A federal jury in downtown Los Angeles Thursday ruled against the National Football League in a lawsuit dealing with how the league distributes its package of out-of-market games, awarding more than $4.7 billion in damages to fans and sports bars for violating antitrust law.
The NFL was ordered to pay $96 million to bars whose owners alleged they were overcharged for DirecTV's "Sunday Ticket," and $4.7 billion to fans who paid for the streaming package.
The jury determined that the league colluded with DirecTV, along with CBS and Fox, to drive up pricing of the game package. The panel deliberated for about five hours over two days.
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The NFL plans to appeal the decision.
"We are disappointed with the jury's verdict today in the NFL Sunday Ticket class action lawsuit," the league said in a statement. "We continue to believe that our media distribution strategy, which features all NFL games broadcast on free over-the-air television in the markets of the participating teams and national distribution of our most popular games, supplemented by many additional choices including RedZone, Sunday Ticket and NFL+, is by far the most fan friendly distribution model in all of sports and entertainment."
Subscribers to the NFL's game package argued that the league broke antitrust laws by selling its package of out-of-market games airing on CBS and Fox at what the lawsuit contended was an inflated price. Lawyers for the subscribers also argued the league restricted competition by offering "Sunday Ticket" only on a satellite provider.
The NFL maintained it has the right to sell "Sunday Ticket" under its antitrust exemption for broadcasting. But the plaintiffs argued that only covers over-the-air broadcasts and not pay TV.
The trial began June 6 in Los Angeles federal court with deliberations starting Wednesday. Among those who testified during the three-week trial were NFL Commissioner Roger Goodell and Dallas Cowboys owner Jerry Jones.
The lawsuit was originally filed in 2015 by the Mucky Duck sports bar in San Francisco. On June 30, 2017, a district judge in Los Angeles dismissed the suit after ruling for the NFL. Two years later, the U.S. 9th Circuit Court of Appeals reinstated the case. U.S. District Judge Philip Gutierrez ruled in February 2023 that the case could proceed as a class action. In January, Gutierrez rejected a final attempt by the NFL to dismiss the case.
The class action applies to more than 2.4 million residential subscribers and 48,000 businesses, mostly bars and restaurants, that purchased "NFL Sunday Ticket" from June 17, 2011, to Feb. 7, 2023.
Google's YouTube TV became the "Sunday Ticket" provider last season.
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