GamePolitics is reporting that a new case in the supreme court may make EA’s exclusive NFL rights illegal. The case is American Needle vs. New Orleans Saints, et al. and should the court side with American Needle it would put EA (and Take-Two, who has exclusive third-party rights to MLB) in violation of federal antitrust statutes. In layman’s terms it means they would be seen as attempting to make a monopoly, which, outside of board games, is very illegal.
A blog that follows the supreme court called SCOTUSblog, lays it out for us: The NFL used to license American Needle to sell hats that bore the logos, the names or other insignia of pro football teams… But, in 2000, the NFL opted to solicit bids for an exclusive license to produce caps and other headwear. Reebok won the bidding, and in 2001 got an exclusive ten-year license. American Needle’s license was not renewed. So it sued the NFL, all of its teams, NFL Properties, and Reebok. American Needle’s case was thrown out by lower courts… “The [Supreme] Court has stated, on more than one occasion,†American Needle asserted, “that application of the Sherman Act to professional sports teams is wholly consistent with Congressional intent…â€
This is basically what happened to 2K Sports when EA signed its exclusivity deal with the NFL. Thus if it is illegal for the NFL to do it with clothing than it is illegal for them to do it with games too. GamePolitics also reports that this case has been brought up multiple times in the class-action lawsuit Pecover vs. Electronic Arts. So this case is definitely on EA’s radar.
http://www.thatvideogameblog.com/200...g-of-the-past/
A blog that follows the supreme court called SCOTUSblog, lays it out for us: The NFL used to license American Needle to sell hats that bore the logos, the names or other insignia of pro football teams… But, in 2000, the NFL opted to solicit bids for an exclusive license to produce caps and other headwear. Reebok won the bidding, and in 2001 got an exclusive ten-year license. American Needle’s license was not renewed. So it sued the NFL, all of its teams, NFL Properties, and Reebok. American Needle’s case was thrown out by lower courts… “The [Supreme] Court has stated, on more than one occasion,†American Needle asserted, “that application of the Sherman Act to professional sports teams is wholly consistent with Congressional intent…â€
This is basically what happened to 2K Sports when EA signed its exclusivity deal with the NFL. Thus if it is illegal for the NFL to do it with clothing than it is illegal for them to do it with games too. GamePolitics also reports that this case has been brought up multiple times in the class-action lawsuit Pecover vs. Electronic Arts. So this case is definitely on EA’s radar.
http://www.thatvideogameblog.com/200...g-of-the-past/
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