Jun 18, 2013, 4:32 PM EDT
So I’ve read over the lawsuit filed by San Jose against Major League Baseball. Initial reaction: it’s more full of crap than Bob Melvin’s office was on Sunday afternoon.
The essence of the suit: Major League Baseball is a monopoly. It should be an unlawful monopoly. This would-be unlawful monopoly is preventing the Athletics from moving to San Jose and that has caused San Jose all manner of financial harm.
Which, yes, sounds reasonable. Major League Baseball is anti-competitive and does have a monopoly that should go the way of the dodo and vaudeville for the simple reason that it serves no purpose as noble and grand as either the dodo or vaudeville did. But the suit is not anything that should pass legal muster here, and I believe it will go down in flames.
As I said in the earlier post, courts do not entertain lawsuits from parties without standing to sue and the city of San Jose hasn’t asserted anything in this complaint that persuades me that they have standing. Or that they have been damaged in any way that a court will consider worthy of redress. Broadly speaking, they have claimed that (a) they have a contract with the owners of the Oakland A’s with which Major League Baseball’s actions have interfered; and (b) that the city has incurred or will incur — note the “will” — financial damages as a result of the A’s not moving to San Jose. Let’s break those down:
The tortious interference with a contract claim: The contract claim is baed on an option agreement entered into in 2011 between the A’s owners and San Jose for the purchase of some land on which a ballpark would be built. The A’s paid San Jose $50,000 for the option. It expires this fall. If they want to keep the option open for another year it’s another $25,000. If the A’s owners were to buy the land, they can do it for between $6 million and $7 million. Nothing in the option agreement, however, promises that the A’s will actually move. It doesn’t even promise that they’ll buy the land. Just that they have the option to do so.
San Jose, however, seems to be attempting to bootstrap this option into a promise that the A’s would actually move there and that MLB’s rules preventing the A’s from moving have thus interfered with that expectation. That’s a bridge too far. A bridge longer than the Dumbarton, actually. The only guarantee San Jose gets out of that contract is $50-75K. The only thing it’s giving up is the right to sell that land for the period of the option. Major League Baseball has not stopped the A’s from paying their $50-75K.
San Jose’s insistence that more has been lost here is based on an assertion that the A’s have indicated a willingness to move to San Jose. Well, yes, they have. But they haven’t done anything to act on it yet because they know they can’t. At the minimum, I would think a court would need to have evidence that the A’s actually took a concrete step to pay San Jose $7 million for that land, to actually move to San Jose only to have had Major League Baseball stop that from happening. There is no suggestion, however, that any such evidence exists.
The financial damages: It’s all future tense. San Jose would have gotten increased tax revenue, would have gotten good paying stadium construction jobs, would have seen economic development and would have had a more healthy municipal budget had the A’s moved. Those are all speculative, prospective damages* not actual damages, and courts are not in the business of providing redress for speculative, prospective damages. Tomorrow Lew Wolff could say “you know what? I always wanted to move the A’s to Bakersfield. We’re moving to Bakersfield.” If he did that, San Jose would have no recourse. So they certainly have no recourse against Major League Baseball for preventing a speculative A’s-to-San Jose move.
*Probably also worth noting that the complaint spends a lot of time talking about all the economic benefits of ballpark development. These benefits have been largely debunked. I sorta hope this suit goes far, however, so that MLB would find itself in the odd position of having to explain how such damages are illusory, contrary to their tack for the past 25 years or so.
I think Major League Baseball’s antitrust exemption is abhorrent. I wish it were gone and think, in the right lawsuit, it could be defeated. If the A’s had filed this suit, for example, claiming that MLB is preventing them from moving and that MLB’s insistence that they stay in Oakland has caused them financial damages, I think it would have a puncher’s chance. And I’d be shaking my pompoms, cheering it on. But they didn’t file it. San Jose did. And San Jose has no legal rights that seem remotely impinged upon here.
Which, it should be worth noting, may be the idea. It’s quite possible that this suit is more a political document than a legal one, with San Jose’s mayor trying to focus attention on the languishing A’s-to-San Jose thing and to get public opinion on the side of the A’s and the city. Maybe this will do that, maybe it won’t. I’d have to know the political dynamics of the Bay Area better than I do to have an idea.
But I do think that for it to have any practical use in creating leverage it has to at least present a legal threat, and this doesn’t do that. Indeed, I think Major League Baseball is way more worried about losing its antitrust exemption than any bad PR that can come out of Oakland, so they’re likely to fight this suit until it’s dead.
Which should be quickly. Because the suit is no better than the stuff bubbling up through the Oakland Coliseum’s pipes and should be thrown out.
Apr 18, 2015, 1:01 PM EDT
Reds right-hander Homer Bailey landed on the disabled list at the end of spring training while he completed his rehab from surgery to repair a tear of the flexor tendon in his elbow, but he has been activated to make his season debut this afternoon against the Cardinals.
Apr 18, 2015, 12:18 PM EDT
The Marlins are off to a disappointing 3-8 start this season and slugger Giancarlo Stanton doesn’t like what he has seen.
Apr 18, 2015, 12:10 PM EDT
Josh Hamilton’s future with the Angels is in question, as the two sides are discussing a number of scenarios to resolve their dispute.
Apr 18, 2015, 11:29 AM EDT
V-Mart took a few days off this week to rest his knee.
Apr 18, 2015, 10:45 AM EDT
Danny Salazar was optioned to Triple-A after struggling during spring training, but he’ll now get an extended opportunity in Cleveland’s rotation.
Apr 18, 2015, 10:00 AM EDT
It’s safe to say that nobody would have guessed this one.
Apr 18, 2015, 8:51 AM EDT
A quick recap of a busy Friday around MLB, including the exploits of Mets right-hander Bartolo Colon.
Apr 18, 2015, 7:17 AM EDT
There are, increasingly, two Angels camps when it comes to the Josh Hamilton matter: Arte Moreno and everybody else.
Apr 18, 2015, 6:49 AM EDT
When Angels owner Arte Moreno was asked if Josh Hamilton would ever play for the Angels again, he said “I will not say that.” With this listing, perhaps Hamilton is saying so himself.
Ruben Amaro on Andy Oliver’s decision to elect free agency: “I think it was a very foolish move on his part, but that’s OK.”
Apr 17, 2015, 11:30 PM EDT
Ruben Amaro seems a little upset that Andy Oliver didn’t want to start the season with Triple-A Lehigh Valley.
Apr 17, 2015, 10:50 PM EDT
The Mets will be stretching out Rafael Montero as a starter at Triple-A Las Vegas before bringing him back to the majors for a spot start against the Marlins.
Apr 17, 2015, 9:58 PM EDT
Mike Trout became the youngest to join the 100/100 club with a two-run home run on Friday night.
Apr 17, 2015, 9:17 PM EDT
Alex Rodriguez has two home runs on Friday night, leaving him two round-trippers shy of tying Willie Mays for fourth on the all-time home run leaderboard.
Apr 17, 2015, 9:11 PM EDT
Matt Carpenter made a cool maneuver to score the tying run in the bottom of the first against the Reds on Friday night.
Apr 17, 2015, 8:45 PM EDT
Neither side was warned, but Ubaldo Jimenez was ejected for hitting Pablo Sandoval with a pitch on Friday evening.
Apr 17, 2015, 7:50 PM EDT
A-Rod is now three home runs away from tying Willie Mays for fourth on the all-time home run leaderboard.
Apr 17, 2015, 7:15 PM EDT
Since 2000, how often have teams that started 9-1 went on to have playoff success?
Apr 17, 2015, 6:20 PM EDT
Mark Buehrle, baseball’s timeless left-hander, is reportedly considering retiring after the season.
Apr 17, 2015, 5:28 PM EDT
Well, he’s certainly not getting the support of the Los Angeles Angels.
Apr 17, 2015, 5:13 PM EDT
- Settling the Score: Friday’s results 38
- Josh Hamilton’s teammates say he’s in great shape and ready to play 23
- Mike Trout hit his 100th career home run to become the youngest member of the 100 HR/100 SB club 24
- Make that two: Alex Rodriguez hits second homer of the night, giving him 658 for his career 45
- Alex Rodriguez hit his 657th career home run 48
- Let’s all just stare at Kris Bryant’s numbers for a while 28
- And That Happened: Thursday’s scores and highlights 39
- The wait is over: The Cubs are calling up top prospect Kris Bryant on Friday 99
- The Commissioner’s Office thinks that the Angels could indeed go after Josh Hamilton under his contract (153)
- “Why Ted Cruz is like the Atlanta Braves” (150)
- “We no longer need the terrorists. We’re now so good at terrorizing ourselves.” (143)
- Another argument in favor of making the DH universal (127)
- When it comes to Josh Hamilton, Arte Moreno is a craven opportunist, not a “smart businessman” (116)