NFL Ordered to Pay Nearly $4.8 Billion in Antitrust Lawsuit Over Sunday Ticket

The NFL has been instructed by a U.S. District Court jury to pay nearly $4.8 billion in damages after violating antitrust laws with its distribution of out-of-market Sunday afternoon games via DirecTV's subscription service.

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Bijay Laxmi
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NFL Ordered to Pay Nearly $4.8 Billion in Antitrust Lawsuit Over Sunday Ticket

A jury in U.S. District Court has ruled that the National Football League (NFL) must pay approximately $4.8 billion in damages for violating antitrust laws related to its distribution of out-of-market Sunday afternoon games through a premium subscription service.

The verdict, delivered Thursday, awarded $4.7 billion to residential subscribers and $96 million to commercial businesses affected by the league's practices. The lawsuit, representing 2.4 million residential subscribers and 48,000 businesses who subscribed to DirecTV's package of out-of-market games from 2011 to 2022, alleged that the NFL engaged in antitrust violations by inflating prices and limiting competition through exclusive distribution on a satellite provider.

The NFL plans to appeal the decision, potentially escalating the case to the 9th Circuit Court of Appeals and ultimately to the Supreme Court, emphasizing its belief in the fairness of its media distribution strategy. In a statement, the league expressed disappointment with the verdict, asserting that the claims against it were unfounded.

"This case is not just about football; it's about justice," remarked plaintiffs' attorney Bill Carmody during closing arguments. "It sends a message that even powerful entities like the NFL must adhere to antitrust laws and cannot manipulate prices or restrict consumer choice."

The jury, consisting of five men and three women, deliberated for nearly five hours before reaching their decision, marking a significant legal challenge to the NFL's longstanding broadcasting practices.

The lawsuit, originally filed in 2015 by a San Francisco sports bar, underwent legal scrutiny and was reinstated in 2019 by the 9th Circuit Court of Appeals. The court's decision to proceed as a class action in 2021 paved the way for this landmark verdict.

Why This Matters: This verdict against the NFL sets a precedent for scrutinizing monopolistic practices in sports broadcasting, potentially impacting how major leagues distribute their media rights in the future.

Key Takeaways:

  • The NFL has been ordered to pay nearly $4.8 billion in damages for antitrust violations related to its Sunday Ticket package.
  • The lawsuit represented millions of residential subscribers and thousands of businesses affected by the league's exclusive distribution practices.
  • The NFL plans to appeal the decision, aiming to challenge the ruling through higher courts.
  • Legal experts view this case as significant in defining the boundaries of the NFL's broadcasting rights and antitrust exemptions.
  • Consumers and businesses may see changes in how premium sports content is distributed and priced as a result of this verdict.