In a landmark decision, a jury in U.S. District Court ruled on Thursday that the NFL must pay over $4.7 billion in damages for violating antitrust laws in its distribution of out-of-market Sunday afternoon games through a premium subscription service. With damages tripled under federal antitrust laws, the NFL’s liability could exceed $14.39 billion.
The lawsuit involved 2.4 million residential subscribers and 48,000 businesses in the U.S. who purchased the “Sunday Ticket” package on DirecTV between 2011 and 2022. The plaintiffs argued that the NFL inflated prices and restricted competition by exclusively offering the package through a satellite provider.
The jury awarded $4.7 billion in damages to residential subscribers and $96 million to the commercial class. Post-trial motions will be heard on July 31, including one to potentially set aside the verdict. If the verdict stands, the NFL plans to appeal to the Ninth Circuit Court.
The NFL expressed disappointment with the jury’s decision, maintaining that their media distribution strategy is the most fan-friendly in sports. “We continue to believe that our media distribution strategy… is by far the most fan friendly distribution model in all of sports and entertainment,” the league stated.
Plaintiffs attorney Bill Carmody hailed the verdict as a victory for consumers, emphasizing the importance of protecting consumer rights. The trial, which lasted three weeks, featured testimony from NFL commissioner Roger Goodell and Dallas Cowboys owner Jerry Jones.
The NFL’s appeal process could delay any payment of damages and changes to the “Sunday Ticket” package until all legal avenues are exhausted. If upheld, the damages could cost each of the 32 NFL teams approximately $449.6 million.
The case could have broader implications for other professional sports leagues offering out-of-market packages. Unlike the NFL, leagues such as MLB, NBA, and NHL distribute their packages across multiple platforms and share revenue per subscriber rather than receiving a fixed rights fee.
DirecTV held the “Sunday Ticket” rights from its inception in 1994 until 2022. The NFL has since signed a seven-year deal with YouTube TV, starting with the 2023 season. Originally filed by the Mucky Duck sports bar in San Francisco in 2015, the lawsuit was dismissed in 2017 but reinstated by the Ninth Circuit in 2019, allowing it to proceed as a class action.
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