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Eighth Circuit Revives NFL Players' Pay Cap Lawsuit
The U.S. Court of Appeals for the Eighth Circuit has given the National Football League Players Association (NFLPA) an opening to revive its $3 billion lawsuit accusing league owners of colluding to place a secret salary cap on the 2010 season. White v. National Football League, 13-1251. But the NFLPA and its lawyers still face a long road to recovering any damages.
Back in 2012, U.S. District Judge David Doty in Minneapolis ruled that the NFLPA was bound by a prior stipulation that it wouldn't press collusion claims against league owners over the alleged pay cap. The Eighth Circuit partially reversed that decision, ruling that the NFLPA should be given a chance to argue that the stipulation was procured through fraud and is therefore invalid.
In 1993, the NFL settled an antitrust class action lawsuit brought by former players. According to the judge who signed off on that settlement, it included “strict anti-collusion provisions with an expedited and comprehensive enforcement mechanism to deter and punish any collusion” between team owners. Flash forward to the 2010 season, which was the first in almost 20 years not to be governed by a collective bargaining agreement. That meant the traditional cap on how much teams can spend on players wasn't in place.
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