The U.S. Supreme Court has rejected an appeal from the city of San Jose arising out of the failure of the city’s antitrust claims against Major League Baseball. The lower court losses which frustrated the city’s lawsuit will stay in place.
By way of background, San Jose sued Major League Baseball in June 2013 for conspiring to block the A’s relocation there on the basis of the San Francisco Giants’ territorial claim. The city said the territory rules violated federal antitrust laws. As I wrote at the time, it was a theoretically righteous argument in a very narrow sense, but that the City of San Jose likely did not have any sort of legal standing to assert the claim for various reasons and that its suit would be unsuccessful.
And now it is.
If there is ever to be a righteous legal challenge of the territorial system, it’ll almost certainly have to come from a club itself. Given the way in which MLB vets its new owners, however, and given how much money these guys rake in, in part, because of the territorial system, its unlikely that that will ever happen.