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Fordham Journal of Corporate & Financial Law

2020

Antitrust

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Is Baseball Shrouded In Collusion Once More? Assessing The Likelihood That The Current State Of The Free Agent Market Will Lead To Antitrust Liability For Major League Baseball's Owners, Connor Mulry Jan 2020

Is Baseball Shrouded In Collusion Once More? Assessing The Likelihood That The Current State Of The Free Agent Market Will Lead To Antitrust Liability For Major League Baseball's Owners, Connor Mulry

Fordham Journal of Corporate & Financial Law

This Note examines how Major League Baseball’s (MLB) current free agent system is restraining trade despite the existence of the league’s non-statutory labor exemption from antitrust. The league’s players have seen their percentage share of earnings decrease even as league revenues have reached an all-time high. This reality is due to the players’ inability to “cash-in” when their market value hits its apex. Once these players enter the open market, their value has greatly deteriorated and consequently, they are unable to generate earnings commensurate with their value to the league.

This Note first explores the progression of MLB’s exemption from …