The North American Soccer League failed to prove in court that the U.S. Soccer Federation and Major League Soccer conspired against it, a jury decided on Monday after deliberating for less than two hours in the now-resolved antitrust lawsuit waged by the defunct league.
The decision puts an end to a years-long legal battle that attorneys representing USSF and MLS have described as “false accusations” made against two of American soccer’s most powerful organizations. The jury’s verdict vindicates the two entities, upholding the attorneys’ portrayal of their relationship as strategic and beneficial for the sport’s success in recent decades.
The jury unanimously voted in favor of the co-defendants, ultimately finding that NASL was unable to prove substantial harm in the relevant markets that would be foundational to its claims of a conspiracy.
Chris Yates, of Latham & Watkins, representing USSF, said he was “pleased with the jury’s verdict,” moments after the decision was read to the courtroom. “There is no conspiracy here,” he said. “U.S. Soccer wants good relationships with all its members.”
U.S. Soccer would welcome NASL’s return as a resurrected soccer league, should it choose to proceed down that path, Yates added. That reality, though, seems unlikely, considering several of the teams that competed in the defunct league have since moved on to other leagues, like the USL, or folded.
Brad Ruskin, of Proskauer Rose representing MLS, shared a similar sentiment, as both attorneys expressed relief that the years-long legal battle had finally reached its end, even if only temporarily.
“What this case shows, more than 7 years later, for both MLS and U.S. Soccer, is they were wrongfully accused,” Ruskin said. He commended their “fortitude to stick this out to be vindicated on this very day.”
GO DEEPER
Carmelo Anthony gave emotional testimony in $500M U.S. soccer trial
The verdict puts an end to the antitrust threat that loomed over the USSF and MLS since 2017, when NASL first filed its lawsuit. The case crawled through the legal system, slowed even further by the pandemic in 2020, and concluded after a three-week trial in the Eastern District of New York in Brooklyn.
Potential damages were initially estimated by NASL’s experts at around $500million. However, the judge ruled in the defense’s favor to reduce the potential damages by $375million, with Gonzalez openly questioning the plaintiff’s calculations in court.
(Jason Mowry/Getty Images)
“We are pleased the jury has recognized the lack of merit in NASL’s claims and ruled in our favor, bringing this unfounded litigation to a close. This decision validates U.S. Soccer’s commitment to fostering a broad and healthy ecosystem of professional soccer leagues across all divisions,” USSF said in a statement on Monday.
“This is also an important victory for the broader sports landscape in the U.S., especially the individuals, leagues, and other organizations committed to enabling healthy competition, player development, and enjoyment for fans. As we look ahead, we are excited to celebrate the incredible progress of soccer in the U.S. and we will continue to work diligently to grow the game at all levels.”
Major League Soccer, meanwhile, added in a statement it was “pleased “the jury decided to dismiss the “meritless claims filed by NASL.”
“The jury’s verdict confirms that this case was nothing more than an attempt by NASL to deflect blame for its own failures,” the MLS statement read. “Since our inception in 1996, MLS has been dedicated to making the necessary investments to elevate the sport of soccer and provide an exceptional experience for players and fans.
“Today, our focus remains unchanged, and we look forward to furthering our efforts to grow soccer in North America.”
Former NBA star Carmelo Anthony testified during the trial (Paul Kane/Getty Images for NBL)
The verdict was handed down to U.S. District Judge Hector Gonzalez after the jury deliberated for nearly two hours. The jury began deliberations around 11:30 a.m. on Monday, following the jury instructions read to them in open court by Gonzalez.
“This is a pretty dense charge,” Gonzalez said to the jury, before spending two hours going over those instructions. The jury, though, was quick to deliberate, delivering a verdict by 1:15 p.m.
For three weeks, the threat of millions of dollars in damages loomed over USSF and MLS.
NASL’s expert witness, Darrell Williams, an economist, projected the defunct league is owed $48,437,000 in Division I damages and $35,330,000 in Division II damages from expansion fees the league would have received if it had not been denied those sanctions.
The decision is likely to be appealed, stretching the years-long dispute even further.
“I have great respect for the jury,” NASL’s attorney Jeffrey Kessler, of Winston & Strawn, said following the verdict, expressing how there was more to the dispute the jury was not privy to during the three-week trial. “We will almost certainly appeal.”
(Top photo: Aaron Doster-USA TODAY Sports)
Read the full article here