Court Dismisses Petition Over 2010 NFL Secret Salary Caps

In Reggie White et al. v. National Football League, Minnesota District Court Judge David S. Doty, dismissed a petition filed by the NFL Players’ Association, claiming that the NFL and team owners conspired to set secret salary caps during the uncapped 2010 season.  The NFLPA filed its petition in May contending that the owners violated a 1993 settlement, which governed labor negotiations with team owners, by agreeing amongst themselves to limit players’ salaries to $123 million per club in 2010.  According to the 1993 settlement, the owners agreed to forfeit the salary cap if they opted out of its collective bargaining agreement (“CBA”), as an incentive to reach a new deal.  This is what happened during the 2010 NFL season.  However, before the 2011 season, the parties reached a new 10-year CBA.  In dismissing NFLPA’s current petition, the court held that according to the terms of the new 2011 CBA, the court is divested of jurisdiction in this matter, and NFLPA is required to dismiss with prejudice all claims stemming from the 1993 labor settlement.

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