American Needle, Inc. v. National Football League, 560 U.S. 183 (2010), was a United States Supreme Court case regarding the ability of teams in the National Football League to conspire for purposes of a violation of §1 of the Sherman Antitrust Act.
Background The alleged conspiracy involved the formation of the National Football League Properties (NFLP), an entity responsible for licensing NFL intellectual property (IP) and formed in 1963. Before that date the NFL teams marketed their IP rights individually. Proceeds from NFLP activity were evenly distributed among the teams.
Between 1963 and 2000, the NFLP granted nonexclusive licenses to various suppliers permitting the manufacture and resale of apparel bearing team insignias. The petitioner in this case, American Needle, Inc., was one of those license holders. In December 2000, the teams voted to authorize the NFLP to begin granting exclusive licenses. The NFLP granted a 10-year exclusive license to Reebok to manufacture and sell trademarked headwear bearing team insignia of all 32 teams. At that point, the NFLP did not renew American Needle's nonexclusive license.
Opinion of the Court In a unanimous decision, the Court held that NFL teams are distinct economic actors with separate economic interests that are capable of conspiring under §1 of the Sherman Act.Grady, Mark F. Cases and Materials on Antitrust. UCLA Academic Publishing, Los Angeles, CA. 2011, p. 346-48
See also Mid-South Grizzlies v. National Football League Radovich v. National Football League
References
Further reading He, Yifei American Needle Upon Remand, https://ssrn.com/abstract=2520044
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