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7th Circuit to hear arguments in NCAA price-fixing lawsuit

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The 7th Circuit Court of Appeals hears arguments Monday in a case brought by two former NCAA athletes whose scholarships were revoked after injuries. The litigants claim that they were wrongly denied multi-year scholarships that would have covered the cost of their bachelor’s degrees.

In the case of Joseph Agnew, et al. v. National Collegiate Athletic Association, No. 11-3066, a federal appellate panel will hear arguments in the case from the Southern District of Indiana following a removal from the Northern District of California. U.S. Judge Jane Magnus-Stinson ruled Sept. 1 in favor of the Indianapolis-headquartered NCAA, dismissing the challenges to two bylaws that dealt with a one-year scholarship limit for student-athletes and a cap on athletic-based discounts that a school can offer per sport each year.

The judge found she was bound by Banks v. National Collegiate Athletic Association, 977 F.2d 1081, 1087-88 (7th Cir. 1992), which examined that lawsuit under the “Rule of Reason” analysis. She declined to apply the “quick look” version of the rule as the plaintiffs argued, and found that the plaintiffs failed to plead a relevant product market. Magnus-Stinson wrote, “… the ‘market’ for bachelor’s degrees is implausible as a matter of law because people cannot simply purchase bachelor’s degrees at Division I colleges and universities.”

 After that ruling dismissed the suit with prejudice, plaintiffs Joseph Agnew and Patrick Courtney filed an appeal.

In appellate briefs filed with court, the plaintiff-appellants argue that the NCAA is trying to reach beyond the District court’s holding by contending not only the financial aid rules are valid, but all the NCAA rules involving student-athletes are presumptively pro-competitive.

“In essence, the NCAA claims an exemption from the antitrust laws for all but a small portion of its rules dealing with television broadcast or coaches’ salaries,” the brief states. “This is a dangerous perversion of the Supreme Court’s rulings….is unsupported by any precedent, and would result in giving the NCAA carte blanche to violate the antitrust laws regardless of the anticompetitive motivation or effect of its rules. The NCAA’s arguments on this appeal should be rejected.”

The NCAA didn’t file a brief prior to the arguments, which are scheduled for 9 a.m. Central Time. Each side has 15 minutes to make their arguments, and there is no timeline on when the appellate panel must make a decision.

 

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  1. Someone off their meds? C'mon John, it is called the politics of Empire. Get with the program, will ya? How can we build one world under secularist ideals without breaking a few eggs? Of course, once it is fully built, is the American public who will feel the deadly grip of the velvet glove. One cannot lay down with dogs without getting fleas. The cup of wrath is nearly full, John Smith, nearly full. Oops, there I go, almost sounding as alarmist as Smith. Guess he and I both need to listen to this again: https://www.youtube.com/watch?v=CRnQ65J02XA

  2. Charles Rice was one of the greatest of the so-called great generation in America. I was privileged to count him among my mentors. He stood firm for Christ and Christ's Church in the Spirit of Thomas More, always quick to be a good servant of the King, but always God's first. I had Rice come speak to 700 in Fort Wayne as Obama took office. Rice was concerned that this rise of aggressive secularism and militant Islam were dual threats to Christendom,er, please forgive, I meant to say "Western Civilization". RIP Charlie. You are safe at home.

  3. It's a big fat black mark against the US that they radicalized a lot of these Afghan jihadis in the 80s to fight the soviets and then when they predictably got around to biting the hand that fed them, the US had to invade their homelands, install a bunch of corrupt drug kingpins and kleptocrats, take these guys and torture the hell out of them. Why for example did the US have to sodomize them? Dubya said "they hate us for our freedoms!" Here, try some of that freedom whether you like it or not!!! Now they got even more reasons to hate us-- lets just keep bombing the crap out of their populations, installing more puppet regimes, arming one faction against another, etc etc etc.... the US is becoming a monster. No wonder they hate us. Here's my modest recommendation. How about we follow "Just War" theory in the future. St Augustine had it right. How about we treat these obvious prisoners of war according to the Geneva convention instead of torturing them in sadistic and perverted ways.

  4. As usual, John is "spot-on." The subtle but poignant points he makes are numerous and warrant reflection by mediators and users. Oh but were it so simple.

  5. ACLU. Way to step up against the police state. I see a lot of things from the ACLU I don't like but this one is a gold star in its column.... instead of fighting it the authorities should apologize and back off.

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