Appeals Court Revives $4.7 Billion NFL Antitrust Verdict

More than 2.4 million households and 48,000 businesses in the United States may soon see a new legal battle over the price they paid for out-of-market football games. The U.S. Court of Appeals for the Ninth Circuit reinstated a jury verdict against the National Football League on Friday, sending the case back to a federal district court in Los Angeles for a new determination of damages.

The lawsuit, originally filed in 2015 by the Mucky Duck sports bar in San Francisco, accused the NFL of violating antitrust laws by selling its "Sunday Ticket" package at an inflated price. Plaintiffs argued that the league restricted competition by making the package available only on DirecTV between the 2011 and 2022 seasons. A jury in June 2024 found the NFL liable and awarded $4.61 billion to residential subscribers and $96.9 million to commercial subscribers.

District Judge Philip Gutierrez reversed that verdict one month later. He ruled that two expert witnesses for the subscribers used flawed methodologies and should not have been allowed to testify. The appellate panel, however, disagreed with that decision. Judge Anthony D. Johnstone, writing for the three-judge panel, stated that expert opinions are not unreliable merely because they can be challenged during cross-examination. He noted that it is the jury's role to weigh such evidence, not the judge's.

The appellate court did agree with the district judge on one point: the original jury did not follow the instructions provided when calculating the total damages. The panel found that the jury relied on guesswork and created its own calculations rather than applying the legal standards set by the court. As a result, the liability verdict stands, but the specific dollar amount must be recalculated in a new trial.

Johnstone emphasized that reasonable jurors could debate whether college and professional football broadcasts are similar products or how out-of-market games would have been distributed without the NFL's conduct. He concluded that those questions belong with the jury, not the judge. The ruling effectively undoes the procedural barrier that previously stalled the case.

The NFL issued a statement defending its media strategy, which it described as the most fan-friendly model in sports and entertainment. The league pointed to the fact that 100 percent of games are broadcast on free over-the-air television in team markets and that national distribution includes options like RedZone and NFL Plus. The league maintained that its distribution approach serves fans well despite the legal challenge.

Attorneys for both sides said they are currently considering their options following the decision. If the case proceeds to a new damages trial, the potential liability could increase significantly. Federal antitrust laws allow for treble damages, meaning the NFL could eventually be liable for over $14.1 billion if the original award amounts are upheld or adjusted in a new proceeding.

The "Sunday Ticket" package moved to YouTube in 2023 under a seven-year agreement. This change in distribution platform occurred after the period covered by the lawsuit but remains relevant to the ongoing legal dispute regarding the league's exclusive dealing practices.