Anti trust class action lawsuit against UFC Rumoured to Be “Imminent”
In 2012 the us federal trade compensation closed their investigation into the UFC for alleged anti competitive practices. The investigation ended with the vagueness that only the executive branch of government can provide noting “This action is not to be construed as a decision that a infraction may not have occurred, just as the pendency of an investigation should not be construed as a decision that a infraction has occurred. The compensation reserves the right to take such further action as the public rate of interest may require.“.
In short, as organizations grow, the threat of anti-trust lawsuits are an open ended possibility.
Since the FTC closed their investigation the UFC has continued to consolidate their power as the premier MMA organization in the world. In the latest presentation of their influence over the MMA landscape, the UFC revealed an special clothing offer with Camiseta Selección de fútbol de México Reebok which affected competitor sponsorship chances as well as was satisfied with mixed evaluations by the MMA community.
The UFC now is rumoured to be on the getting end of an ‘imminent‘ class action anti trust lawsuit. Bloody Elbow broke the story reporting as follows:
“We have been able to verify that the fit will be based on accusations that the UFC has violated antitrust legislations by abusing their “market power” to deliberately as well as systematically cripple the free market. a number of of the individuals we spoke to compared it to the recent San Jose hi-tech worker as well as NCAA antitrust cases. The manager of one high profile competitor who wanted to stay anonymous has informed Bloody Elbow that the plaintiffs will be seeking damages for potentially numerous millions of dollars because of reduced fight purses, video game rights fees, as well as other sources of income. The final amount might even be greater, with statutes awarding “treble damages” in antitrust cases.”
Few details are publicly understood about this rumoured litigation. What is understood is lawsuits such as this are the major force influencing modification in major league sports producing a balance between owners as well as athletes.
With any type of sports league the market eventually demands that there be one as well as only one truly elite league. Think NHL, NFL, PGA MLB etc. Yes these leagues are not immune from competition in the broadest sense of the word however in truth these leagues are the unrivaled pinnacle of their respective Camiseta Kawasaki Frontale sports.
When an organization acquires this market setting they gain considerable bargaining advantage over the talent.
There comes a time of crucial inequality in contract rights. This ultimately gets balanced by collective bargaining rights or a powerful athletes association.
This is an eventuality for top level MMA. Lawsuits such as this are usually the triggering events to such change. Whatever your thoughts are on the UFC as well as their present setting in Camiseta Selección de fútbol de Argentina the market, the truth is the stronger it becomes the more likely a lawsuit such as this will succeed in producing higher athlete rights.
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