NFL Owners Win Bid to Keep Lockout in Place During Appeal

(Updates with retired player’s comment in 10th paragraph.)

May 17 (Bloomberg) -- National Football League team owners can continue their labor lockout of players while awaiting a ruling on their appeal of a federal judge’s order that they end the ban.

The 32-team league is appealing U.S. District Judge Susan Richard Nelson’s order directing it to lift an embargo on player transactions and access to team facilities. Nelson ruled on April 25 that the suing players showed they would probably suffer “irreparable harm” if the lockout continued.

The U.S. Court of Appeals in St. Louis yesterday granted the owners’ stay request, enabling them to maintain the player ban they first imposed on March 12 until the panel rules on the merits of the NFL’s challenge to Nelson’s order.

“The district court gave little or no weight to the harm caused to the league by an injunction issued in the midst of an ongoing dispute over terms and conditions of employment,” the appellate panel said in its 2-1 decision.

The appeals court will hear argument from both sides on the merits of the owners’ challenge on June 3.

Ten players led by Super Bowl-winning quarterbacks Tom Brady, Drew Brees and Peyton Manning sued team owners on March 11 to prevent the anticipated lockout.

Antitrust Laws

The athletes claimed NFL policies are anticompetitive and violate U.S. antitrust laws. The National Football League Players Association announced that day that it would no longer function as a union.

Players’ and owners’ representatives resumed mediation yesterday with the assistance of U.S. Magistrate Judge Arthur J. Boylan in Minneapolis. The parties had met before him for four days of talks last month.

The two sides reconvened for a 4 1/2-hour session before Boylan today. They will meet again on June 7.

“The mediator took it very seriously,” retired Minnesota Vikings player Carl Eller told reporters after today’s session. “It’s going to be all progress from here.”

Attorney Michael Hausfeld, who represents the group of retired players who also sued the league, told reporters after yesterday’s mediation session ended that the owners had made a proposal to resolve the dispute.

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