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Sports Law Exam 2

Sports Law Exam 2 - Sports Law Exam 2 Major League Baseball...

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Sports Law Exam 2 Major League Baseball Highest attendance among pro leagues -Most contentious labor negotiations and relationships among the pro leagues -Players: Strike -Employers: Lockout Numerous occasions in the past for both strikes and lockouts, eventually leading to impasse’s Reserve Clause History: Formerly two separate leagues, American league and National league -Owners decided to forbid players from going to different teams, made agreement to not have free agency. Initially limited to a few players, expanded to include all players eventually. Players got wind of this, eventually became another league (Federal League). Federal League started paying more money and getting players from the other leagues. Leagues got pissed off and they eventually settled with Federal league. One club did not like settlement, so they filed suit: Federal Baseball Club of Baltimore v. National League of Professional Baseball FBC of Baltimore thought reserve clause was bullshit, didn’t like it US Supreme Court granted exemption of anti-trust laws to baseball Said Baseball had no effect on interstate commerce. Toolson v. New York Yankees Court upheld exemption, exemption was not limited to reserve clause. Anti-trust exemption applies to whole aspect of baseball. Will court uphold exemption 31 years later? Is Federal Baseball exemption limited to reserve clauses? Flood v. Kuhn Would US Supreme Court yet again uphold antitrust exemption? Flood filed suit saying reserve clause was violation of antitrust law Antitrust laws were not exempt in football Supreme Court upheld exemption, said Congress needs to act on the exemption if it’s an issue. Not within realm of judicial branch, waited for Congress to act. Major League Baseball v. Crist Most recent pronouncement Court yet again upheld exemption, antitrust laws don’t apply to pro baseball. Has not been applied to football (Still liable under antitrust) Reserve clause does not constitute violation of antitrust law. Could it violate labor law? Labor law & Reserve clause
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Catfish Hunter- MLBPA filed grievance on behalf of Hunter in respect of reserve clause. Didn’t want to play for Oakland. Was able to become a free agent. Arbitrator found reserve clause was a violation of labor law and CBA After contract was voided, Hunter was able to sign free agency contract for 3.25 million in 1974. Able to overcome reserve clause and owner efforts on respective teams and achieve free agency. 1976 Messersmith Arbitration (Read in Book) What does “to renew the contract for the period of one year on the same terms” mean? Parties did not reach an agreement, does the one year new period include all of the term (including the right of renewal) Is it a revolving contract? Is it mandatory that owner resign free agent?
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