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The San Jose lawsuit against Major League Baseball should be thrown out of court


So I’ve read over the lawsuit filed by San Jose against Major League Baseball. Initial reaction: it’s more full of crap than Bob Melvin’s office was on Sunday afternoon.

The essence of the suit: Major League Baseball is a monopoly. It should be an unlawful monopoly. This would-be unlawful monopoly is preventing the Athletics from moving to San Jose and that has caused San Jose all manner of financial harm.

Which, yes, sounds reasonable. Major League Baseball is anti-competitive and does have a monopoly that should go the way of the dodo and vaudeville for the simple reason that it serves no purpose as noble and grand as either the dodo or vaudeville did.  But the suit is not anything that should pass legal muster here, and I believe it will go down in flames.

As I said in the earlier post, courts do not entertain lawsuits from parties without standing to sue and the city of San Jose hasn’t asserted anything in this complaint that persuades me that they have standing. Or that they have been damaged in any way that a court will consider worthy of redress. Broadly speaking, they have claimed that (a) they have a contract with the owners of the Oakland A’s with which Major League Baseball’s actions have interfered; and (b) that the city has incurred or will incur — note the “will” — financial damages as a result of the A’s not moving to San Jose. Let’s break those down:

The tortious interference with a contract claim:  The contract claim is baed on an option agreement entered into in 2011 between the A’s owners and San Jose for the purchase of some land on which a ballpark would be built. The A’s paid San Jose $50,000 for the option. It expires this fall. If they want to keep the option open for another year it’s another $25,000. If the A’s owners were to buy the land, they can do it for between $6 million and $7 million. Nothing in the option agreement, however, promises that the A’s will actually move. It doesn’t even promise that they’ll buy the land. Just that they have the option to do so.

San Jose, however, seems to be attempting to bootstrap this option into a promise that the A’s would actually move there and that MLB’s rules preventing the A’s from moving have thus interfered with that expectation. That’s a bridge too far. A bridge longer than the Dumbarton, actually. The only guarantee San Jose gets out of that contract is $50-75K. The only thing it’s giving up is the right to sell that land for the period of the option. Major League Baseball has not stopped the A’s from paying their $50-75K.

San Jose’s insistence that more has been lost here is based on an assertion that the A’s have indicated a willingness to move to San Jose. Well, yes, they have. But they haven’t done anything to act on it yet because they know they can’t. At the minimum, I would think a court would need to have evidence that the A’s actually took a concrete step to pay San Jose $7 million for that land, to actually move to San Jose only to have had Major League Baseball stop that from happening. There is no suggestion, however, that any such evidence exists.

The financial damages: It’s all future tense. San Jose would have gotten increased tax revenue, would have gotten good paying stadium construction jobs, would have seen economic development and would have had a more healthy municipal budget had the A’s moved. Those are all speculative, prospective damages* not actual damages, and courts are not in the business of providing redress for speculative, prospective damages. Tomorrow Lew Wolff could say “you know what? I always wanted to move the A’s to Bakersfield. We’re moving to Bakersfield.” If he did that, San Jose would have no recourse. So they certainly have no recourse against Major League Baseball for preventing a speculative A’s-to-San Jose move.

*Probably also worth noting that the complaint spends a lot of time talking about all the economic benefits of ballpark development. These benefits have been largely debunked. I sorta hope this suit goes far, however, so that MLB would find itself in the odd position of having to explain how such damages are illusory, contrary to their tack for the past 25 years or so.

I think Major League Baseball’s antitrust exemption is abhorrent. I wish it were gone and think, in the right lawsuit, it could be defeated. If the A’s had filed this suit, for example, claiming that MLB is preventing them from moving and that MLB’s insistence that they stay in Oakland has caused them financial damages, I think it would have a puncher’s chance. And I’d be shaking my pompoms, cheering it on. But they didn’t file it. San Jose did. And San Jose has no legal rights that seem remotely impinged upon here.

Which, it should be worth noting, may be the idea. It’s quite possible that this suit is more a political document than a legal one, with San Jose’s mayor trying to focus attention on the languishing A’s-to-San Jose thing and to get public opinion on the side of the A’s and the city.  Maybe this will do that, maybe it won’t. I’d have to know the political dynamics of the Bay Area better than I do to have an idea.

But I do think that for it to have any practical use in creating leverage it has to at least present a legal threat, and this doesn’t do that. Indeed, I think Major League Baseball is way more worried about losing its antitrust exemption than any bad PR that can come out of Oakland, so they’re likely to fight this suit until it’s dead.

Which should be quickly. Because the suit is no better than the stuff bubbling up through the Oakland Coliseum’s pipes and should be thrown out.

Erik Johnson likely to open 2016 in the White Sox rotation

DENVER, CO - APRIL 09:  Starting pitcher Erik Johnson #45 of the Chicago White Sox delivers against the Colorado Rockies during Interleague play at Coors Field on April 9, 2014 in Denver, Colorado. The Rockies defeated the White Sox 10-4.  (Photo by Doug Pensinger/Getty Images)
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With the White Sox losing Jeff Samardzija to free agency, Erik Johnson will likely get a shot to contribute out of the rotation to open up the 2016 season, GM Rick Hahn said in a conference call on Wednesday, per a report from’s Scott Merkin.

“As we sit here today, I think it will be an opportunity for Erik Johnson to convert on sort of the return to form he showed back in 2015 when he was International League pitcher of the year for [Triple-A] Charlotte,” Hahn said. “Obviously, he got some starts in September and continued to show the progress in Chicago he had shown in the Minor Leagues over the course of the last season.

“So if Opening Day were today, then I think Johnson is penciled in to that spot in the rotation right now. In all probability, once we get closer to spring, there will be some competition for him to earn that spot. But if we were strictly looking at today, then I would think Johnson has the inside track on filling Samardzija’s innings.”

Johnson was called up from Triple-A Charlotte in September and made six starts, allowing 14 runs (13 earned) on 32 hits and 17 walks with 30 strikeouts in 35 innings. That followed up an impressive five months in the minors where he compiled a 2.37 ERA and a 136/41 K/BB ratio across 132 2/3 innings.

Baseball America, Baseball Prospectus, and each included Johnson on their top-100 prospect lists, ranking him 63rd, 67th, and 70th, respectively. The right-hander was selected by the White Sox in the second round of the 2011 draft.

Major League Baseball will investigate Yasiel Puig for his role in Miami nightclub brawl

Yasiel Puig
AP Photo/Lenny Ignelzi

It was reported on Friday afternoon that Dodgers outfielder Yasiel Puig was involved in a brawl at a Miami nightclub. Details were scant at the time, but he reportedly left with a bruise on his face.

Dylan Hernandez of the Los Angeles Times reports that Major League Baseball plans to investigate Puig under the league’s new domestic violence policy for his role in the brawl. Citing a report from TMZ, Hernandez notes that Puig shoved his sister, “brutally sucker-punched” the manager of the bar, and instigated the brawl.

The Dodgers and Puig’s agent have thus far refused to comment on the situation.

Rockies shortstop Jose Reyes was the first player to be investigated under the league’s new domestic violence policy earlier this month, as he allegedly assaulted his wife. Reyes has pleaded not guilty after he was charged with domestic abuse in Hawaii.

As our own Craig Calcaterra pointed out, commissioner Rob Manfred does not need to wait for Puig to plead guilty or to be found guilty to levy a punishment.

Dayan Viciedo close to signing with Japan’s Chunichi Dragons

Dayan Viciedo
AP Photo/Carlos Osorio
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Patrick Newman is reporting that the Chunichi Dragons of Japan’s Nippon Professional Baseball and outfielder Dayan Viciedo are close to an agreement on a contract. Newman notes that the Dragons are close to signing pitcher Jordan Norberto as well.

Viciedo, 26, has struggled since making his major league debut in 2010 with the White Sox, batting an aggregate .254/.298/.424 with 66 home runs and 211 RBI in 1,798 plate appearances. He spent the 2015 season with Triple-A Charlotte (White Sox) and Nashville (Athletics), hitting a composite .287/.348/.450. While Viciedo can hit the occasional home run, he hasn’t shown the ability to do much else at the big league level. Given his age, he could prove himself in Japan and parlay that into a renewed shot in the majors in the future.

The White Sox signed Viciedo out of Cuba in December 2008, agreeing to a four-year, $10 million deal. The club re-signed him to one-year deals in 2013 and ’14 for $2.8 million each and $4.4 million ahead of the 2015 season.

Blue Jays sign J.A. Happ to a three-year, $36 million contract

J.A. Happ
AP Photo/David Zalubowski

Update (8:45 PM EST): Per Sportsnet’s Shi Davidi, Happ will get $10 million in 2016 and $13 million each in 2017 and ’18.

*’s Gregor Chisholm reports that the Blue Jays have signed lefty J.A. Happ to a three-year deal worth $36 million.

Happ, 33, had a rebirth as a member of the Pirates last season after starting the season with 20 subpar starts with the Mariners. He made 11 starts for the Buccos, boasting a 1.85 ERA with a 69/13 K/BB ratio over 63 1/3 innings.

Travis Sawchik of the Pittsburgh Tribune-Review reported this past August that Happ’s newfound success had to do with a delivery tweak suggested by Pirates pitching coach Ray Searage. The Blue Jays are certainly hoping that adjustment is the full explanation for his success.

The Jays’ signing of Happ most likely signifies they won’t be pursuing free agent lefty David Price.

This will be Happ’s second stint with the Blue Jays. The Astros dealt him to Toronto in a July 2012 trade. He posted a 4.39 ERA with a 256/113 K/BB ratio in 291 innings with the Jays, then went to the Mariners in a trade this past December that brought outfielder Michael Saunders to the Jays.