The narrowing of MLB's antitrust exemption, which
included a tentative deal reached this month by players and
owners, is examined by Paula Dwyer of BUSINESS WEEK, who
writes that while the end of the exemption "may resolve old
problems, new ones will arise -- for players and owners."
Under the deal, if players and owners can't agree on labor
negotiations, players have the right to sue owners for
antitrust violations. The deal allows MLB owners to
continue to negotiate TV rights jointly and owners will
still be able to prevent a team from relocating to another
area. Dwyer writes that players will gain "some leverage"
in negotiating with management, but they "may sacrifice
other advantages." At the same time, owners who agreed to
the "limited" change "could soon find that they have opened
the door for challengers who want wider repeal" -- including
Yankees Owner George Steinbrenner. Dwyer adds that figuring
out what parts of the exemption survive "will likely be up
to the courts" (BUSINESS WEEK, 6/2 issue).
IRABU: While the Yankees "were all set" to announce the
signing of Japanese pitcher Hideki Irabu, the deal "has hit
a snag" over a commercial endorsement "covenant" that
"violates" MLB'S national marketing agreement, according to
Bill Madden of the N.Y. DAILY NEWS. Sources familiar with
the clause say that Irabu would hold the right to do
endorsements wearing the Yankees logo internationally, which
is exclusive to MLB (N.Y. DAILY NEWS, 5/28).
