’s unions would be message and comment board fodder well after the Suprem Court hands down its ruling.

It is a ready-made ESPN reality show: “Countdown to Armageddon” they could call it. And the thing of it is, this is not some contrived segmented programming with an equally contrived outcome ————– this is real. The players in the play could, one way or another, become the stuff of legend and the subjects of endless E:60 tales; a two-hour special on all elements of the decision, from inception to the ruling; running OTL segments; Mike Greenberg and Mike Golic could lead the day with updates and salient conversation; daily 1st and 10 chatter; daily Sports Nation polls, and, well, you get it by now.

But for ESPN and ESPN.com and the rest of the mainstream sort media there exist precious few mentions of ANI vs. NFL.

Hopefully this is not a sign of just much influence, indirectly or directly, America’s primary sports leagues wield over our press.

Hopefully.

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Addendum:
NBA president Joel Litvin presented the NBA’s case for their age-limit rule. Litvin said:

Litvin told Cohen in a recent letter the purpose of the requirement is to promote the league’s business interests by “increasing the chances that incoming players will have the requisite ability, experience, maturity and life skills” to perform at a high level. The policy also helps teams make informed hiring decisions, he wrote.

In addition, he said, players get an extra year to mature and develop, making it more likely they can handle the challenges of being an NBA player.

Litvin said the policy is motivated by “business considerations,” not a desire to force players to attend college against their wishes.

He wrote that many employers require job candidates to have post-high school experience, and that the U.S. Constitution sets minimum ages for House members, senators and the president. Given that, “we do not understand your objection” to the rule, Litvin wrote.

However, Rep. Steve Cohen, D-Tenn., was unmoved by Litvin’s diatribe:

In a letter sent to Litvin Monday, Cohen maintained that players should have the “economic freedom” to make their own decisions. He said he understood that the policy may help the league in its scouting and hiring decisions.

“However, my concern is that the players who must abide by this rule are harmed by the league’s pursuit of these business interests,” the congressman wrote, adding that the “age discrimination” prevents players from supporting their families.

The policy increases the chance that such players will be injured before getting the chance to play in the NBA, he added.

“I am concerned that the careers of young men who possess all the skills necessary to succeed in the NBA,” Cohen wrote, “may be sacrificed in favor of the bottom lines of the teams on which they hope to play.”

Cohen, a member of the House Judiciary Committee, asked for a meeting with Litvin and Commissioner David Stern. Cohen has said that that he’d consider both hearings and legislation if the requirement remains.

This is sure to bring out the lawyer in David Stern.

Comments

10 Responses to “The Biggest Story in Sports Is Also the Biggest Secret in Sports… Also: NBA Pressed by Congressman on Age-Limit Rule”

  1. Temple3 on July 21st, 2009 8:57 am

    I’m glad you wrote this. Big up to Big Man for posting the link to Munson’s article yesterday.

    This is such a big story. I’m thinking about writing about this as well at some point. Great job.

  2. Temple3 on July 21st, 2009 9:11 am

    Quick question:

    Don’t you take the NFL’s desire to be deemed a single entity as a confession, of sorts, that the teams are really NOT competing with one another and that the games are little more than contrived, fancy wrestling matches?

    Doesn’t this go a long way to explaining franchises like the Lions, NBA Clippers and others who serve as perpetual cannon fodder for league titans? These lower level franchises serve several purposes: they can serve as outposts for banishing players (Artest to Sacramento); they can serve as showcases for individual talent — but rarely or never for great teams (Barry Sanders in Detroit, etc.); they serve as partners in keeping wages depressed by failing to make bids for elite players; and so much more.

  3. Big Man on July 21st, 2009 9:52 am

    Temple

    Great point in your second comment. That’s one of the reasons why I can see the NFL winning this point. The teams don’t behave like separate organizations in many instances. The do behave like a single group with many different parts that sometimes competing interests. However, they are all working towards the same goal and often getting paid, mainly, from the same big pot.

    The NFL is the best league to make this argument. It would be harder for baseball, and even basketball, but over the past decade, the NFL has begun to operate more and more like a single entity.

  4. dwil on July 21st, 2009 9:58 am

    T3-
    Absolutely! It is tantamount to a confession and yes that’s the role these teams serve. My father told me about this in the NBA, NFL, and MLB when I was nine years old and I would sneak out of my bedroom late at night to sit up and watch West Coast NBA games w/ him – and showed me how refs can do “the nasty” to a game.

    Unfortunately for me, since I saw this Munson post Friday night while waiting for a certain column to appear on Page 2 for yesterday’s Bennett piece, I searched and searched and waited patiently for this to become mainstream news – but it never did. And, equally interesting is the fact that no sports law blog ever explained the case using thoughts additional to Munson’s (which is odd, because they always look to expound on a mainstream writer’s work with their own theories, vagaries of law, and often summations)!

    So, since I was writing what turns out to be the first real article abut the subject other than Munson’s, I had to reel myself in so that I did not go into the territory that allows some people to call me a “conspiracy theorist.”

    I hope your article goes ———– “there,” because it needs to be said (and when and if you do write it, shoot me an email when you post it so I can add a link to it here).

  5. Temple3 on July 21st, 2009 10:32 am

    D- Will do.

    The NBA’s Friend of the Court memo should a beaut!!!

    I can see Stern now:

    “I am writing this to swear and affirm that I engineered two critical trades to restore fan interest in our professional association. First, I, acting like Moses, delivered Kevin Garnett unto the Celtics. Then, I brought the lanky and grizzled Spaniard unto the great City of Angels. And lo, a miracle was shown unto the world. The 2008 NBA Champions were the Boston Celtics. The 2009 NBA Champions were the Los Angeles Lakers.

    I am the man. I attest that I knew they key would be providing these historic franchises with the best offensive big men in the game. I did it while everyone was watching LeBron James. I decide when the King takes the throne. Not the King. I am the King Maker. Fools, all fools.

    Muwahahaha!! Hahahahahahaahhahaha!!

    We are one entity and always have been. The Lakers and Celtics are our latest re-enactment of the battle of good versus evil. Where have you BEEN for the last 50 years that you haven’t noticed? Muwahahaha!!! I am the man!!! It’s my world and the King is in the same HOLDING PATTERN that I held MICHAEL JORDAN for 7 years!!!! Muwahahahahahahahahahahahahahahahahaha!!!

    His time will come, but not until I say so. My name is King David — and they work for me!!!”

    – Sincerely,

    David Stern, Commissioner

    P.S.

    Muwahahahahahahahahahahaha!!!!

  6. Temple3 on July 21st, 2009 10:36 am

    D-

    One last thing…

    I’ve always equated rooting for the Lions or any of these perpetual losers with rooting for the TAX RETURN of the owner. These cats use the teams for perks and power and TO REDUCE THEIR TAXABLE INCOME by taking losses —– and they actually HAVE FANS. That shit’s crazy as all hell.

    It would be a lot cheaper and less gut wrenching if folks just went to the owner’s home on April 15th — with signs and face paint AND LOTS OF BEER — and a folding lawn chair. They could scream the accountant’s name and even do the wave. “Go Johnny, no taxes!! Go Johnny, no taxes!! It’s your birthday…get loopholes…get busy!”

  7. dwil on July 21st, 2009 10:46 am

    T3-
    Yes the owners do. They aren’t fools and they do not buy these teams because they want to be involved in sports or because they love the competition, which are two of the primary romantic notions about owners spread by their mainstream press lackeys. In no way does a losing pro sports team – at least the big 3 – lose $$$$ just because they lose games.

    And —— good, I look forward to the article….. And —– HA! How “Sternian!”

  8. fifth of on July 22nd, 2009 11:15 am

    And of course, the humans at the bottom of the order are the first to be thrown into the fire to test the new technologies of effective control and surveillance:

    http://www.nytimes.com/2009/07/22/sports/baseball/22dna.html?_r=1&hp

    There’s a direct line from the racist MLB antitrust exemption (established in 1922 by the SCOTUS and upheld multiple times despite the courts agreeing that it should not have been granted) to these variegated forms of control. Delusional mass media cultural messaging generates the proud, mostly white American players (why are some of this generation’s greatest young players like Longoria, Pedroia, and Sizemore or even Utley so quick to sign for well below-market value?) and miseducates Americans of color to condition them to be Good (i.e. deferential to authority and sycophantic) or to understand their Villainy (knowing from the outset they’ll have a career of depressed wages and insane media coverage, a la Milton Bradley). The industry, assured of a steady flow of culturally-produced laborers, can then at will dehumanize and meat-market-ify international players (who are, in the MLB thought process, lucky to have any opportunity at all and hence ought to be grateful to be treated as they are).

    Baseball has become isomorphic to MLB, and football/NFL, hockey/NHL, and basketball/NBA are almost done clearing their humps. This is how Eurocentric institutions inevitably function – banks become finance, insurance becomes wellness, political representatives become democracy. At the root of all this is the belief that Eurocentrism is isomorphic to humanity itself.

    How come most people in the US seem to only follow sports and spend money on being spectators, without actually playing them? We want heroes, but not to inspire us to go out and do something physical and great, but rather as a narcotic-like reward system. The major sports worked together with the major media to generate a system of bodily euphoria from viewing the spectacle and day-to-day fealty from checking the news and scores; endless conditioning cuts us off from these sports, normally at the age that we acknowledge we can’t “make it big” in them, at the same time that it makes us dependent on them. The faux-democracy of the dollar (capitalism) combined with the faux-democracy of representation (US governance) have co-conspired with MLB, NFL, NBA, NHL to enact these circumstances. The sports leagues now seem the closest in their history to restricting the democratic controls upon them to just the faux-democracy of the dollar: if they come, you can build whatever you want.

  9. newbie on July 22nd, 2009 1:15 pm

    To paraphrase: Sports are the opiate of the masses. Also a great way to convince the youth of America that acting as cannon fodder for the American Empire is the highest calling one can aspire to.

  10. MODI on July 22nd, 2009 7:43 pm

    so it may come down to Justice Breyer. Now I don’t know much about his 1996 decision, but perhaps he will see the incredible stakes here and vote appropriately

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