ASPEN PUBLISHERS

Sports Law andRegulation

Cases, Materials, andProblems

Second Edition

Matthew J. MittenProfessor of Law and Director

National Sports Law Institute andLL.M. in Sports Law Program for Foreign Lawyers

Marquette University Law School

Timothy DavisJohn W. & Ruth H. Turnage Professor of Law

Wake Forest University School of Law

Rodney K. SmithPresident

Southern Virginia University

Robert C. BerryProfessor Emeritus

Boston College Law School

.Wolters KluwerLaw & Business

AUSTIN BOSTON CHICAGO NEW YORK THE NETHERLANDS

Contents

Preface xxvAcknowledgments xxix

Chapter 1 An Introduction to the Study of Sports Law 1A. What Is Sports Law? 1B. Is The Study of Sports Law Marginalized? 4C. The Significance of Sport and Sports Law 5

1. The Role of Sport in Society 5(a) Sport and Cultural Values 6

(i) Positive Values Associated with Sport 6(ii) Negative Values Associated with Sport 8

2. Sport and Its Various Intersections 10(a) Sport, Culture, and Metaphors 10

(i) Metaphors 11(ii) Shaping Gender Identity 12(iii) Sport and Religion: The Ultimate Metaphor

or Something More? 12(b) Sport and Economics 13(c) Sport and Politics 15

3. The Study of Sports Law 20

Chapter 2 Regulating Interscholastic (High School) Athletics 23A. Interscholastic Athletics: The Rise of Regulation

at the State and National Levels 231. Historical Overview 232. Interscholastic Athletics Regulatory Structure,

Governance, and Administrative Processes 25B. Judicial Regulation of Interscholastic Athletics 26

1. State Action 28Brentu'ood Academy v. Tennessee Secondary School Athletic Assn. 28Tennessee Secondary School Athletic Association v. RrentivoodAcademy (Brentxvood II) 34

2. Eligibilitv Issues 38(a) Transfer Rules 39

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Problem 2-1 40Indiana High School Athletic Association v. Carlberg 40

(b) "Outside Competition" Rules 48Letendre v. Missouri State High School Activities Assn. 48

(c) Good Conduct Rules 52Problem 2-2 52Brands v. Sheldon Community School 54

(d) Age Rules 61Problem 2-3 61Tiffany v. Arizona Interscholastic Assn., Inc. 62Problem 2-4 67California Interscholastic Federation 68

(e) Personal Appearance and Grooming Cases 71Problem 2-5 71Davenport v. Randolph County Bd. ofEduc. 73Problem 2-6 76Comment: No-Pass, No-Play Rules 76

(f) Exclusion of Homeschooled Students from AthleticParticipation 78

3. Constitutional Issues 79(a) Drug Testing 79

Vernonia School District 47] v. Acton 80(b) Freedom of Speech and Association 88

Wildman v. Marshalltown School Dist. 88(c) Freedom of Religion 92

(i) Free Exercise Issues 93(ii) Establishment Clause Issues 95Problem 2-7 96

Chapter 3 Regulating Intercollegiate Athletics 99A. Introduction 99B. Intercollegiate Athletics: the NCAA and the Rise

of National Governance 991. Intercollegiate Athletics Governing Bodies 992. Historical Overview of the NCAA 100

a. 1840-1910 100b. 1911-1970 101c. 1971-1983 102d. 1984-2000 103e. 2000 to the Present 107

C. Defining The Student-Athlete and University Relationship 1111. Contractual and Related Aspects 111

Text of The National letter of Intent 112Taylor v. Wake Forest University 116

NCAA Bvlaw, Article 15 Financial Aid 118

Contents xiii

Ross u Creighton University 1 19Jackson v. Drake University 124Problem 3-1 129Comment: Academic Reform Legislation 134NCAA Bylaw, Article 14 137Problem 3-2 138

2. Scope of Constitutionally Protected Property orLiberty Interests 139Problem 3-3 140Hysaw v. Washburn University of Topeka 140Problem 3-4 149

3. Student-Athletes as Employees: Eligibility for Workers'Compensation Benefits 150Waldrep v. Texas Employers Insurance Assn. 151

D. First Amendment Rights Issues 1611. The First Amendment and the Media 161

Bilney v. The Evening Star Newspaper Co. 1622. Religious Liberty Issues 167

Problem 3-5 1683. Free Speech and Retaliation Issues 169

E. NCAA Regulatory Authority and Legal Limits Thereon 1701. Federal Constitutional Law 170

NCAA v. Tarkaman 1702. NCAA Rules Enforcement Process 178

a. Institutions and the Infractions Process 180NCAA Constitution 180Bucknell University Public Infractions Appeals Committee 181

b. Coaches and Other Internal InstitutionalPersonnel and the Infractions Process 185NCAA Regulations—Sections 10 and 11 186Former Head Men's Basketball Coach University ofMinnesota, Twin Cities Public Infractions AppealsCommittee Report 187

c. Infractions Arising Out of Conduct of Representativesof Institution's Athletics Interests 198NCAA. Regulations—Sections 6 and 10 198University of Alabama, Tuscaloosa Public InfractionsAppeals Committee Report 199The University of Call forma, Berkeley Public InfractionsAppeals Committee Report 209Problem 3-6 214Problem 3-7 215

3. Federal and State Civil Rights Laws 218NCAA v. Smith 218Brennan v. Bd. of Trustees For University of Louisiana Systems 221

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4. Contract and Private Associations Law 225Bloom v. NCAA 225

F. Antitrust Law 2351. Historical Background 2352. Nature and Scope of Antitrust Limits 238

a. Output Market 239NCAA v. Board of Regents of The University of Oklahoma 239Problem 3-8 253

b. Input Market 254i. Coaches' Salaries 254

Law v. NCAA 254ii. Athlete Eligibility Standards 262

Problem 3-9 262Smith v. NCAA 263Banks v. NCAA 265Problem 3-10 274Problem 3-11 275

Chapter 4 Regulating Olympic and International Athletics 277A. Introduction 277

1. Origin, History, and Objectives of the Olympic Games 2772. Organization, Governance, and Structure of the

Olympic Movement 2783. The Modern Olympic Games 280

B. Regulation of Olympic Sports Within the United States 2831. Basis of Athletic Governing Body Authority and

Legal Limits Thereon 283DeFrantzv. U.S. Olympic Committee 283

2. Legal Framework for Resolving Domestic AthleteEligibility Disputes 292Harding v. U.S. Figure Skating Association 294Slaney v. International Amateur Athletic Federation 297Lindlandv. U.S. Wrestling Ass'n, Inc. 301Problem 4-1 305

C. Limits on Use of National Law to Regulate Olympic andInternational Athletic Competition 306Reynolds v. International Amateur Athletic Federation 306Slaney v. International Amateur Athletic Federation 312Problem 4-2 317

D. Court of Arbitration for Sport 3171. Governing Body Disciplinary Action 322

DArcy v. Australian Olympic Committee 322Samoa Noc and Sports Federation, Inc.v International WeightliftingFederation (IWF) 326

Contents xv

2. Disputed Competition Results 329Yang Tae Young v. International Gymnastics Federation 329Problem 4-3 334

3. Doping Violations and Sanctions 335a. Clear Notice, Strict Liability, and Proportionate

Sanctions 335USA Shooting & Q. v. International Shooting Union {HIT)("Qjiigley") 335C. v. Federation Internationale de Natation Amateur (FINA)("Chagnaud") 339

b. Interpretation and Application of the WorldAnti-Doping Code 344Guillermo Canas v. ATP Tour 345Problem 4-4 356

Chapter 5 Coaches' Contracts and Related Issues 359A. Introduction 359B. Is There a Property Interest in a Coaching Position? 360

Kish v. Iowa Central Community College 360Problem 5-1 364

C. Compensation Issues 3641. What Constitutes Compensation? 365

Rodgers v. Georgia Tech Athletic Assn. 3652. Termination, Breach, and Liquidated Damages 372

Vanderbilt University v. Dinardo 373Problem 5-2 384

D. Contract Negotiation Exercise 3851. Summaries of Coaches' Contracts Reported as of

December 7, 2007 3862. Helpful Resource Materials 3883. Sample Contract 389

Employment Contract State of Texas County ofLubbock 389

Chapter 6 Regulating Professional Athletics 397A. Introduction 397B. Origin and Evolution of Modern Professional Sports

Industries 3981. Evolution of Sports into a Business and Profession 3992. L'nique Features of Professional Team Sports 4013. The Principal "Players" in the Professional Sports

Industries 402Leagues 402Clubs or Teams 403Commissioners 403

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Players 404Players Associations 404Agents 405Other Industries Integral to Modern Professional Sports 406

C. Overview of the Legal Framework 4061. Contract Law 407

a. The Early Cases: Establishment of Precedents 407Philadelphia Ball Club, Ltd. v. Lajoie 408

b. Modern Judicial Responses 412Lewis v. Rahman 416Problem 6-1 421

2. Antitrust Law 421a. Nature and Purposes of the Antitrust Laws 421b. Applicability of Antitrust Law to Professional Sports 424

Federal Baseball Club of Baltimore, Inc. v. National League ofProfessional Baseball Clubs 424Flood v. Kuhn 426

3. Labor Law 432The American League of Professional Baseball Clubs and Assn. ofNational Baseball League Umpires 432

D. The Intersection of Antitrust and Labor Law 4361. Initial Judicial Development and Application of the

Nonstatutory Labor Exemption 439Mackey v. NFL 440

2. Judicial Extension of the Scope of the NonstatutoryLabor Exemption 446Powell v. NFL 447Brown v. Pro Football, Inc. 452Clarett v. NFL 461Clarett v. NFL 466

3. Continued Viability of Antitrust Litigation inPlayer-Management Conflicts 470Clarett v. NFL 4T2.Problem 6-2 480

Chapter 7 Labor Law and Labor Relations 483A. Historical Overview 483B. Unfair Labor Practices 486

1. League Interference with Players' Rights to Unionize 4872. League Refusal to Recognize Players Union as Exclusive

Bargaining Representative 4873. Retaliation Against Union Activists 4894. Breach of Duty to Bargain in Good Faith or Provide

Relevant Information Concerning Mandatory-Subjects of Collective Bargaining 490

Contents xvii

Silverman v. Major League Baseball Player RelationsCommittee, Inc. ("Silverman I") 490Silverman i>. Major League Baseball Player RelationsCommittee, Inc. ("Silverman II") 496

5. Discrimination Against Striking Players 504NFL Management Council 504Problem 7-1 507

C. Union's Duty of Fair Representation 509Peterson v. Kennedy 509

D. Collective Bargaining in the Professional Sports Industries 5141. Salary Caps and Competitive Balance Taxes 5152. Collective Bargaining Provisions on Player Mobility 5173. Key Provisions of the NHL, NBA, NFL,

and MLB CBAs (as of January 2009) 5194. Uniform Player Contracts 524

Problem 7-2 525NBA Uniform Player Contract 527

E. Labor Arbitration 5371. Wide Impact Arbitration 538

National & American League Professional Baseball Clubs v.Major League Baseball Players Assn. 538

2. Defining the Scope of Judicial Review 543Kansas City Royals v. Major league Baseball Players Assn. 543Major league Baseball Players Assn. v. Garoey 547

3. Salary Arbitration 551Problem 7-3 5532007-2011 Basic Agreement (MLB CBA) 555

4. Contract Dispute Arbitration 558a. Failure to Honor Contract and Remedies for

Enforcement 558Boston Celtics Limited Partnership v. Brian Shaw 559

b. Club and League Power to Discipline 564Terrell Owens and National Football League Players Associationand Philadelphia Eagles and NFL Mangement Council 564National Basketball Association v. National Basketball PlayersAssociation 570

c. Renegotiation of Contracts 583Arbitration Between NFL Management Council and JohnHannah and IJ'OII Gray 583Arbitration Between NBA (Chicago Bulls) and NationalBasketball Players Assn. (Robert Love) 585

d. Mitigation of Damages 586Arbitration Between NFL Players Assn. (Dante Pastorini)and NFL (Oakland Raiders) 586

e. Bonus Provision Arbitrations 589

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Arbitration Between Major League Baseball Clubs(Cleveland Indians) and Major LeagueBaseball Players Assn.Qames B. Bibby) 589Problem 7-4 592

f. Side Deals and Undisclosed Agreements 592F. Drugs and Professional Team Sports 594

1. Background 5942. Initial Developments and Reactions 595

In The Matter of Arbitration Between Major League Baseball PlayersAssn. (Steve Howe) and Fay Vincent, Commissioner of Baseball 598

3. Current Drug Testing Programs in ProfessionalTeam Sports 600a. National Basketball Association (NBA) 602b. WNBA Drug Policy 603c. NFL Drug Policy 604d. MLB Drug Policy 605e. NHL Drug Policy 605

4. Additional Issues for Teams, Players, and Other SportsInterests 606Problem 7-5 6061. Loss of Signing Bonus 6062. Endorsement Contracts 607

Problem 7-6 607

Chapter 8 League Governance, Rival Leagues, andDeveloping Global Issues 609

A. Internal League Governance and Commissioner Authority 6101. Scope of Judicial Review of Internal League Governance 6102. League Commissioner Authority 613

Charles O. Finley Co., Inc. v. Kuhn 615Oakland Raiders v. National Football league 622Problem 8-1 625

3. Antitrust Limits on Internal Governance 625a. Acquisition, Ownership, and Sale of a Franchise 626

Mid-South Grizzlies v. NFL 626Levin v. NBA 631

b. Franchise Relocation 634Los Angeles Memorial Coliseum Commission v. NFL ("Raiders I") 634Problem 8-2 652

c. Restrictions on Intellectual Property RightsLicensing and Sales 652NFL Properties, Inc. v. Dallas Cowboys Football Club, Ltd. 654American Needle Inc. v. NFL 656Problem 8-3 664

Contents xix

B. Antitrust Disputes Between Rival Sports Leagues andOrganizations 6651. Financial Capital and Management Expertise 666

North American Soccer League v. NFL 6662. League Expansion and Control of Playing Facilities 671

American Football league v. NFL 671Hecht v. Pro-Football, Inc. 675

3. Restricting Access to Players 678Philadelphia World Hockey Club, Inc. v. PhiladelphiaHockey Club, Inc. 678

4. National Television Contracts 685U.S. Football League v. NFL 685Problem 8-4 692

C. Developing International and Global Issues 692

Chapter 9 Regulating Agents 701A. Introduction 701B. The Nature of the Relationship 702

1. Basic Duties 7022. The Standard of Care 704

Zinn v. Parrish 704Williams v. CWI, Inc. 708Problem 9-1 715

3. Conflicts of Interest 715Problem 9-2 716The Detroit Lions, Inc. v. Argovitz 716Problem 9-3 723

4. Competition for Clients: Conflicts Between Agents 723NFLPA Standard Representation Agreement 724Speakers of Sport, Inc. v. Prosen>, Inc. 725

C. Regulations and Legislation 7321. Federal Regulation 732

a. The Sports Agent Responsibility Trust Act 732b. Non-Agent-Specific Federal Legislation 733

2. State Regulation: The Uniform Athlete Agents Act (UAAA) 735Uniform Athlete Agents Act (2000) 736Problem 9-4 742

3. Players' Associations 743a. Authority to Regulate 743

Collins v. National Basketball Players Assn. 744b. Fees 750

Brown v. Woolf 750NFLPA Regulations Governing Contract Advisors 753NBPA Regulations Governing Player Agents 758

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NCAA Bylaw, Article 12 759Problem 9-5 759

D. Ethical Issues 760Ethics Opinion 761ISBA Advisory Opinion on Professional Conduct 762Problem 9-6 764

Chapter 10 Racial Equity Issues in Athletics 765A. Introduction 765B. A Historical Perspective 765

1. Racial Segregation: Intercollegiate Athletics 7662. Racial Segregation: Professional Sports 7693. The Reintegration of Professional and Amateur Sports 770

C. Race and Racial Equity in Modern Sports: An Evolving Debate 7701. Coaching and Administrative Opportunities 771

a. College Sports 771i. Coaching Opportunities 771ii. Administrative Opportunities 773

b. Professional Sports 7742. Intersections 775

a. Race and Gender 775b. Race and Economic Exploitation 776c. Race and Globalization 777

D. Case Law 7801. Academic Racism and Marginalization: NCAA Initial

Eligibility Rules 780Problem 10-1 780Pryor v. NCAA 780NCAA Bylaw, Article 14 791

2. Employment Discrimination: Title VII and Section 1981 792Jackson v. University of New Haven 794Problem 10-2 804

3. Stereotypes: Racially Stereotyped Mascots—Racism orPride? 805Pro-Football, Inc. v. Harjo 805Problem 10-3 814

4. Racially Hostile Environments and Conduct 815Problem 10-4 815Priester v. Lowndes County 816

Chapter 11 Gender Equity Issues in Athletics 825A. Introduction 825B. Historical Perspective 826C. Gender-Based Exclusion from a Particular Sport 832

Contents xxi

Force v. Pierce City R-VI School District 833Williams v. School District of Bethlehem, PA 838Mercer v. Duke University 845Problem 11-1 849

D. Equal Athletic Participation Opportunities, Benefits,and Treatment 8491. Equal Athletic Participation Opportunities 850

Cohen v. Brown University 850Boucher v. Syracuse University 856Pederson v. Louisiana State University 862Problem 11-2 867

2. Equal Benefits and Treatment 868McCormick v. School District of Mamaroneck 868Daniels v. School Board ofBrevard County, Florida ("Daniels I") 873Daniels v. School Board ofBrevard County, Florida ("Daniels II") 875

E. Adverse Effects of Title IX and Policy Implications 880Neal v. Board of Trustees of the California State Universities 880Problem 11-3 888Problem 11-4 889

F. Gender-Based Employment Discrimination in Athletics 8901. Wage Discrimination 890

Deli v. University of Minnesota 890Problem 11-5 894

2. Retaliatory Discharge or Punitive Action 895Lowrey v. Texas A&M University System 895Problem 11-6 902

Chapter 12 Health, Safety, and Risk ManagementIssues in Sports 903

A. Introduction 903B. Tort and Criminal Liability for Athletics-Related Injuries 903

1. Injury to Spectators 903Thurmond v. Prince William Professional Baseball Club, Inc. 903Problem 12-1 910

2. Injun-to Athletes 911a. Co-participant Liability 911

i. Tort Liability 91 1Hackbart v. Cincinnati Bengals. Inc. 91 1Hackbart v. Cincinnati Bengals, Inc. 915Mark v. Moser 917

ii. Criminal Liability 924People v. Schacker 925Regina v. McSorley 926People v. Hall 931Problem 12-2 936

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C. Liability of Educational Institutions 9361. High School 936

a. Legal Duty of Care 936Kahn v. East Side Union High School District 937

b. Sovereign Immunity 944Prince v. Louisville Municipal School District 944

c. The Validity of Liability Waivers 949Wagenblast v. Odessa School District No. 105-151-166] 950Sharon vs. City of Newton 953

2. College or University 959Kleinknecht v. Gettysburg College 959Orr v. Brigham Young University 964Searles v. Trustees of St. Joseph's College 966Problem 12-3 971

D. Sports Medicine Malpractice Liability 971Krueger v. San Francisco Forty Niners 972Problem 12-4 977

E. Injury Compensation for Professional Athletes 978Pro-Football, Inc. v. Uhlenhake 980Lyons v. Workers' Compensation Appeal Board (Pittsburgh SteelersSports, Inc.) 985Depiano v. Montreal Baseball Club, Ltd. 988

F. Participation Rights of Athletes with Physical or MentalImpairments 9911. Enhanced Risk of Harm to One's Self 991

Knapp v. Northwestern University 9922. Enhanced Risk of Harm to Others 1000

Montalvo v. Radcliffe 1000Problem 12-5 1006

3. Modification of Rules of the Game or EligibilityRequirements 1006PGA Tour, Inc. v. Martin 1006Problem 12-6 1015Cruzv. Pennsylvania Interscholastic Athletic Assn., Inc. 1016

Chapter 13 Intellectual Property Issues in Sports 1023

A. Introduction 1023B. Trademarks, Logos, and Other Identifying Insignia 1024

1. As Name of Sports Team or Event 1024Indianapolis Colts, Inc. v. Metropolitan Baltimore FootballClub Limited Partnership 1024

2. Affixation of Sports-Related Mark to Merchandise 1029Board of Governors of the iTniversity of North Carolina v.Helpingstine 1030

Contents xxiii

National Football league Properties, Inc. v.Netv Jersey Giants, Inc. 1033Problem 13-1 1043

3. Ambush Marketing 1043NHL v. Pepsi-Cola Canada Ltd. 1045Problem 13-2 1051

C. Game Accounts, Statistics, and Broadcasting Rights 10521. Historical Background and Overview 10522. Nature and Scope of Protectable Rights in a Sports Event 1053

NBA v. Motorola, Inc. 1054Morris Communications Corp. v. PGA 'Tour, Inc. 1061

3. Infringement of a Sports Broadcast 1066NFL v. McBee & Bruno's, Inc. 1066NFL v. Tvradionow Corp. 1068Problem 13-3 1072

D. Athlete's Privacy, Reputation, and Publicity Rights 10721. Historical Background and Overview 1072

a. Defamation 1073b. Right of Privacy 1074c. Right of Publicity 1075d. LanhamAct 1076

Hillerich & Bradsby Co. v. Christian Bros., Inc. 10762. Athlete's Right of Publicity 1079

a. Elements of Claim 1079Newcombe v. Adolf Coors Co. 1079

b. First Amendment Limitations 1087ETW Corp. v. Jireh Publishing, Inc. 1088C.B.C. Distribution and Marketing, Inc. v. Mlbam 1092Problem 13-4 1100

Table of Cases 1101Index 1113