Lawyers see legal risk for NFLPA after hidden ruling

NFL players may have grounds to sue their own union or pursue labor grievances over allegations that top NFL Players Association officials concealed a critical arbitration ruling tied to alleged collusion by team owners to curb guaranteed contract money, according to sports law attorneys.

Legal experts across California say the union's failure to disclose the Jan. 14 decision--revealed only recently by a journalist--could constitute a breach of fiduciary duty and undermine confidence in the union's leadership at a time when player negotiations hinge on trust, transparency, and leverage.

"There is a fiduciary duty between the representatives of the NFLPA and the players they are entrusted to represent," Jeremy Evans, CEO of California Sports Lawyer, said in a phone interview Tuesday. "When union executives withhold critical information or fail to advocate for the players' best interests, it constitutes a clear breach of the responsibilities inherent in the roles of the executive director and the union's leadership."

When the union does not protect the interests of the players, "There are three primary avenues for recourse beyond internal negotiation: arbitration, litigation--whether under antitrust or contractual theories--and legal action for breach of fiduciary duty," Evans said.

In an email Friday, the NFLPA's media relations office wrote, "The NFLPA has appealed the collusion ruling, reflecting our commitment to protecting the interests of our player members. Because this is an ongoing legal matter, we have no further comment at this time."

The controversy began on June 24 when Meadowlark Media podcaster Pablo Torre published a ruling by NFL league arbitrator Christopher F. Droney, a former circuit judge, that found no explicit collusion and ruled in favor of the teams.

Despite the arbitration loss, some attorneys said they believe the findings in Droning's ruling could have helped NFL players in contract negotiations this past offseason and might lay the groundwork for future legal action.

Torre reported that the NFLPA failed to disclose details of the three-year arbitration in which the union accused the NFL and the 32 team owners of colluding to suppress the amount of money guaranteed on three players' contracts.

According to the published ruling, Droney also ruled that a 2022 presentation from the NFL Management Council to team owners on guaranteed contracts "unmistakably encouraged the owners to reduce the trend of increasing player guarantees." According to a July 9 report by ESPN, the NFLPA is appealing the arbitration ruling.

Lloyd Howell Jr., former executive director of the NFLPA, and J.C. Tretter, former chief strategy officer, have since stepped down from their positions. The NFLPA's media relations team could not be reached for comment on this article.

In a July 17 statement announcing his resignation, Howell said, "Our members deserve a union that will fight relentlessly for their health, safety, financial futures, and long-term well-being. ... It's clear that my leadership has become a distraction to the important work the NFLPA advances every day."

Brandon Leopoldus, founder of the sports law firm Leopoldus Law APC in Culver City, agreed with Evans and also raised the possibility of a National Labor Relations Board claim being filed over breaches of the duty of transparency.

"You're allowed to keep some things from your membership but that's pretty limited. You're not going to necessarily share everything ... but this is something that really affected all players. How it doesn't get down to the teams' union representatives, that's something that I when I see the reports, it makes me concerned.

He added, "I was a member of a pro sports union. I would have been livid if we found out that our executive director did that, I'd go crazy."

Leopoldus previously represented pro athletes seeking clarification on union benefits and disputes between other union members. Leopoldus was also a union member and representative for the Association of Minor League Umpires where he participated in collective bargaining.

Other attorneys, however, are doubtful that immediate legal action will be taken by the players.

Howard L. Jacobs, whose firm is in Westlake Village, was skeptical in a phone interview but believes the situation will be a "wakeup call" for NFLPA union members. Jacobs' practice centers on defending athletes charged with disciplinary offenses.

"Regarding the agreement to keep the arbitration decisions confidential, it's hard to see what the rank-and-file players' claim would be," Jacobs said. "Unless it was, for example, a player that would have had a claim [against a team owner] had they known about that arbitration result, and if that claim is now barred by Statute of Limitations or something like that.

"In that scenario a player might have a specific claim, but as far as what the general union membership might claim as a result of the agreement to keep certain arbitration results confidential,
that's probably a little harder. ... To me, it's more of a wakeup call that the players need to be more engaged with their union, and with the union leadership to make sure that they understand what's going on."

Bobby Hacker, principal at Robert A. Hacker Attorney at Law + Sports Media Consulting in Marina Del Rey, also said the National Labor Relations Board claim could be filed.

"If you have a situation where management, the owners of the teams, are saying, 'Well, let's all agree to not give these fully guaranteed deals or decrease the guarantees,' that's not good faith bargaining," Hacker said. "If, in fact, the NFLPA executive knew about the collusion and failed to report it to union members, then the agents representing the players and the players were entering into negotiations that weren't free and fair negotiations, and as such, that could give rise to a new claim in the NLRB."

Hacker spent 18 years as Fox Sports' vice president of business and legal affairs, handling rights deals with major leagues like the NFL. He also advised Fox's labor and employment team and participated in bargaining sessions.

In response to questions regarding whether the arbitration ruling and its concealment will impact future contract negotiations between NFL players' legal teams, or agents, and NFL teams Hacker said, "100%."