In a significant legal blow, the NFL has been ordered to pay nearly $4.8 billion in damages after being found guilty of violating antitrust laws regarding the pricing of DirecTV’s “Sunday Ticket” packages.
A Los Angeles jury unanimously decided that the NFL colluded with DirecTV, CBS, and Fox to inflate the prices of this premium product.
The decision, reached after five hours of deliberation over two days, allocates $4.7 billion to residential subscribers and $96 million to commercial subscribers. Under federal antitrust laws, the total damages could potentially rise to $12.3 billion due to the provision that triples the awarded amount in such cases.
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The NFL’s spokesperson expressed disappointment with the verdict, defending the league’s media distribution strategy as the most fan-friendly in the sports industry. The spokesperson emphasized that the league’s approach, which includes free over-the-air broadcasts, the RedZone channel, and the NFL+ streaming service, offers a comprehensive viewing experience. The NFL intends to contest the decision, maintaining that the claims are baseless.
The class-action lawsuit represented 2.4 million residential subscribers and 48,000 businesses who purchased the out-of-market game package between 2011 and 2022. The trial, which lasted three weeks, featured testimony from high-profile figures like NFL Commissioner Roger Goodell and Dallas Cowboys owner Jerry Jones.
Bill Carmody, the lead attorney for the plaintiffs, hailed the verdict as a victory for consumers, asserting that the jury’s decision upholds antitrust laws designed to protect against overcharging. The lawsuit argued that the NFL’s collusion with CBS, Fox, and DirecTV kept the prices of “Sunday Ticket” artificially high, violating antitrust regulations.
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Next steps in the legal process include post-trial motions, which will be heard by the trial judge on July 31. Should the verdict stand, the judge may consider structural changes to the “Sunday Ticket” package and determine legal fee awards for the plaintiffs’ attorneys. The NFL plans to appeal any adverse rulings to the Ninth Circuit Court, which would likely delay the payment of damages and implementation of any changes until all appeals are resolved.
The case originated nearly a decade ago, when a San Francisco pub, the Mucky Duck, filed a complaint about the NFL’s handling of out-of-market broadcasts. The class-action suit, filed on behalf of millions of residential and commercial subscribers, focused on the “Sunday Ticket” package—now offered through YouTube TV—that allows access to all out-of-market Sunday games broadcast on CBS and Fox.
Despite the NFL’s argument that DirecTV controlled the pricing of “Sunday Ticket” and often gave it away to attract subscribers, the plaintiffs contended that the NFL’s collusion with its network partners kept prices high. The plaintiffs sought $7 billion in damages for the period between 2011 and 2022, a figure that, when tripled under antitrust law, amounts to $21 billion—enough to purchase an entire four-team division.
The NFL defended its pricing strategy, stating that “Sunday Ticket” is a premium product and that the league ensures all local games are available for free over-the-air. However, the jury found the NFL’s actions to be in violation of antitrust laws, leading to the substantial damages awarded in this landmark case.
