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The controversial 1922 Federal Baseball Supreme Court ruling held that the "business of base ball" was not subject to the Sherman Antitrust Act because it did not constitute interstate commerce. In Baseball on Trial, legal scholar Nathaniel Grow defies conventional wisdom to explain why the unanimous Supreme Court opinion authored by Justice Oliver Wendell Holmes, which gave rise to Major League Baseball's exemption from antitrust law, was correct given the circumstances of the time. Currently a billion dollar enterprise, professional baseball teams crisscross the country while the games are broadcast via radio, television, and internet coast to coast. The sheer scope of this activity would seem to embody the phrase "interstate commerce." Yet baseball is the only professional sport--indeed the sole industry--in the United States that currently benefits from a judicially constructed antitrust immunity. How could this be? Drawing upon recently released documents from the National Baseball Hall of Fame, Grow analyzes how the Supreme Court reached this seemingly peculiar result by tracing the Federal Baseball litigation from its roots in 1914 to its resolution in 1922, in the process uncovering significant new details about the proceedings. Grow observes that while interstate commerce was measured at the time by the exchange of tangible goods, baseball teams in the 1910s merely provided live entertainment to their fans, while radio was a fledgling technology that had little impact on the sport. The book ultimately concludes that, despite the frequent criticism of the opinion, the Supreme Court's decision was consistent with the conditions and legal climate of the early twentieth century.
The impact of antitrust law on sports is in the news all the time, especially when there is labor conflict between players and owners, or when a team wants to move to a new city. And if the majority of Americans have only the vaguest sense of what antitrust law is, most know one thing about it-that baseball is exempt. In The Baseball Trust, legal historian Stuart Banner illuminates the series of court rulings that resulted in one of the most curious features of our legal system-baseball's exemption from antitrust law. A serious baseball fan, Banner provides a thoroughly entertaining history of the game as seen through the prism of an extraordinary series of courtroom battles, ranging from 1890 to the present. The book looks at such pivotal cases as the 1922 Supreme Court case which held that federal antitrust laws did not apply to baseball; the 1972 Flood v. Kuhn decision that declared that baseball is exempt even from state antitrust laws; and several cases from the 1950s, one involving boxing and the other football, that made clear that the exemption is only for baseball, not for sports in general. Banner reveals that for all the well-documented foibles of major league owners, baseball has consistently received and followed antitrust advice from leading lawyers, shrewd legal advice that eventually won for baseball a protected legal status enjoyed by no other industry in America. As Banner tells this fascinating story, he also provides an important reminder of the path-dependent nature of the American legal system. At each step, judges and legislators made decisions that were perfectly sensible when considered one at a time, but that in total yielded an outcome-baseball's exemption from antitrust law-that makes no sense at all.
Abrams examines such issues as drug use and gambling, enforcement of contracts, and the rights of owners and managers. The stories he tells are not limited to his official lineup, but include appearances by a host of other characters - from baseball magnate Albert Spaulding and New York Knickerbocker Alexander Joy Cartwright to "Acting Commissioner" Bud Selig and Jackie Robinson. And Abrams does not limit himself to the history of baseball and the legal process but also speculates on the implications of the 1996 collective bargaining agreement and those other issues - like intellectual property, eminent domain, and gender equity - that may provide the all-star baseball law stories of the future.
In late 1913 the newly formed Federal League declared itself a major league in competition with the established National and American Leagues. Backed by some of America’s wealthiest merchants and industrialists, the new organization posed a real challenge to baseball’s prevailing structure. For the next two years the well-established leagues fought back furiously in the press, in the courts, and on the field. The story of this fascinating and complex historical battle centers on the machinations of both the owners and the players, as the Federals struggled for profits and status, and players organized baseball’s first real union. Award winning author, Daniel R. Levitt gives us the most authoritative account yet published of the short-lived Federal League, the last professional baseball league to challenge the National League and American League monopoly.
What happens when three financial industry whiz kids and certified baseball nuts take over an ailing major league franchise and implement the same strategies that fueled their success on Wall Street? In the case of the 2008 Tampa Bay Rays, an American League championship happens—the culmination of one of the greatest turnarounds in baseball history. In The Extra 2%, financial journalist and sportswriter Jonah Keri chronicles the remarkable story of one team’s Cinderella journey from divisional doormat to World Series contender. When former Goldman Sachs colleagues Stuart Sternberg and Matthew Silverman assumed control of the Tampa Bay Devil Rays in 2005, it looked as if they were buying the baseball equivalent of a penny stock. But the incoming regime came armed with a master plan: to leverage their skill at trading, valuation, and management to build a model twenty-first-century franchise that could compete with their bigger, stronger, richer rivals—and prevail. Together with “boy genius” general manager Andrew Friedman, the new Rays owners jettisoned the old ways of doing things, substituting their own innovative ideas about employee development, marketing and public relations, and personnel management. They exorcized the “devil” from the team’s nickname, developed metrics that let them take advantage of undervalued aspects of the game, like defense, and hired a forward-thinking field manager as dedicated to unconventional strategy as they were. By quantifying the game’s intangibles—that extra 2% that separates a winning organization from a losing one—they were able to deliver to Tampa Bay something that Billy Beane’s “Moneyball” had never brought to Oakland: an American League pennant. A book about what happens when you apply your business skills to your life’s passion, The Extra 2% is an informative and entertaining case study for any organization that wants to go from worst to first.
On October 8, 1969, the St. Louis Cardinals traded center fielder Curt Flood to the Philadelphia Phillies. At the time of the trade, Flood was thirty-one years old, at the top of his game and in the prime of his life. In professional baseball, trades are not uncommon. What was different about this trade was that Curtis Charles Flood refused to recognize the - right - of the Cardinals to trade him to another team without his consent. In doing so, Flood challenged a practice that was designed and enforced by professional baseball owners for over eighty years - a practice commonly referred to as the - reserve system. It was the late 1960s - a decade of great racial tension and unrest; the Vietnam War was dividing the country; and now Curt Flood, a black man was challenging the lily-white major league baseball establishment.On January 16, 1970, Curt Flood filed suit in the Federal District Court in New York against major league baseball alleging that baseball?s reserve system violated the Sherman Antitrust Act and Flood?s rights under federal law. Flood argued that once he signed a contract (in his case, when he was eighteen years old), he was owned by (this team) for life and that the reserve system was tantamount to slavery.Flood?s decision to challenge major league baseball cost him his baseball career and much more. Despite the U.S. Supreme Court?s denial of Flood?s claims and ruling (in 1972) that professional baseball was exempt from federal antitrust regulation, professional baseball players had (free agency) by 1975. This is the story of Curt Flood?s case and trial against major league baseball and its aftermath.
First Published in 1995. Routledge is an imprint of Taylor & Francis, an informa company.