The 8th Circuit Court of Appeals has given a partial victory to the owners in ruling that the lockout is legal in regards to players currently under contract. This ruling overturns the earlier decision by District Court Judge Susan Nelson which enjoined lockout.
But as the Appeals Court promised at the end of oral arguments in June, their decision isn’t one that either side is likely to be happy about. The court remanded for further hearings the legality of the lockout as it relates to players not under contract – free agents and rookies. Judge Nelson will set a briefing schedule and preside over those hearings.
More importantly the decision left the league exposed to violations of antitrust laws. That means the owners could still potentially face a lawsuit of $12 billion or more if the 2011 season is lost. That should serve as ample motivation to keep the owners at the table working toward a settlement.
So while the timing of the ruling is a surprise it could be the extra push that is needed to get a deal done.
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