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15 U.S.C. § 26bApplication of antitrust laws to professional major league baseball

submitted 112 years ago by Pub. L. 105-297 to r/title-15-COMMERCE-AND-TRADE · 989 words · no verdicts yet

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This law applies antitrust laws to major league baseball's treatment of player employment. It excludes minor leagues, franchise moves, broadcasting deals, and umpires. Only major league players may sue under this section.

(a) Major league baseball subject to antitrust laws Antitrust laws apply to organized professional major league baseball's conduct, acts, practices, or agreements — but only ones that directly relate to or affect employing major league baseball players to play at the major league level. These are treated the same way antitrust laws would treat any other professional sports business affecting interstate commerce. This is subject to subsections (b) through (d). (b) Limitation of section No court may use this section as a basis for expanding how antitrust laws apply beyond what subsection (a) covers. This section does not create, allow, or imply any lawsuit under antitrust laws — or any other application of antitrust laws — to conduct that doesn't directly relate to or affect major league player employment. The text lists examples that this section does NOT cover, though the list isn't meant to be complete: (1) Conduct relating to minor league player employment, any amateur or first-year player draft, or any reserve clause as applied to minor league players. (2) The "Professional Baseball Agreement" between major league teams and the National Association of Professional Baseball Leagues, the relationship between major league and minor league baseball, or any other matter about the minor leagues. (3) Conduct about franchise expansion, location, or relocation; franchise ownership issues, including ownership transfers; the relationship between the Commissioner's Office and franchise owners; marketing or selling baseball's entertainment product; and licensing intellectual property owned or held by baseball teams. (4) Conduct protected by the Sports Broadcasting Act of 1961. (5) The relationship between baseball businesses and umpires or other people they employ. (6) Conduct by people who are not in the business of organized professional major league baseball. (c) Standing to sue Only a major league baseball player may sue under this section. A "major league baseball player" means: (1) someone who has a major league player's contract, or is currently playing at the major league level; (2) someone who had such a contract or was playing at that level when the injury behind the lawsuit happened; (3) someone who has ever had such a contract or played at that level, and claims an antitrust violation stopped them from getting a new major league contract — except this claim cannot rest on conduct about minor-league employment, drafts, or reserve clauses; or (4) someone who had such a contract or was playing at the major league level at the end of the last full season before the last collective bargaining agreement between baseball and the players' union expired. (d) Conduct, acts, practices, or agreements subject to antitrust laws (1) "Person" means any entity — an individual, partnership, corporation, trust, unincorporated association, or any combination of these. The National Association of Professional Baseball Leagues and its member leagues and clubs are not considered "in the business of organized professional major league baseball." (2) When conduct affects both major league player employment and something else covered by subsection (b) (like minor league employment), only the part of that conduct that directly relates to major league player employment can be challenged under subsection (a) — and only to that extent. (3) The word "directly" in subsection (a) is not to be interpreted using any interpretation of the labor law at section 151 et seq. of title 29. (4) Nothing in this section affects how the nonstatutory labor exemption from antitrust laws applies to organized baseball. (5) The scope of what subsection (b) covers should be read broadly, not narrowly.
the actual law source: uscode.house.gov ↗public domain
(a) Major league baseball subject to antitrust laws

Subject to subsections (b) through (d), the conduct, acts, practices, or agreements of persons in the business of organized professional major league baseball directly relating to or affecting employment of major league baseball players to play baseball at the major league level are subject to the antitrust laws to the same extent such conduct, acts, practices, or agreements would be subject to the antitrust laws if engaged in by persons in any other professional sports business affecting interstate commerce.

(b) Limitation of section

No court shall rely on the enactment of this section as a basis for changing the application of the antitrust laws to any conduct, acts, practices, or agreements other than those set forth in subsection (a). This section does not create, permit or imply a cause of action by which to challenge under the antitrust laws, or otherwise apply the antitrust laws to, any conduct, acts, practices, or agreements that do not directly relate to or affect employment of major league baseball players to play baseball at the major league level, including but not limited to—

(1)

any conduct, acts, practices, or agreements of persons engaging in, conducting or participating in the business of organized professional baseball relating to or affecting employment to play baseball at the minor league level, any organized professional baseball amateur or first-year player draft, or any reserve clause as applied to minor league players;

(2)

the agreement between organized professional major league baseball teams and the teams of the National Association of Professional Baseball Leagues, commonly known as the “Professional Baseball Agreement”, the relationship between organized professional major league baseball and organized professional minor league baseball, or any other matter relating to organized professional baseball’s minor leagues;

(3)

any conduct, acts, practices, or agreements of persons engaging in, conducting or participating in the business of organized professional baseball relating to or affecting franchise expansion, location or relocation, franchise ownership issues, including ownership transfers, the relationship between the Office of the Commissioner and franchise owners, the marketing or sales of the entertainment product of organized professional baseball and the licensing of intellectual property rights owned or held by organized professional baseball teams individually or collectively;

(4)

any conduct, acts, practices, or agreements protected by Public Law 87–331 (15 U.S.C. § 1291 et seq.) (commonly known as the “Sports Broadcasting Act of 1961”);

(5)

the relationship between persons in the business of organized professional baseball and umpires or other individuals who are employed in the business of organized professional baseball by such persons; or

(6)

any conduct, acts, practices, or agreements of persons not in the business of organized professional major league baseball.

(c) Standing to sue

Only a major league baseball player has standing to sue under this section. For the purposes of this section, a major league baseball player is—

(1)

a person who is a party to a major league player’s contract, or is playing baseball at the major league level; or

(2)

a person who was a party to a major league player’s contract or playing baseball at the major league level at the time of the injury that is the subject of the complaint; or

(3)

a person who has been a party to a major league player’s contract or who has played baseball at the major league level, and who claims he has been injured in his efforts to secure a subsequent major league player’s contract by an alleged violation of the antitrust laws: Provided however, That for the purposes of this paragraph, the alleged antitrust violation shall not include any conduct, acts, practices, or agreements of persons in the business of organized professional baseball relating to or affecting employment to play baseball at the minor league level, including any organized professional baseball amateur or first-year player draft, or any reserve clause as applied to minor league players; or

(4)

a person who was a party to a major league player’s contract or who was playing baseball at the major league level at the conclusion of the last full championship season immediately preceding the expiration of the last collective bargaining agreement between persons in the business of organized professional major league baseball and the exclusive collective bargaining representative of major league baseball players.

(d) Conduct, acts, practices, or agreements subject to antitrust laws
(1)

As used in this section, “person” means any entity, including an individual, partnership, corporation, trust or unincorporated association or any combination or association thereof. As used in this section, the National Association of Professional Baseball Leagues, its member leagues and the clubs of those leagues, are not “in the business of organized professional major league baseball”.

(2)

In cases involving conduct, acts, practices, or agreements that directly relate to or affect both employment of major league baseball players to play baseball at the major league level and also relate to or affect any other aspect of organized professional baseball, including but not limited to employment to play baseball at the minor league level and the other areas set forth in subsection (b), only those components, portions or aspects of such conduct, acts, practices, or agreements that directly relate to or affect employment of major league players to play baseball at the major league level may be challenged under subsection (a) and then only to the extent that they directly relate to or affect employment of major league baseball players to play baseball at the major league level.

(3)

As used in subsection (a), interpretation of the term “directly” shall not be governed by any interpretation of section 151 et seq. of title 29, United States Code (as amended).

(4)

Nothing in this section shall be construed to affect the application to organized professional baseball of the nonstatutory labor exemption from the antitrust laws.

(5)

The scope of the conduct, acts, practices, or agreements covered by subsection (b) shall not be strictly or narrowly construed.

Source credit: (Oct. 15, 1914, ch. 323, § 27, as added Pub. L. 105–297, § 3, Oct. 27, 1998, 112 Stat. 2824.)

history & why it existsrecord from the source credit
  • 1914Enacted · Pub. L. 105-297 · 112 Stat. 2824

A history note hasn’t been published yet. The record shows enactment by Pub. L. 105-297 on 1914-10-15.

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