Law Commons^™

A Regulatory Solution To Better Promote The Educational Values And Economic Sustainability Of Intercollegiate Athletics, Stephen F. Ross, Matt Mitten

Journal Articles

Currently there are several pending antitrust suits challenging NCAA rules restricting the economic benefits intercollegiate athletes may receive for their sports participation. Although remedying the inherent problems of commercialized college sports (primarily Division I football and men’s basketball) is a laudable objective, a free market solution mandated by antitrust law may have unintended adverse consequences. Judicial invalidation of these rules may inhibit universities from providing many athletes with a college education they would not otherwise receive, by eliminating or reducing the value of scholarships for many players whose economic value is less than the cost of an education. A wholly …

Accommodating Labor And Antitrust, Stephen F. Ross

Journal Articles

In this article, the author comments on Professor Michael LeRoy's article "Federal Jurisdiction in Sports Labor Disputes" (2012 Utah L. Rev. 815) and explains why he disagrees with the claim that federal courts improperly invoke the Sherman Act in sports labor disputes.

Antitrust And Inefficient Joint Ventures: Why Sports Leagues Should Look More Like Mcdonald's And Less Like The United Nations, Stephen F. Ross, Stefan Szymanski

Journal Articles

Antitrust law generally favors joint ventures that allow separate firms to integrate economic functions while continuing to compete as independent entities. In evaluating the risks to competition that joint ventures could pose, insufficient attention has been paid to the risk that joint ventures with market power may be structured so that the parties, acting in their independent self interest, will prevent the venture from providing innovative goods and services responsive to consumer demand. In these cases, it may be better if a single firm provided services rather than having them provided jointly.

We illustrate this problem by challenging the conventional …

Antitrust Options To Redress Anticompetitive Restraints And Monopolistic Practices By Professional Sports Leagues, Stephen F. Ross

Journal Articles

The hallmark of an antitrust violation is an agreement which has the effect of raising price, lowering output, or rendering output unresponsive to consumer demand. Owners of clubs comprising Major League Baseball, the National Football League, the National Basketball Association, and the National Hockey League engage in a variety of exploitative activities that consumers cannot avoid by substituting rival products. The purpose of this Article is to analyze specific areas where these monopoly sports leagues harm a variety of groups, through the maintenance of a monopolistic structure that precludes competitive entry, or through specific restraints that have demonstrable anticompetitive effects. …

The Misunderstood Alliance Between Sports Fans, Players, And The Antitrust Laws, Stephen F. Ross

Journal Articles

The baseball strike and the ongoing hostilities between the players' association and owners have evoked criticism and frustration among fans and others. Although the players successfully defeated the owners' most recent attempts to reduce major league competition, the threat of future imposition of competitive restraints by the owners remains. In this article Professor Stephen F. Ross argues that blanket restraints on the market for players affirmatively inhibit on-the-field competition and consequently offend the Sherman Act.

The article begins with the proposition that monopsony - price-fixing behavior by buyers', rather than sellers' cartels - implicates the Sherman Act. Restraints on competition …

Reconsidering Flood V. Kuhn, Stephen F. Ross

Journal Articles

Within the academia, two very different groups of legal scholars have devoted a great deal of attention to Flood v. Kuhn. Those specializing in sports law have either attached Flood as a ridiculous decision that improperly distinguished between baseball and other professional sports, or have praised it for waging guerrilla warfare on the idea that Section 1 of the Sherman Act should apply to intra-league arrangements by owners of the professional sports teams. Those viewing Flood through the lens of statutory interpretation perceive the decision as adhering rigidly to the principle of stare decisis; this rigidity has been …

An Antitrust Analysis Of Sports League Contracts With Cable Networks, Stephen F. Ross

Journal Articles

This Article discusses the proper antitrust treatment of package sales to cable. Part I considers whether the antitrust laws apply at all to such sales; it concludes that section one of the Sherman Act does apply and that neither the Sports Broadcasting Act of 1961 not baseball's historic exemption from the antitrust laws prevents antitrust scrutiny of these contracts. Part II explains why cable package sales should be analyzed under a rule of reason test focused on the effect of a sale on fan viewership. Finally, Part III responds to several possible objections to the rule of reason standard proposed …

Monopoly Sports Leagues, Stephen F. Ross

Journal Articles

This Article argues that the government should break up both Major League Baseball and the NFL to provide for competing economic entities in each sport. Part I details the harm monopoly sports leagues cause in several different markets and explains why a competitive league structure can correct such harms. Part II discusses why regulatory solutions are poor substitutes for competition as a means of redressing these harms. Part III explains why neither baseball nor football is a "natural monopoly" and argues that no persuasive evidence suggests that rival leagues cannot exist in those sports. Part IV examines how the antitrust …