American Needle v. National Football League and the Future of Collective Licensing Agreements in Sport, p. 166-169

Lisa Pike Masteralexis

The U.S. Supreme Court’s recent decision in American Needle v. National Football League is not the “death knell” of collective licensing agreements in sports, but it will hold the NFL and other professional sports entities to a higher level of antitrust scrutiny than they had hoped. The issue in American Needle v. National Football League was whether the NFL’s collective licensing arm, NFL Properties, LLC (NFLP), was a single entity, and therefore, exempt from antitrust liability under Section 1 of the Sherman Antitrust Act. Section 1 deems “[e]very contract, combination in the form of a trust or otherwise, or, conspiracy, in restraint of trade” illegal (Sherman Act, 2006).