Author: Joseph M. Hanna

Joseph M. Hanna is the founder and chair of Goldberg Segalla’s Sports and Entertainment Practice Group and editor of the Sports and Entertainment Law Insider blog. With a national practice and industry-wide reputation for leadership, Joe is consistently ranked among the top 10 attorneys based in Western New York in Business First’s annual Legal Elite, and in 2015, Joe was the youngest honoree ever to be named Lawyer of the Year in the Bar Association of Erie County’s 130-year history. He was named a Rising Star by Law360 in 2014 and is also a member of the Mediator Panel for the U.S. District Court for the Western District of New York.
NFL

US Supreme Court Denies “Jock Tax” Review, Cleveland to Refund Millions

Last week, the United States Supreme Court declined to review the Ohio Supreme Court’s decision to strike down Cleveland’s “jock tax.” The Ohio Supreme Court previously agreed to suspend its decision while the city appealed, but now that the U.S. Supreme Court has denied certiorari, the city must begin to refund players millions.

Cleveland is one of eight cities that have implemented a so-called “jock tax,” which is an income tax levied on NFL players visiting the city for a road game. The decision to …

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Fantasy Sports

FanDuel to Cease Operations in New York Until Hearing on Nov. 25

The pace of the game is moving quickly in the dispute between New York Attorney General Eric Schneiderman and daily fantasy sports (“DFS”) industry leaders DraftKings, Inc. and FanDuel, Inc. As for the latest news, FanDuel has elected to suspend its New York operations until the November 25th emergency hearing.

Following a month-long investigation, Schneiderman notified DraftKings and FanDuel on November 10, 2015 of his decision to prohibit the companies from accepting New Yorkers’ DFS wagers. Both companies decided to challenge Schneiderman’s decision by …

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NHL

Former Coyotes Owner Gets Hit With Bankruptcy Damages

On November 12, 2015, U.S. District Judge G. Murray ruled that former Phoenix Coyotes owner Jerry Moyes is liable to the NHL for  attorneys’ fees and other damages that resulted from the team’s bankruptcy back in 2009.

The NHL initiated its action against the former Coyotes owner after he declared Chapter 11 bankruptcy and the NHL purchased the team for $140 million. The suit was brought in 2010 to recover $145.9 in damages, which included more than $112 in operating expenses,  $6.5 million in unpaid …

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NCAA

Former Quarterback Seeks Additional Docs to Support Class Certification Against NCAA

John Rock, former Gardner-Webb University quarterback, has urged the NCAA to turn over information that he believes will help establish class certification.

Rock initiated an antitrust suit against the NCAA back in 2012, alleging that the organization’s “artificial” scholarship cap and former prohibition on multi-year athletic-based scholarships represented illegal restraints on trade. The suit was later dismissed in 2013, based on the Indiana District Court’s finding that the plaintiff failed to identify a “cognizable market” that suffered from the “anti-competitive” effects of the NCAA’s regulations. …

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Fantasy Sports

DraftKings, FanDuel Temporary Restraining Order Requests Denied, Preliminary Injunction Hearings Fast-Tracked

On Monday November 16, 2015, daily fantasy sports (DFS) giants DraftKings, Inc. and FanDuel, Inc. requested temporary restraining orders in their individual state court actions against N.Y. Attorney General Eric Schneiderman. Those requests were denied by Justice Manuel Mendez.

The underlying lawsuits were filed by DraftKings and FanDuel in response to Scheiderman’s November 10, 2015 decision, in which Schneiderman ordered the companies to cease and desist from accepting DFS wagers from New York residents.

The individual actions of both plaintiffs request injunctive relief — …

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Fantasy Sports

DraftKings Files for Temporary Restraining Order and New NY Legislation Proposed

Monday, November 16, 2015 saw a lot of action regarding the ongoing daily fantasy sports (DFS) controversy in New York State.

On November 10, 2015, following a month-long investigation into the operations of DFS industry leaders DraftKings, Inc. and FanDuel, Inc., N.Y. Attorney General Eric Schneiderman notified the two companies of his decision to shut down their state-conducted business. By way of cease and desist letters, Schneiderman required the companies to refrain from accepting DFS wagers placed by New York servers.

In response, both DraftKings…

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Fantasy Sports

FanDuel and DraftKings File Individual Actions v. NY Atty. Gen. Schneiderman

On Friday November 13, 2015, daily fantasy sports (DFS) industry leader DraftKings, Inc. filed a state court lawsuit against N.Y. Attorney General Eric Schneiderman. The action seeks an injunction precluding the AG from prohibiting DraftKings’ DFS operations in New York State. Later that day, FanDuel, Inc., DraftKings’ industry competitor, filed its own individual state court action requesting the same.

The two actions were filed following AG Schneiderman’s notice to DraftKings and FanDuel to cease and desist from accepting DFS wagers from New York residents. Schneiderman …

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Golf / Labor & Employment / Litigation

Former Sous Chef Wants Florida Golf Club to Fork Over OT Pay

On November 6, 2015, former sous chef Marcos Castro initiated a putative class action against a Florida golf club, claiming that the club withheld overtime compensation in violation of the Fair Labor Standards Act (FLSA).

Castro alleges that his former employer, Windstar Club Inc., failed to compensate him with “time-and-a-half” pay for hours worked in excess of 40 hours per week. Castro claims that other employees in similar positions were also intentionally deprived of overtime compensation and he seeks an expedited order so that he …

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Fantasy Sports

DraftKings Files Lawsuit Against NY Attorney General Over Fantasy Sports Ruling

On Friday November 13, 2015, daily fantasy sports (DFS) giant DraftKings, Inc. initiated a state court lawsuit against New York Attorney General Eric Schneiderman.

The lawsuit was filed in response to Schneiderman’s November 10, 2015 ruling, which required DraftKings and FanDuel, Inc. (DraftKing’s industry competitor) to cease and desist from accepting DFS wagers from New York State residents. The AG’s ruling implicated only DraftKings and FanDuel, although several other DFS companies exist.

DraftKings’ lawsuit seeks to preclude New York from halting the company’s business in …

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Litigation / MLB / NBA / NHL

Illinois Judge Grants Temporary Restraining Order Against MLB, NHL, and NBA Counterfeiters

On November 6, 2015, U.S. District Judge Andrea R. Wood filed a temporary restraining order (TRO), prohibiting unidentified online retailers from producing and distributing counterfeit sporting merchandise.

The suit, brought in Illinois federal court last month by MLB, NHL, and NBA league affiliates, seeks to prevent the defendant retailers from selling products featuring their logos and claims $2 million in damages for the use of their trademarks. In their suit, the leagues claim that online retailers — believed to be based in China — have …

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