NFL Ordered to Face New Trial Over Sunday Ticket Damages

The NFL must return to federal court to determine the financial penalty for its Sunday Ticket pricing practices. The 9th Circuit Court of Appeals issued an order on Friday requiring a new trial on damages after a jury found the league violated antitrust laws.

The decision reverses a ruling by Judge Philip Gutierrez of the U.S. District Court for the Central District of California. Gutierrez had vacated a $4.7 billion verdict from June 2024, arguing that the jury relied on speculation rather than evidence. The appeals court agreed that the original award was improper but determined that the plaintiffs are entitled to a new hearing to establish the correct sum.

The original lawsuit was filed in 2015 by a class of more than 2.4 million residential subscribers and 48,000 commercial establishments. These plaintiffs argued that the NFL and its partners conspired to overcharge for the out-of-market games package. A federal jury in Los Angeles sided with the class in 2024, finding that the league worked with DirecTV and network partners to inflate prices.

The central legal dispute involved the testimony of expert witness Daniel Rascher. Gutierrez ruled that Rascher was inadmissible because he speculated on what individual teams might earn if they sold rights separately, similar to college sports models. The appeals court found that the jury should have been permitted to hear this testimony.

In a statement, an NFL spokesperson expressed disappointment with the decision. The league noted that the case has continued for over 11 years. The spokesperson argued that the NFL's distribution strategy remains the most fan-friendly model in sports, citing that 100% of games are broadcast on free over-the-air television in participating markets.

The league stated it is considering options for further appellate review. The spokesperson emphasized that national distribution of popular games is supplemented by options including RedZone, Sunday Ticket, and NFL Plus.

The litigation concerns the era when DirecTV held the exclusive distribution rights for Sunday Ticket from 1994 until the 2023-24 season. Google subsequently secured a seven-year deal to sell the package via YouTube. The current product includes all out-of-market Sunday regular-season games broadcast on Fox and CBS.

Testimony during the trial revealed that Disney's ESPN offered to acquire the rights starting with the 2023-24 season. ESPN proposed a price of $70 per season for single-team access, a plan the NFL rejected. The rejection of this offer became a focal point for the plaintiffs' argument regarding market pricing.

Current pricing for the service varies by customer status and platform. For the 2026 season, new subscribers with a YouTube TV plan pay $240, while returning customers pay $378. For the standalone YouTube version of Sunday Ticket, new customers pay $240 and returning subscribers pay $480.

The case now returns to the district court for proceedings on the specific amount of financial penalties owed to the class members.