Related Practices
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The members of professional sports leagues are competitors on the field, but in every business sense they are partners in an entity that competes in a broad entertainment market. The web of relationships created by this unique structure presents a host of antitrust issues in which Covington has extensive experience and broad expertise.
In deciding the locations of its franchises, or the rules for admitting new owners, or the terms of employment for its players, or how to license its intellectual property, a professional sports league — unlike other business entities — must take into account the potential for antitrust challenge by opportunistic adversaries attempting to rely on Section 1 of the Sherman Act, which prohibits agreements among business competitors that unreasonably restrain trade. For many years and for numerous sports leagues, Covington antitrust lawyers, with their deep understanding of the sports industry, have addressed issues of this kind, and when necessary, successfully defended antitrust challenges to business decisions of professional sports leagues that would be deemed routine and unobjectionable in any other industry.
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