ILNews

Plaintiffs fail to prove NCAA violated Sherman Act

Back to TopCommentsE-mailPrintBookmark and Share

The 7th Circuit Court of Appeals affirmed a District Court in dismissing a lawsuit two former college athletes brought against the National Collegiate Athletic Association.

The men, Joseph Agnew and Patrick Courtney, both received one-year scholarships to play football at NCAA schools, with the caveat that the scholarships must be renewed annually. When injuries they sustained prevented them from playing, their schools chose to not renew their scholarships.

In Joseph Agnew v. NCAA, No. 11-3066, the men claimed that the NCAA policies capping the number of scholarships per school and prohibiting multi-year scholarships had an anticompetitive effect on the market for student athletes and therefore violate the Sherman Act. The NCAA filed a motion to dismiss, and finding the plaintiffs did not sufficiently identify a commercial market, the District Court dismissed the suit.

The NCAA argued that the plaintiffs did not identify any market, including a bachelor’s degree or labor market, in which its bylaws restrained trade. And the 7th Circuit panel found that the difference between a market for educational services and a market for a bachelor’s degree was of vital importance in the case, holding that a student is owed educational instruction upon payment of tuition, but whether that instruction leads to a degree is up to the student.

The 7th Circuit held that it is undeniable that a market of some sort exists in the relationship of student athletes and the university issuing scholarships based on athletic performance. But the plaintiffs presented no discussion about a relevant market for student athlete labor, even after having an opportunity to amend their complaint. The appellate panel affirmed the District Court’s finding that without identifying a cognizable market, the men failed to prove the NCAA’s policies violate the Sherman Act.

 

ADVERTISEMENT

  • Wrong
    "7th Circuit holds NCAA did not violate Sherman Act." That is absolutely NOT what the court held. All it concluded was that the plaintiffs' complaint failed to state a claim.

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Indiana State Bar Association

Indianapolis Bar Association

Evansville Bar Association

Allen County Bar Association

Indiana Lawyer on Facebook

facebook
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Hail to our Constitutional Law Expert in the Executive Office! “What you’re not paying attention to is the fact that I just took an action to change the law,” Obama said.

  2. What is this, the Ind Supreme Court thinking that there is a separation of powers and limited enumerated powers as delegated by a dusty old document? Such eighteen century thinking, so rare and unwanted by the elites in this modern age. Dictate to us, dictate over us, the massess are chanting! George Soros agrees. Time to change with times Ind Supreme Court, says all President Snows. Rule by executive decree is the new black.

  3. I made the same argument before a commission of the Indiana Supreme Court and then to the fedeal district and federal appellate courts. Fell flat. So very glad to read that some judges still beleive that evidentiary foundations matter.

  4. KUDOS to the Indiana Supreme Court for realizing that some bureacracies need to go to the stake. Recall what RWR said: "No government ever voluntarily reduces itself in size. Government programs, once launched, never disappear. Actually, a government bureau is the nearest thing to eternal life we'll ever see on this earth!" NOW ... what next to this rare and inspiring chopping block? Well, the Commission on Gender and Race (but not religion!?!) is way overdue. And some other Board's could be cut with a positive for State and the reputation of the Indiana judiciary.

  5. During a visit where an informant with police wears audio and video, does the video necessary have to show hand to hand transaction of money and narcotics?

ADVERTISEMENT