femara generic side effects when do i drink femara 2 5 atarax side effects medication bactrim ds dosage for mrsa carprofen generic cialis soft e20 insulin glargine injection asacol hd 800 mg cost cytoxan in usa online leponex tableta dejstvo magnezijuma zantac coupons walmart canada drug store viagra how much does linezolid cost cefabiot cefuroxima clindamycin for dogs antibiotic how long to start working vrdrug medicine cabinets river pharmacy india order zanaflex overnite cheapest place to buy lantus pen marcumar medications metformin dosages uses for tofranil medication atacand medication generic ebay uk viagra viagra how long does it last terramycin eye ointment for rabbits colchicine tablet 0 6 mg cooper pharma tadalafil nosipren lowest priced diabecon prospect high school hydroxyzine side effects atarax fempro gyn rogaine foam for women directions buy triamterene online prevacid lansoprazole for infants diazepam 10mg suppository feldene 20mg capsules crestor coupons walmart online shopping sildenafil sales tenormine with out prescription staxyn 10 mg coupons mestinon side effects long term chlamydia trachomatis symptoms buy viagra super active redustat diet pills reviews onlaintv ntv live viagra online indian pharmacy 5 micardis medication telmisartan levitra 20mg prices fluoxetine from usa depakote reviews depression levothyroxine 100 mcg buy viagra prescriptions over internet zantac 150 benemid probenecid colchicine amantadina nombres comerciales keflex bactrim chlamydia amermycin 100 mg tramadol cialis 100 mg online no prescription doxycycline canada how to take cytotec caffeine side effects headache stanozolol steroids for inflammation canadain drugs azithromycin over the counter retin a cream 0.05 side effects lanoxin side effects medication zithrogen 500 nations caffeine withdrawal symptoms in newborns tantalum oxide properties what is the best online pharmacy voltaren gel for arthritis knee fempro software engineering buy viagra online usa paypal latisse side effects sty nolvadex for sale in u.s forzest reviews tetracycline without prescription doxycycline hyclate 100mg std clomifene tablets buy non prescription amoxil in the u s florida viagra taking prometrium during pregnancy alli canada pharmacy reviews of canadian pharcharmy online indocin for preterm labor dose buy viagra online paypal buy tinidazole online cheap ventolin inhalrs albuterol nebulizer side effects in children cialis in usa ovral for emergency contraception xeloda colon cancer liver milanuncios furgonetas de segunda mano trazodone for insomnia dosage walgreens pharmacy locations near me buy cheap pfizer xalatan cuckold creek md thalidomide victims united states venlafaxine er 37.5mg and weight loss can i take omnicef for strep throat flucomed 150mg buy europian lantus walgreens take care clinic locations missouri supradol 10mg dosis average cost cialis daily use adalat hindi tv serial cheap viagra online uk alendronate sodium 70 mg tab viagra srbija prodaja furolin medication administration viagra calgary store finasteride generic propecia tegretol xr 200 side effects dynamogen syrup of black black market puregon antibiotics for ear infections in toddlers foreign pharmacies lilly cialis for sale canadian cialis pharmacies onlain igri ru oral yelly prednisone where to buy without rx viagra jelly next day delivery chigualos ejemplos de curriculum rogaine reviews minoxidil ciprofloxacina 500 mg tetracycline 500mg cap no prescription needed for thyroid generic viagra from uk acyclovir 400 no prescription online bevispas 135 mg to gramsbiaxin morphine sulfate liquid z pack without a prescription ampicillin sulbactam drug cytoxan and taxotere side effects neurocet painkiller tantalum oxide dielectric chlamydia poster cost of abilify without insurance sunsuria berhad syndrome mobic medication for pain mometasone 0.1 cream uses azulfidine sulfasalazine dosage for dogs coreg fpr cheap with no prescription proscar cost cipla sildenafil citrate usa tody viagra ads how to buy protonix fron canada online drug stores in canada eprex 4000 philippines buy cephalexin 500mg cleocin antibiotic treatment patients betacin 25mg fentanyl estradiol creme at low price pharmacy quinine sulfate capsules buy prescriptions online review hessisches sozialministerium no presription losartan valtrex dosage for cold sore outbreak buy brand viagra canada appetite stimulant meloxicam adalah obat untuk ranbaxy labs india cytoxan infusion treatments 100 mg generic cialis ventolin online without a drug insulin syringes 1cc cipla limited buy viagra lumigan eye drops for glaucoma side effects costco online shopping aprovel irbesartan medicine can you get acticin over the counter dilantin levels therapeutic free samples of viagra in the mail 1477 finasteride how to get viagra samples glipizide medication generic names voltaren gel reviews micardis hct 80mg 12 5mg side effects carafate 1gm tablets albendazole single dose side effects viagra shipped overnight delivery name of viagra for women i buy xanax bars online legally primatene mist inhaler canada buy india antibiotics online canadian cialis viagra cialis 5 mg daily cost cialis hong kong topimax paypal canadian cardura generic n593 viagra in aereo forum leukeran drug interaction lincocin antibiotic for cats ciallis in malaysia sureway construction group comprare zovirax tablet prescription testosterone cream for men will viagra work after you ejaculate accutane long term side effects forum cheap 25 mg viagra price parafortan tabs for crazy metoprolol succinate vs tartrate online viagra canada arcoxia tablets risk side effect of eltroxin tablets edrugstore md cialis furosemide 40 mg diuretic for dogs liquid viagra uk strattera reviews 5 mg cialis generic no prescription cytotec misoprostol inserted vaginally letrozole for sale online viagra sales in mexico blueforce viafra buy zenegrain australia baytril dogs antibiotic drug marcumar phenprocoumon brand cytoxan 20mg chlamydia antibiotics order on line noroxin nz buy online viagra in spanien kaufen ritalin for adults effects blue diamond pill 100 thyroxine hormone function thyroid gland leponex 25mg promethazine real viagra online no prescription prilosec otc pepcid ac better buy viagra fast to toronto is lidoderm patch for back pain lopressor metoprolol stromectol scabies how fast does it work amlodipine medication information bactrim pediatrico mavidol sl wo kann ich kamagra oral jelly kaufen farmacias mexicanas en usa canadian cialis no prescription lopressor side effects shortness of breath what is detrol la medication canadian pharm direct how to use levitra 20mg price of cialis in singapore ventolin without prescription canada promethazine 25mg medication phenergan metformin 500mg side effects diarrhea flagyl side effects in cats how does cialis work on men accutane pharacy online starcef 100mg clomid buy prednisolone 10mg epanutin treatment for chlamydia kamagra 100mg australia generico cialis black market prednisone can you break generic viagra kemadrin discontinued playtexkenacomb para que es amantadina clorfenamina paracetamol permethrin spray insecticide for clothes generic lipitor recall lot numbers orderpharma roaccutane side original viagra online sertraline side effects in men xeloda patient assistance program plavix generic release date 2012 zovirax acyclovir cream 5 levitra 10 xenical reviews side effects find cheap cialis no prescription cialis canadian no presciption rxlist drug information medication medicinesbuying viagra malegra fxt plus pharmacy actos 15 mg from canada plendil 5mg price dosis de metformina para bajar de peso lipvas tablets at walmart eulexin schering plough corp septra side effects generic viagra england decadron side effects dexamethasone dogs avodart 0.5 mg coupons comprar roacutan ibuprofen 800mg and alcohol peritol weight gain side effects colchicine products for sale diane sawyer interview with hillary clinton cialis 5mg from canada cialis viagra melanoma duloxetine price at walmart viagra with bonus pills fluoxetine 10mg capsules european pharmacyonline revatio 20 mg cheap aldactone for acne treatment viagra online sicuro albuterol inhaler dosage misoprostol induction of fetal demise skelaxan no prescription viagra online canada pharmacy mexico pharmacies that sell celebrex viramune xr package insert famvir 500mg treatment famciclovir dosage vistaril side effects aggression average price cialis lavestra reviews for fifty cialis for cheap us medic bey canada cleocin no prescription maxifort zimax sildenafil side effect garlic aioli recipe for pasta zyloprim allopurinol dosage buspirone hcl 15mg reviews amoxicillin and clavulanate potassium 875 mg 125 mg serophene 50mg for men cheap xalacom sildegra nedira acquisto cialis italia femara drug classification amantadine 100mg capsules amantadine medication for adhd original viagra in delhi cheapest levitra plus levitra reviews dicyclomine hydrochloride bentyl venlafaxine side effects medication tablete za mrsavljenje ananas trazodone for insomnia treatment buy ventolin no prescription uk luvox cr reviews diane 35 and yasmin pharma online medameds medco prescriptions compare generic viagra in canada flovent side effects in children under 4 aleve pm coupon $3.00 coupon ventolin expectorant salbutamol for childrenverapamil rocket launch today in california microcidal vs microstatic antibiotics canadian pharmacy doxycycline nizagara tablets canadian pharmacy prices cialis online pharmancy avana cypress estates apartments houston tx reviews propecia generico synthroid no prescription medication epogen dosing guidelines cefabiot suspension connection printable synthroid coupons perlutex catholic church imitrex migraine medication lamisil cream coupon buying painkillers online sildenafil citrate candian pharmacy rythmol drug interactions diroton 5mg ambien apetamin ingredients in mayonnaise glucophage 850 mg can it get u pregnant atrovent nasal spray 0.06 price torem 10 online flomist wikipedia atenolol atenolol side effects medication forum dpf 2002 levitra professional products donde comprar sildenafil nolvadex with fast shipping sotalex medication singulair medication lialda drug cost viagra fiyat listesi spiriva information drug torsemide dosage for dogs list of canadian prescription drug overnight online anitbiotics awc conadian pharmacy promo code aldara cream for skin cancer where can i buy cialis online cheap vidalta 10mg percocet combivent respimat cost rollbox player piano cheapest tadacip voltaren gel price check vitamin d supplements not helpful benadryl and pregnancy category avalide dosages nitrofurantoin buy online viagra walmart trazodone 50mg side effects morphine sulfate 30mg withdrawal symptoms yasminelle buy online uk dormidina opiniones de un pentrexyl 500mg capsules drug terramycin for cats how to apply garlic clove picture getinbank viagra atarax medication for children laxifen dosis jewelers omeprazole side effects and cautions venlafaxine hcl er 37.5 mg cap increasing testosterone levels voltaren cream cheap diazepam from india aciphex 20mg medication extenze male enhancement pills work permethrin insecticide and cats zestril generic asacol 400 mg side effects barr claravis coupons order pain pills online no prescription vimax pills in malaysia subutex for pain diane lane divorce accutane for sale cefalexina 500 mg dosage ceftin and alcohol use viagra 50mg 13 pills cheap trazodone buy online in united states digoxin therapeutic level extenze reviews mens health cialis india online amoxil antibiotic dosage rxdrugstore medicines for arthritis captopril side effects medication entocort dosage coversyl side effects in men avanafil online fluoxetine capsules 20mg buy maxalt without a perscription lopressor generic brand deltacortril ent 5mg prednisolone baclofen 10 mg narcotic lopressor drug classification drug starlix side effects metallica albums lyrics anything over the counter like flagyl primamedics scam school erectile drugs sale doxitab 100mg nicotine sildenafil citrate in philippines increasing semen volume videos xanaflex online overnight delivery premarin 56 0 3 mg flagyl antibiotic used to treat yeast infection amlodipine besylate norvasc dose periactin appetite cyproheptadine for sale ornidazole injection pump flagyl runny nose dog nolvadex pct dosing allegra printing jackson tn adderall xr side effects in adults lloyds pharmacy discounts codes pyridium dosages commander viagra en ligne zyban side effects weight gain carprofen 100mg prices viagra market in seoul zofran ex diabecon prospect park zoloft rx actos lawsuit payment flovent hfa 220 mcg pricing berifen 75 ampollas soft chew generic viagra mirapex lawsuit mirapex restless leg syndrome where can i buy cheap propecia generic viagra sold only in usa amitriptyline hydrochloride buy over the counter cymbalta viagra discounts from pfizer nasonex nasal spray generic brand hytrin medication for bph anxiety attacks symptoms treatment para que sirve el metformin clonidine catapres classification viagra 100mg over night combivent without prescription vimax pills review oxybutynin er 10mg reviews sildenafil 20 mg without perscription indocin for gout side effects paxil generic paroxetine roaccutane acne treatment buy camera using echeck plavix medication side effects viagra ohne rezept ganstig does metformin interfer with tramadol lasix with no rx fast shipping buy prednisolone tablets from the usa cialis uk no prescription compra viagra online tadacid 20 metrogel coupon mometasone 0.1 ear drops glucophage without prescription ucb keppra patient assistance program 6 day prednisone pack instructions caffeine overdose symptoms in dogs dostinex side effects cabergoline bodybuilding pregnant celebrities 2014 rocket power
Home Maury Brown The History of MLB Antitrust Exemption and San Jose’s Effort to Land the A’s

Like Shoot to Thrill - An AC/DC Tribute on Facebook!

An authentic tribute of AC/DC that covers the best of the Bon Scott era and the best of Brian Johnson's material

Who's Online?

We have 1168 guests online

Atom RSS

The History of MLB Antitrust Exemption and San Jose’s Effort to Land the A’s PDF Print E-mail
User Rating: / 91
PoorBest 
Written by Maury Brown   
Thursday, 20 June 2013 13:46

Oakland A'sOn Tuesday, the City of San Jose filed an antitrust lawsuit charging Major League Baseball has thwarted efforts to allow the Oakland Athletics to relocate there. The Giants currently have the rights to Santa Clara Co. and have said that they are not willing to relinquish it, even though former A’s owner Walter Haas gave it to the Giants in 1990 to allow the Giants to potentially move to the Santa Clara area. After the Giants saw not one, but two referendums fail that would have allowed the Giants to relocate to San Jose, a last ditch-effort resulted in what is now AT&T Park. The problem was, the territory was reaffirmed as the Giants’ even though they no longer were looking to move to the territory that Haas had relinquished.

The lawsuit at hand (you can read it here) is the latest attempt to overturn MLB antitrust exemption. Although the NFL sees limited antitrust exemption for television, baseball is the only N. American sports league to still see such sweeping antitrust privileges.

In 1922, the Supreme Court first considered the application of federal antitrust law to professional sports in Federal Baseball Clubs, Inc. v. National League of Professional Baseball Clubs (read here). In the opinion delivered by Oliver Wendell Holmes, he said that baseball was not interstate commerce, and therefore not subject to the Sherman Act:

The business is giving exhibitions of base ball, which are purely state affairs. It is true that in order to attain for these exhibitions the great popularity that they have achieved competitions must be arranged between clubs from different cities and States. But the fact that in order to give the exhibitions the Leagues must induce free persons to cross state lines and must arrange and pay for their doing so is not enough to change the character of the business.

Since then, there have been other antitrust cases surrounding relocation. Most notably, Al Davis sued the NFL in 1982 saying that they were blocking his efforts to move to the Raiders from Oakland to Los Angeles. Indeed, the court ruled in his favor. On the other hand, the court did not rule in favor of the Clippers in the ‘80s when they looked to move from San Diego to Los Angeles (see NBA v. SDC Basketball Club, Inc.). In that case, the Ninth Circuit held that sports league created restrictions on franchise movement do not constitute per se violations of antitrust law. In other words, each case must be individually evaluated against the Sherman Act which seeks to prevent monopolies in business.

Since then, the court has been leery of weighing in on league powers over relocation. Most recently a US Bankruptcy judge refused to address relocation as part of an attempt by former Blackberry co-CEO Jim Balsillie to purchase the Phoenix Coyotes and relocate them to Hamilton, Ontario, Canada. In his decision, Judge Redfield T. Baum wrote, "In hockey parlance, the court is passing the puck to the NHL who can decide to take another shot at the sale net or it can pass off the puck."

Back to the San Jose lawsuit, there are some problems that if allowed to fully move forward do not bode well for the city. For one, this isn’t a case where ownership of the A’s is filing the suit, such as the case was with Al Davis and the Raiders. Davis argued he was being monetarily damaged for the NFL’s efforts to block him. The City of San Jose is ostensibly trying to make the argument that the A’s would make (the complaint seeks action for violation of California’s Unfair Competition Law, Tortious Interference with Contractual Advantage, and Tortious Interference with Prospective Economic Advantage, and for violation of the federal Sherman Act, and violation of California’s Cartwright Act, adding, “Plaintiffs have suffered and continue to suffer damages and antitrust injury in the millions of dollars due to Defendants’ unreasonable restraint of trade.”), but it’s difficult to say that the city is being damaged to a level of extent that might allow antitrust exemption for baseball to be overturned.

But, the question is, does San Jose need this case to run the distance?

The fact that the last real challenge to baseball’s antitrust exemption was in 1972 in Flood v Kuhn (read here) in which Curt Flood sought to break the reserve clause and allow for free agency says that baseball has been able to dodge the matter. But, recently, not only has San Jose been involved in going after MLB’s antitrust exemption, but they are named in a class-action suit by fans over league broadcast blackout policies. Is San Jose simply doing this as a test case to see if they can garner the same result?

Major League Baseball’s Executive Vice President for Economics & League Affairs Rob Manfred issued a statement in response to the lawsuit filed by the City of San Jose and was quick to defend the league’s position.

“In considering the issues related to the Oakland Athletics, Major League Baseball has acted in the best interests of our fans, our communities and the league,” said Manfred. “The lawsuit is an unfounded attack on the fundamental structures of a professional sports league. It is regrettable that the city has resorted to litigation that has no basis in law or in fact.”

If MLB were concerned enough to prevent the antitrust case to go the distance, it could act as a forcing function to achieve the move by the A’s. First off, the league constitution (read here) would need to be amended. While the complaint against MLB claims that the A’s and Giants are currently the only single market in which territory is not shared, the fact is, the league has always seen Oakland and San Francisco as two distinct markets. In that, the Giants physical territory would need to be amended to move Santa Clara Co. back to the A’s as it currently reads as follows:

City of San Francisco; and San Francisco, San Mateo, Santa Cruz, Monterey and Marin Counties in California; provided, however, that with respect to all Major League Clubs, Santa Clara County in California

To do this would require 75 percent approval by the league’s owners. On top of that, 75 percent of the owners would have to vote in favor of allowing the A’s to move to San Jose. It is safe to say that if one aspect was voted in favor, so would the other.

In the midst of all of this are the Giants who will be continuing to fight the matter tooth and nail. In order to have Selig, the league and the owners push the relocation  through it will require indemnifying the Giants. To what extent and how that would happen is a question difficult to answer. While the league got the last relocation through in 2005 with the Expos relocating to Washington, DC against the Orioles’ will, that was done with the creation of a regional sports network when MASN was created. At the time, the league agreed to the following:

  • A guarantee that will keep Baltimore’s annual revenues no lower than $130 million. If they do drop below that threshold, MLB will make up the difference;
  • A minimum franchise value for the Orioles at around $360 million; and
  • A 90 percent equity in MASN to the Orioles while the Nationals initially received only 10 percent. That increases for the Nationals over the life of the 23-year agreement to 33 percent.

The problem is  the Giants already own 30 percent of CSN Bay Area, and the A’s are on CSN California. Both clubs would need to be able to back out of their agreements and allow for the creation of a new RSN, something that would flood the market with another RSN.

The other option would be for some form of revenue-sharing from the A’s to the Giants. This would seem to run counter to one of the core issues at hand which is relocation to San Jose is designed to increase revenues from the state that they are now in Oakland. The A’s could move to San Jose, but still be at a revenue disadvantage.

None of this is easy, even if the league were to finally stand up and say that they need to allow for the A’s to relocate. From the beginning the issue has been one of self-preservation by the league and its clubs. After all, if San Jose were able to force MLB’s hand, then it would set a precedent for other clubs in the league to relocate. The Tampa Bay Rays are still trying to figure out how to get out of Tropicana Field. If the A’s went to San Jose, could that open up the possibility of Northern New Jersey pressing to get the Rays there against the will of the Yankees and Mets?

All we know is this… there will be many months for this to play out. The league may try to get the case dismissed, but that doesn’t seem likely. San Jose may prevail in getting the case heard, but chances of them winning seem long. And finally, while it’s likely a long shot, the league could lose antitrust exemption—a most coveted and fought after advantage for the league—at the risk of trying to fight the case. There will be many months to see if this is a game of chicken or not.


Maury BrownMaury Brown is the Founder and President of the Business of Sports Network, which includes The Biz of Baseball, The Biz of Football, The Biz of Basketball and The Biz of Hockey. He writes for Baseball Prospectus and is a contributor to Forbes. He is available as a freelance writer. Brown's full bio is here. He looks forward to your comments via email and can be contacted here.

Follow Maury Brown on Twitter Twitter

Follow The Biz of Baseball on TwitterTwitter

 
 
Banner

Poll

Should MLB Force Jeffery Loria to Sell the Marlins?