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NFL: Can’t Spare a Dime?

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NEW YORK – (Staff and Wire Service Report) – The NFL scored a victory worth up to $14.1 billion in court on Thursday when a federal district court judge threw out a jury’s verdict in an antitrust lawsuit that targeted the league’s “Sunday Ticket” online viewing package.

In a 16-page order, U.S. District Judge Philip Gutierrez in New York took issue with how the jury arrived at its figures of $4.6 billion to residential customers and $97 million to commercial establishments, saying they were “not based on the ‘evidence and reasonable inferences’ but instead were more akin to ‘guesswork or speculation.’”

In antitrust cases, the amounts of the verdict would be tripled.

Gutierrez also faulted testimony from expert witnesses Daniel Rascher and John Zona, who were testifying for the plaintiffs in the class-action case that represents some 2.4 million residential subscribers and 48,000 commercial establishments.

“The Court agrees that Dr. Rascher’s and Dr. Zona’s testimonies based on their flawed methodologies should be excluded. And because there was no other support for the class-wide injury and damages elements of Plaintiffs’ … claims, judgment as a matter of law for the Defendants is appropriate,” the filing said.

“No reasonable jury could have found class-wide injury or damages,” Gutierrez wrote.

The plaintiffs have the option of appealing the decision to the Ninth Circuit Court of Appeals.

The NFL responded to the judge’s move with a statement: “We are grateful for today’s ruling in the Sunday Ticket class action lawsuit. We believe that the NFL’s media distribution model provides our fans with an array of options to follow the game they love, including local broadcasts of every single game on free over-the-air television. We thank Judge Gutierrez for his time and attention to this case and look forward to an exciting 2024 NFL season.”

In a hearing on Wednesday, the NFL argued that the jurors did not understand antitrust law, which led to confusion in reaching their compensation amount.

The “Sunday Ticket” package enables viewers to see NFL games that involve teams out of their home markets.

The plaintiffs’ attorneys maintained that the one price to see all out-of-market broadcasts is unfair to customers who may want to watch just one or a few teams.

“Given the relatively low cost of internet streaming and satellite and cable television carriage, each team acting independently would offer their games at a competitive price to anybody in the country who wanted to watch that particular team,” the plaintiffs argued. “Instead, however, the teams have all forgone this option in favor of creating a more lucrative monopoly.”

The judge faulted the expert testimony for not explaining “how these out-of-market telecasts would have been available for free to cable and satellite customers.”

–Field Level Media

Magic’s Pat Williams, Dead at 84

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ORLANDO – (Staff and Wire Service Report) – Pat Williams, Orlando Magic co-founder and basketball Hall of Famer, died on Wednesday. He was 84. Williams died of complications from viral pneumonia, the Magic said in an official team statement.

Along with businessman Jimmy Hewitt, Williams started to work toward getting Orlando an NBA franchise back in 1986. A year later, the NBA Board of Governors gave an expansion franchise to the city, and on Dec. 22, 1988, the Magic sold their 10,000th ticket to officially bring the team to the league.

That was just a sliver of Williams’ NBA career, which lasted 51 years and included over 30 with the Magic.

“Pat Williams simply brought magic to Orlando,” Magic chairman Dan DeVos and CEO Alex Martins said in a joint statement. “His accomplishments will always be remembered. Armed with his ever-present optimism and unparalleled energy, he was an incredible visionary who helped transform the world of sports in multiple ways.

“From bringing the Magic to Orlando, to transforming sports marketing and promotions, he was always ahead of the curve. Pat forever changed the sports landscape in Orlando. He shined a light on what those who called Orlando home already knew — that Central Florida was a fabulous place to live, work and play.”

65,000 Watch ARG Defeat Colombia

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MIAMI GARDENS – (Staff and Wire Service Report)  – With star teammate Lionel Messi sidelined by an apparent right ankle injury, substitute Lautaro Martinez led Argentina to a record 16th Copa America title with his goal in extra time for a 1-0 victory over Colombia Sunday night.

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Martinez, who entered the match in the seventh minute of added time, made the best of a brilliant through ball from Giovani Lo Celso to score his tournament-best fifth goal in the 112th minute overall.

Argentina, the 2022 World Cup champion, defended its 2021 Copa America crown while breaking a tie with Uruguay for the most titles at the tournament.

Colombia’s only title came in 2001 as the host nation. The Colombians had a 28-match unbeaten streak (22-0-6) come to an end on Sunday.

The start of the match was delayed 82 minutes from its original 8 p.m. ET kickoff due to ticketless fans breaching the gates, forcing a lockdown of the stadium. Later, because of the swell of people trying to get in, some gates were opened to allow anyone, ticket or not, entry.

The match ended at 12:09am (ET).

Messi, 37, exited the match in the 66th minute. He went down untouched, but after medical attention, he walked off the field with his right shoe in his hand and was shown on the bench in tears.

The injury originally occurred in the 35th minute after a hard challenge about a yard beyond the end line by Colombia’s Santiago Arias, who appeared to clip Messi in the leg before rolling on his right ankle. Messi stayed down for a few minutes before returning to the play.

A sellout crowd of over 65,000 saw Colombia control the first half but come up empty.

Argentina goalkeeper Emiliano Martinez was forced to make four saves in the first half and saw a shot by Jhon Cordoba kiss the outside of the left post in the seventh minute.

However, Colombia didn’t have another shot on target for the remainder of the match, finishing with four to Argentina’s six.

Midfielder Angel Di Maria, 36, started in his final match for Argentina, ending his 17-year international career with 145 appearances, tied for third most in club history.

Di Maria was subbed out in the 117th minute.

–Field Level Media

USA Soccer: Give Them the Boot

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KANSAS CITY (Missouri) – (Staff and Wire Service Report) – It’s time to give U.S. Soccer the boot. After the U.S. men’s national soccer team failed to get out of the group stage at Copa America despite a favorable draw and home-pitch advantage, the United States Soccer Federation vowed to conduct a review of the results.

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The main focus of that examination likely will be coach Gregg Berhalter, already a lightning rod with the team’s fanbase even before the U.S. lost two of its three Copa America matches and finished third in Group C.

The U.S. fell 1-0 to Uruguay in Kansas City, Mo., on Monday, four days after losing 2-1 to Panama in Atlanta. The only victory for the 11th-ranked Americans came in the tournament opener against 84th-ranked Bolivia. Panama, which finished second in the group after defeating Bolivia 3-1 on Monday, is ranked 43rd. Uruguay, which swept its three matches, is rated 14th.

U.S. Soccer wrote in a statement late Monday night, “Our tournament performance fell short of our expectations. We must do better.

“We will be conducting a comprehensive review of our performance in Copa America and how best to improve the team and results as we look towards the 2026 World Cup.”

Berhalter was asked directly after the Uruguay defeat whether he felt he is the right person to lead the U.S. squad into the 2026 World Cup, which it will co-host. He replied, “Yes.”

Berhalter added, “We know we’re capable of more, and in this tournament, we didn’t show it, it’s really as simple as that.

“You look at the stage that was set with the fans in this tournament, with the high level of competition in this tournament, and we should have done better. We’ll do a review and figure out what went wrong and why it went wrong, but it’s an empty feeling right now, for sure.”

While the U.S. team under Berhalter has dominated traditional rival Mexico in CONCACAF competition, the coach’s results in major tournaments have been mediocre.

Berhalter, 50, first got the job in December 2018 following a lengthy search that came after the U.S. failed to qualify for the 2018 World Cup.

The squad advanced out of its group at the 2022 World Cup in Qatar, recording draws against Wales and heavily favored England before edging Iran 1-0. The Netherlands beat Berhalter’s side 3-1 in the Round of 16.

In the aftermath of the Qatar tournament, Berhalter was dragged into a public spat with player Gio Reyna and his family. The midfielder’s parents accused Berhalter of committing domestic abuse decades earlier. Meanwhile, Berhalter’s contract with U.S. Soccer expired, and the federation went through two interim coaches in 2023 before ultimately rehiring Berhalter.

The ongoing Copa America was the U.S. team’s last major test before 2026. The United States, Mexico and Canada will have no qualifying matches ahead of the next World Cup, as all received automatic berths as co-hosts.

Midfielder Weston McKennie told The Athletic regarding Berhalter, “I believe we all have a comfort with Gregg and we all understand him and we’ve had him for a long time. He’s progressed the team very far from where we started off four or five years ago.

“I think the connection that we have with him is what’s important, in having a coach that players … would run through a brick wall for him, players that listen to him. And so I think whatever happens, happens, but I think if he’s the coach, we’re all happy, get up, dust off, learn and keep moving forward. That’s the only thing you can do now.”

–Field Level Media

The Boston Celtics | For Sale

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BOSTON – (Staff and Wire Service Report with Team News Release) – Investors with deep pockets willing to purchase a champion can line up for bidding on the 2024 NBA Champion Boston Celtics.

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The franchise is available for purchase, according to a team issued news release.  The imminent sale comes on the heels of a record 18th NBA title secured last month, as the league’s most storied franchise defeated the Dallas Mavericks in a five-game NBA Finals.

No purchase price was reported. Earlier this year, Forbes estimated the franchise’s value at $4.7 billion.

The potential sale comes at a time when the Celtics could approach a record payroll — and payroll tax to the NBA — with All-Star and MVP candidate Jayson Tatum discussing a contract that would make him the league’s highest-paid player.

Boston Basketball Partners was formed in 2002 and it completed the purchase of the Celtics on New Year’s Eve of that year from previous owner Paul Gaston for $360 million. Reports at the time indicated the actual sale price was $310 million since $50 million of debt was not assumed by the new ownership group.

 

NFL Liable for $4.7B in Ruling

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LOS ANGELES – (Staff and Wire Service Report) – The NFL plans to appeal a ruling by a federal jury in Los Angeles on Thursday that found the league liable for more than $4.7 billion in damages over antitrust violations related to DirecTV’s “Sunday Ticket” packages.

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The jury, after about five hours of deliberations across two days, voted unanimously that the NFL, DirecTV, CBS and Fox colluded to increase the price of the game packages.

The class-action lawsuit began in 2015 with a complaint filed by a San Francisco sports bar named the Mucky Duck that was dismissed in 2017. The Ninth U.S. Circuit Court of Appeals later reinstated the case, which last year became a class action and covered more than 2.4 million residential subscribers and more than 48,000 businesses that purchased DirectTV’s “Sunday Ticket” package of out-of-market games from the 2011 through 2022 seasons.

If the verdict stands, it would award $4.7 billion in damages to the residential class and $96 million to the commercial class.

The damages could increase to up to $12.3 billion due to federal laws that triple the amount in antitrust cases.

“It’s a great verdict for consumers around America that this jury, despite the star power of the defendants, upheld the antitrust laws which are geared to protect consumers from overcharges,” Bill Carmody, lead attorney for the plaintiffs, told the Los Angeles Times. “Justice was served.”

The plaintiffs argued that NFL teams pooling their broadcasts through “Sunday Ticket” on a satellite provider and selling the package at an inflated price violated antitrust laws in restricting competition.

The NFL argued it has an antitrust exemption for broadcasting that covers “Sunday Ticket,” but the plaintiffs contended that applies to over-the-air broadcasts and not pay TV.

“Sunday Ticket” was offered on DirecTV from 1994-2022 before the NFL reached a seven-year contract with Google’s YouTube TV that began in 2023.

The NFL’s attorneys noted that it’s the only major sports league to offer all local games on free, over-the-air TV. They also said that DirecTV controlled the “Sunday Ticket” package pricing, which was often made free to attract subscribers.

“We are disappointed with the jury’s verdict today in the NFL Sunday Ticket class action lawsuit,” the NFL said in a statement. “We continue to believe that our media distribution strategy, which features all NFL games broadcast on free over-the-air television in the markets of the participating teams and national distribution of our most popular games, supplemented by many additional choices including RedZone, Sunday Ticket and NFL+, is by far the most fan friendly distribution model in all of sports and entertainment.

“We will certainly contest this decision as we believe that the class action claims in this case are baseless and without merit. We thank the jury for their time and service and for the guidance and oversight from (U.S. District) Judge (Philip) Gutierrez throughout the trial.”

Gutierrez could ask the league to consider possible structural changes in the “Sunday Ticket” package. The judge will hear post-trial motions on July 31. The league can contend to Gutierrez that the damages are excessive and unreasonable, and it can appeal to the U.S. Court of Appeals for the Ninth Circuit and later to the U.S. Supreme Court.

–Field Level Media

Koch Industry Heir Invests in Nets

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BROOKLYN – (Wire Service Report via Sportico) – New York billionaire Julia Koch and her children are purchasing a minority stake in BSE Global, which owns the Brooklyn Nets of the NBA, the New York Liberty of the WNBA and Barclays Center in Brooklyn.

BSE Global announced the pending transaction but did not disclose financial terms. The NBA Board of Governors must approve the deal.

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Sportico reported the Kochs will buy 15 percent of BSE Global, adding that the value assigned to the company’s sports holdings was $6 billion. Under that scenario, the Kochs would pay $900 million for their share.

Forbes ranks Julia Koch as the 23rd-richest person in the world, with a net worth of $65.7 billion. She and her children inherited 42 percent of Koch Industries — one of the largest privately held companies in the nation — upon the death of her husband, David, in 2019.

BSE Global and the teams will remain under the control of Joe Tsai and Clara Wu Tsai. Joe Tsai’s net worth is $8.6 billion, per Forbes.

Kelce’s Invest in Small Batch Brew

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COLUMBUS – (Staff Report from Official News Release) – For the first time, Jason and Travis Kelce are teaming up as significant owners and operators of a business – and of course, it is with one of the fastest growing beer brands in the country, Garage Beer! The small batch brewed, classic light beer was founded in their home state of Ohio and has been growing rapidly across the country.

Jason Kelce and Travis Kelce team up as significant owners and operators of Garage Beer (Garage Beer via PR Newswire).

The Kelce brothers are passionate about their beer and their business and have talked for years about partnering together in the beverage category. With this passion, they wanted to be thoughtful and find the right opportunity with the highest quality brewery and brand that aligned with their values of how a business should be run. And most importantly, a company built to serve the customer. Jason and Travis believe that beer should be fun, and they want to partner with a brand that embodies the spirit of a neighborhood feel, a light beer all will enjoy. Serendipitously, through a prior relationship, the Kelces’ learned about Garage Beer and for the past two years have been laying the groundwork to join forces with the company.

The brothers join Garage as significant investors, partners, owners, and operators. Jason and Travis will be involved in every aspect of the business, including brewing, distribution, sales, marketing, and national expansion efforts. Retail displays will be in stores shortly along with social content, billboards, and other promotional activities.

The Garage Beer recipe was originally created in Cincinnati, Ohio (where Jason and Travis both played college football for the Cincinnati Bearcats) and the business headquarters is now just north in Columbus, Ohio. The beer is currently sold in Ohio, Kentucky, Tennessee, Indiana, Pennsylvania, Wisconsin, Michigan, Illinois, Missouri, West Virginia, Idaho, Montana, and New Jersey… with planned expansion into dozens of new states this year.

“People crave quality and simplicity, and Garage Beer nails both for me. We are light beer drinkers and Garage is the best light beer,” said Jason Kelce. “For me, the brand fits my lifestyle, and having a few beers is a great excuse to get the neighbors together.”

“It comes down to quality for me. I think everyone knows I like to have a couple beers now and then, so being an owner of Garage Beer and heavily involved in making the best light beer is exciting, man! There is nothing better to bring people together than an ice-cold beer, and for Jason and me that is what beer is all about – friends, family and fun. I have worked with Andy for years and I really trust the team and their approach to running the business. We look forward to taking Garage Beer to the next level,” added Travis Kelce.

“We want a beer that tastes like beer and one that keeps the stories alive in the neighborhood. Garage prides ourselves on small batch brewing and a commitment to quality. Ever since our first conversation with Travis and Jason, it was clear we had similar opinions about beer, but they also had brilliant, and very funny, business sensibility. Our team better be on their toes now,” quipped Garage Beer co-owner Andy Sauer. “The garage is a symbol for building stronger communities one beer at a time, and I think we can all use more time with friends, family, and neighbors to talk, smile, laugh, and enjoy that time together.”

Bloomberg Joining A-Rod’s NBA Pursuit

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MINNEAPOLIS – (Staff and Wire Service Report) –  Former baseball great Alex Rodriguez and business partner Marc Lore have added a power hitter to their team as they attempt to gain majority ownership of the Minnesota Timberwolves and Lynx.

Billionaire businessman Michael Bloomberg, the former presidential candidate and New York City mayor, is joining the prospective ownership group, The Athletic reported. Rodriguez and Lore currently own a 40 percent stake in the franchises, and they are embroiled in a dispute with current owner Glen Taylor as they attempt to gain control of the teams.

Forbes’ real-time billionaires list on Thursday reported the 82-year-old Bloomberg has a net worth of $106.2 billion, making him the 13th-richest person in the world.

Rodriguez and Lore had agreed to buy the franchises from Taylor at a valuation of $1.5 billion and had been buying chunks in 20 percent increments. In March, they owed Taylor more than $600 million as they attempted to buy another 40 percent and gain majority control, but Taylor said he canceled the deal when the partners changed financing groups and couldn’t come up with the money.

The prospective owners said that wasn’t true, and they have entered arbitration with Taylor in an attempt to resolve the issue. Should the deal go forward, Rodriguez and Lore would have until next March to buy the remaining 20 percent at a $300 million tag.

Per The Athletic, Bloomberg would contribute a portion of that $300 million to allow Rodriguez, Lore and their partner group to become 100 percent owners without waiting until March.

Rodriguez and Lore don’t plan to stop with just buying the franchises, should the arbitration go their way and the NBA governors approve their purchase. The Athletic reported they also are hoping to build a new, privately financed arena to replace the Target Center in Minneapolis.

The Timberwolves have played at Target Center since the 1990-91 season, making it the second-oldest NBA venue, trailing only Madison Square Garden in New York.

12-Team CFP to Begin Dec.20th

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ATLANTA – (Staff and Wire Service Report) – The first 12-team edition of the College Football Playoff will begin on Dec. 20 and end exactly one month later, with the national championship game set to be played in Atlanta, it was announced Wednesday.

The expanded playoff format will start with four first-round games played at campus sites on Dec. 20 and Dec. 21. Two of those games will be broadcast on TNT, which has a sublicense with ESPN.

The quarterfinals begin on New Year’s Eve with the Fiesta Bowl at 7:30 p.m. ET, followed by a trio of games on New Year’s Day. The Peach Bowl will begin at 1 p.m., the Rose Bowl at 5 p.m. and the Sugar Bowl at 8:45 p.m.

Both semifinals will start at 7:30 p.m. The first, the Orange Bowl, will be played on Jan. 9, and the second, the Cotton Bowl, will take place on Jan. 10.

The championship game is set for 7:30 p.m. on Jan. 20 at Mercedes-Benz Stadium.