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NASL Lawsuit vs USSF


CDNFootballer

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Podcast with Eric Wynalda, who is running for USSF head, with some thoughts on NASL situation :

http://www.wralsportsfan.com/Radio/audio/17054228/

Eric says :

NASL fighting for what's right

NASL not being treated fairly by USSF

That he's hearing NASL will continue in 2018 with more teams that have been mentioned and that's a good thing for US soccer.

 

Interesting thoughts from someone who may end up leading the USSF if he replaces Sunil Gulati. Seems USSF will be in for a change of vision if he succeeds based on the way he's been talking lately.

 

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Today's NASL vs USSF October 31, 2017 Court Hearing Notes :

Judge Brodie starts off by saying that the court has determined the request is a mandatory injunction.  This is a higher bar than the preliminary injunction that NASL sought.  She then goes on to explain where she is with her thinking, inviting counsel on both sides to change her mind with their arguments.

The Judge states that she feels the NASL has made a showing that it will suffer irreparable harm if it is not granted the injunction.  Judge Brodie also states she felt the balance of hardship tilted in the NASL’s favor.

She agrees with the NASL that the relevant market in question is top tier and second tier pro soccer leagues.  She believes that USSF has market power in that area.

She believes the USSF has shown sufficient pro-competitive reasons for the Professional League Standards (PLS).  She questioned if NASL could have used “less restrictive means to achieve its goals.”  She says she needs to understand why there is a conspiracy, but acknowledged that there is “definitely some smoke there.”  

Kessler states that the NASL has letters of intent from six additional teams that will only join if Division II status is maintained.  Kessler says that the United Soccer League’s (USL) survival at D3 is not relevant to NASL due to USL’s support from Major League Soccer (MLS) and MLS cash infusions into certain USL teams.

http://midfieldpress.com/2017/10/31/nasl-vs-ussf-october-31-2017-hearing-notes/

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On 30/10/2017 at 6:12 PM, CDNFootballer said:

Podcast with Eric Wynalda, who is running for USSF head, with some thoughts on NASL situation :

http://www.wralsportsfan.com/Radio/audio/17054228/

Eric says :

NASL fighting for what's right

NASL not being treated fairly by USSF

That he's hearing NASL will continue in 2018 with more teams that have been mentioned and that's a good thing for US soccer.

 

Interesting thoughts from someone who may end up leading the USSF if he replaces Sunil Gulati. Seems USSF will be in for a change of vision if he succeeds based on the way he's been talking lately.

 

That is good to hear. They definitely need an overhaul at USSF.

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NASL vs USSF Lawsuit Update - Part One - John Frusciante

My sense on Judge Brodie, based on the hearing, was that while she walked into the landscape uninformed she asked insightful questions that will get her up to speed. She took to task both counsels at various points for different behaviors (NASL usually for over-talking and over-exurberance; USSF for not answering a question or when they were repeating verbatim a case detail contained in the submitted evidence). Judge Brodie told them when and where she thought their arguments were problematic. She also was clear that she was open to being shown where her understanding of fact or arguments were wrong, and that both sides would receive as much time as they felt they needed to state their arguments in full. In the final analysis, I felt she was slightly less convinced of the USSF’s arguments, and seemed a little more open to NASL counsel’s challenging of positions. This however does not add up to a sense that she favors NASL’s arguments over that of USSF’s. Whether the challenges are enough to overcome and find that the mandatory injunction standard was still necessary and, if so, whether the NASL met its requirements for preliminary relief, the judge offered little hint.

NASL counsel Jeffrey Kessler began speaking soon after. His remark highlights include:

  • Challenging the setting of standard for mandatory injunction; referring to a case citation’s language as being inclusive of another benchmark of ‘extreme or very serious harm’ and asserting this returns preliminary relief to a more relaxed standard
  •  
    • Asserts that “going out of business” and “the murder of an organization” constitutes ‘extreme or very serious harm’
    •  
    • Differentiated between irreparable harm and extreme/very serious harm – defining irreparable as being harm that cannot directly be made whole but may not be existential in nature, whereas ‘extreme or very serious’ harm may very well be existentia
    •  
    • Asserts that NASL owners’ declarations that they will go out of business without D2 sanction support the claim of ‘extreme or very serious’ harm
    •  
    • Asserts six new teams’ letters of intent to join the league, conditional on the NASL retaining D2 sanction; suggesting that this condition highlights the harm potentially caused by the USSF’s sanctioning decisions
    •  
  • Arguing for a return to the status quo, as defined by the moment before the controversy, as the USSF suffers no harm in doing this. Judge Brodie reiterates that status quo in this situation is defined by a non-D2 sanctioned status, not by August 2017.
  •  
  • Asserting the USSF has no statutory authority for its self-appointed regulatory role in professional soccer; that leagues should control standards as its done around the world.

http://firstteampod.com/nasl-v-ussf-lawsuit-update-hearing-happenings-part-1/

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On 11/4/2017 at 8:30 AM, BenFisk'sBiggestFan said:

 

So NASL is officially Div 3?

No, they would have to apply for D3 sanctioning, doesn't automatically drop them to D3.

On 11/4/2017 at 8:33 AM, BringBackTheBlizzard said:

They will probably try to appeal to a higher court, but it's looking unlikely that they will be able to use the US legal system to secure D2 status.

And so they have pretty much immediatly :

NASL ISSUES STATEMENT REGARDING APPEAL FILED TO U.S. COURT OF APPEALS

Following the disappointing ruling issued by the U.S. District Court yesterday, the NASL filed an appeal with the U.S. Court of Appeals for the Second Circuit. We remain confident in the merits of our case and that our request for a preliminary injunction is supported by the law. For that reason, we’re hopeful that the Second Circuit will deliver a ruling that allows the NASL to play at the Division 2 level in 2018 and enables us to continue growing and developing the sport.

http://www.nasl.com/news/2017/11/04/nasl-issues-statement-following-us-district-court-ruling--

Should take at least 35 days for the appeal ruling but could be as many as 90 possibly.

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EXPEDITED APPEAL: NASL says the ‘clock is ticking right now’ on its future

Claiming it needs a ruling as soon as possible, the North American Soccer League has asked an appeals court to start the legal process Nov. 10.

The league has filed an 18-page motion for an expedited appeal of the U.S. District Court’s denial of a preliminary injunction that would have required U.S. Soccer to sanction the NASL as a Division 2 league next year.

The NASL will hold The Championship final in San Francisco Sunday, as the San Francisco Deltas host the Cosmos.

Given the timing of the legal procedure, it is not known whether it would be the final game of the league.

The NASL has not said whether it will continue in 2018 if it doesn’t have Division 2 status.

http://www.frontrowsoccer.com/2017/11/07/expedited-appeal-nasl-says-clock-ticking-right-now/

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What are the implications for NASL dropping to D3?  Is the public and corporate perception of minor league soccer so dependent on a league's place in the pyramid?  If you are the only pro team in your city does it matter whether you're playing at the D3 level versus D2?

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9 minutes ago, ray said:

What are the implications for NASL dropping to D3?  Is the public and corporate perception of minor league soccer so dependent on a league's place in the pyramid?  If you are the only pro team in your city does it matter whether you're playing at the D3 level versus D2?

Think the exit fee drops from low seven figures to 25k, if they lose their D2 sanctioning, so it has implications beyond that.

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New York Cosmos Find A Home In Brooklyn, Where Community Leaders Rally Behind The Team

Nine NYC Leaders Write Sunil Gulati Urging NASL D2 Sanctioning Restoration

In addition to Senator Schumer, the Cosmos received backing from the Alliance for Coney Island; the Brooklyn Chamber of Commerce; State Senator Diane J. Savino; State Assembly Members Peter J. Abbate, Jr and Pamela Harris; and City Councilmen Vincent J. Gentile, Mark Treyger and Chaim M. Deutsch.  Like Schumer, each of them wrote a letter to USSF President Sunil Gulati hailing the economic impact of the Cosmos on the community and asking for the decisioning to de-sanction the NASL as a Second Division professional soccer league to be reversed.

After playing a few games on Coney Island in years past, the New York Cosmos moved to Brooklyn full-time for the 2017 season.  This was a move that we at Midfield Press called for a year ago.  While the team failed to make MCU Park the fortress on the pitch that Shuart Stadium was, the gameday environment created at the professional stadium was at a higher level than on the Hofstra University campus.  Coney Island, whose iconic skyline was featured in the grand finale set piece in this year’s hit film “Spider-Man: Homecoming”, contributed to an atmosphere at Cosmos matches that was second to none among professional soccer clubs in the Northeastern United States.

http://midfieldpress.com/2017/11/10/new-york-cosmos-find-a-home-in-brooklyn-where-community-leaders-rally-behind-the-team/

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  • 2 weeks later...

NASL wants Steve Malik removed from USSF board of directors

The North American Soccer League has asked the U.S. Soccer Federation to remove North Carolina FC owner Steve Malik from the USSF's Board of Directors and replace him "with an individual who can fairly represent the NASL."

The letter reads: "Despite Mr. Malik's obvious interest in staying on good terms with MLS, the USSF has consistently presented him to the NASL and the public as the Board member looking out for the interests of the professional leagues other than MLS. In fact, USSF specifically determined that Mr. Malik represented NASL when considering NASL's eligibility to vote for the At-Large position on the USSF Board.

"At this point, it is impossible to figure out whose interests, beyond his own, that Mr. Malik really represents on the USSF Board," the email reads. "In our view, at the very least we know that he did not represent the interests of the NASL or the best interests of U.S. soccer as a whole during the Board's deliberations leading to the discontinuance of NASL's Division II status for 2018."
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NASL's Rocco Commisso speaks out about Steve Malik and USSF

New York Cosmos Owner and Chairman Rocco Commisso recently spoke exclusively to World Soccer Talk about the state of the North American Soccer League (NASL) that his club plays in, which has been sanctioned as a second division by the United States Soccer Federation (USSF) since 2011. On September 1, 2017 at the USSF Board meeting that preceded the United States humiliating 2-0 World Cup Qualifying loss to Costa Rica at Red Bull Arena, NASL was denied a continuation at the Division 2 level for 2018 due to the league’s failure to meet the USSF’s Pro League Standards (PLS).

Following this denial of sanctioning, the NASL filed an anti-trust lawsuit against US Soccer alleging among other things a conspiracy from USSF and Major League Soccer (MLS) to weaken the league.

Eric Wynalda, who is a candidate for USSF President, last month alleged that a conspiracy to weaken NASL had been undertaken at the direction of long-time USSF President Sunil Gulati. Wynalda is perceived as sympathetic to NASL, while Gulati has been largely seen as not only pro-MLS but someone who is willing to use the levers of power within US Soccer to protect the current top division in the US.

During the last several weeks, I have spoken on background to several figures who indicate that conscious efforts to weaken NASL took place at the board level due to the presence of owners who eventually left the league to join the MLS-affiliated USL while pursuing an MLS expansion franchise. Far more will be said on this at a date in the near future, specifically related to the exits of San Antonio and Tampa Bay from the league in 2015 and 2016 respectively.

http://worldsoccertalk.com/2017/12/05/rocco-commisso-speaks-steve-malik-ussf/

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  • 2 weeks later...

IT’S NOW OR NEVER: NASL will state its case for to rescind USSF’s decision on its D-2 status in appellate court Friday

The NASL Friday will get one final chance to convince a court rescind the U.S. Soccer Federation’s decision to deny its Division Two status in the U.S. Court of Appeals for the Second Circuit in New York.

http://www.frontrowsoccer.com/2017/12/14/now-never-nasl-will-state-case-rescind-ussfs-decision-d-2-status-appellate-court-friday/

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