The NFL is planning to appeal a federal jury ruling in Los Angeles that found the league responsible for over $4.7 billion in damages due to antitrust violations related to DirecTV’s “Sunday Ticket” packages.
After approximately five hours of deliberation over two days, the jury unanimously decided that the NFL, DirecTV, CBS, and Fox colluded to raise the prices of the game packages.
The class-action lawsuit originated in 2015 with a complaint from a San Francisco sports bar called the Mucky Duck, which was dismissed in 2017. The Ninth U.S. Circuit Court of Appeals later revived the case, which became a class action last year, encompassing over 2.4 million residential subscribers and more than 48,000 businesses that purchased DirectTV’s “Sunday Ticket” package from the 2011 through 2022 seasons.
If the verdict holds, the residential class would receive $4.7 billion in damages, while the commercial class would be awarded $96 million. These damages could potentially triple to $12.3 billion under federal laws in antitrust cases.
Lead attorney Bill Carmody stated, “It’s a great verdict for consumers around America that this jury upheld the antitrust laws to protect consumers from overcharges. Justice was served.”
The plaintiffs argued that NFL teams collaborating to pool their broadcasts through “Sunday Ticket” and selling the package at an inflated price violated antitrust laws by restricting competition.
The NFL claimed an antitrust exemption for broadcasting covering “Sunday Ticket,” but the plaintiffs argued this exemption was for over-the-air broadcasts, not pay TV.
“Sunday Ticket” was available on DirecTV from 1994 to 2022 before the NFL entered a seven-year contract with Google’s YouTube TV in 2023.
The NFL’s lawyers highlighted that it is the only major sports league offering all local games on free, over-the-air TV and noted that DirecTV controlled the pricing of the “Sunday Ticket” package, often offering it for free to attract subscribers.
In a statement, the NFL expressed disappointment with the jury’s verdict and stated their intention to contest it, believing the claims in the case were baseless and without merit.
Judge Philip Gutierrez may suggest structural changes to the “Sunday Ticket” package during post-trial motions on July 31. The league can argue that the damages are excessive and unreasonable, and has the option to appeal to higher courts.
–Field Level Media