Justia U.S. 6th Circuit Court of Appeals Opinion Summaries

Articles Posted in Entertainment & Sports Law
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The 2020 Horseracing Safety and Integrity Act created a national framework to regulate thoroughbred horseracing, replacing several state regulatory authorities with a private corporation, the Horseracing Authority, the Act’s primary rule-maker. The Authority was not subordinate to the relevant public agency, the Federal Trade Commission, in critical ways. In 2022, the Fifth Circuit declared the Act unconstitutional because it gave “a private entity the last word” on federal law. Congress amended the Act to give the Federal Trade Commission discretion to “abrogate, add to, and modify” any rules that bind the industry, 15 U.S.C. 3053(e).The Sixth Circuit affirmed the dismissal of a suit filed by Oklahoma, West Virginia, Louisiana, their racing commissions, and other entities that made the same claims as the Fifth Circuit case. While the challenges are not moot, the Authority is now subordinate to the FTC, which has “pervasive” oversight and control of the Authority’s enforcement activities, just as it does in the rulemaking context. The court rejected a “commandeering” challenge to a provision that requires state authorities to “cooperate and share information” with the Authority or federal agencies for lack of standing and rejected claims that the Act was coercive or punitive. View "State of Oklahoma v. United States" on Justia Law

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The Everly Brothers (Phil and Don) are known for many musical hits, including Cathy’s Clown, recorded, released, and copyrighted in 1960. The copyrights listed both brothers as authors; both were credited as co-authors and received royalties. In 1980, Phil signed notarized documents titled “Release and Assignment,” related to Cathy’s Clown and other works: “Phil Everly desires to release, and transfer, to the said Don Everly all of his rights, interests and claim in and to [‘Cathy’s Clown’], including rights to royalties and his claim as co-composer. In 2017, Don sued Phil’s estate for a declaratory judgment that Don was the sole author of Cathy’s Clown. There was contradictory evidence of Phil’s factual authorship, particularly a 1984 television interview.The district court found that Don repudiated Phil’s authorship of Cathy’s Clown, which triggered a three-year window for Phil to make an authorship claim under the Copyright Act. Phil did not do so. The district court rejected Phil’s estate’s argument that the three-year limitations period should not apply to the defense that Phil is a co-author. The Sixth Circuit affirmed. Don’s estate may rely on the statute of limitations. The district court did not clearly err in finding that Phil failed to exercise his rights after Don repudiated his authorship. View "Garza v. Everly" on Justia Law

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Mayfield manufactures a football helmet accessory that purportedly reduces the severity of football helmet impact when it is installed on an existing football helmet. Mayfield sued the National Operating Committee on Standards for Athletic Equipment (NOCSAE), a nonprofit organization that develops and promotes safety standards for athletic equipment. It has a safety certification that can be applied to football helmets that meet NOCSAE’s standards. NOCSAE does not permit manufacturers of helmet accessories to seek certification separately from the helmet manufacturers.Mayfield alleged that NOCSAE and helmet manufacturers are restraining trade in the football helmet market, engaging in an overarching conspiracy to limit competition, and subjecting Mayfield to tortious interference of business relationships or expectations. The Sixth Circuit affirmed the dismissal of the suit. In its claims under the Sherman Act section 1, Mayfield cited scenarios, theories, and occurrences and asked the court to make "sweeping conclusions" about the motives and actions of the defendants. An “explicit agreement,” as required for Sherman Act liability, "should not demand this kind of intellectual leap." The defendants have shown that their desire to protect their reputations and sell safe products is a legitimate business interest. View "Hobart-Mayfield, Inc. v. National Operating Committee on Standards for Athletic Equipment" on Justia Law

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Before the end of the 2019–20 academic year, MSU had several Division I sports teams: men’s baseball, basketball, cross country, football, golf, ice hockey, soccer, swimming and diving, tennis, track and field, and wrestling; and women’s basketball, cross country, field hockey, golf, gymnastics, rowing, soccer, softball, swimming and diving, tennis, track and field, and volleyball. In October 2020, MSU announced it would no longer sponsor the men’s and women’s swimming-and-diving teams after the 2020–21 school year. During the 2019–20 school year, the teams had 29 men and 33 women. Women student-athletes sought a preliminary injunction to prevent MSU from eliminating the women’s swimming-and-diving team, arguing that MSU failed to provide women with substantially proportionate athletic opportunities, as required by Title IX. In the 2018–19 school year, 48.8% of undergraduate students were male and 51.2% were female; and, in the 2019–20 school year, 49.1% were male and 50.9% were female.The district court denied a preliminary injunction, finding that the plaintiffs were not likely to succeed on the merits of their Title IX claim. The Sixth Circuit vacated, first finding that MSU did not inflate its number of women athletes. The correct inquiry focuses on the number of participation opportunities, not the gap as a percentage of the athletic program. . A school may fail to achieve substantial proportionality even if its participation gap is only a small percentage of the size of its athletic program View "Balow v. Michigan State University" on Justia Law

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In 144 years of the Kentucky Derby, only one horse to cross the finish line first had been disqualified. No winning horse had ever been disqualified for misconduct during the race itself. In 2019, at the 145th Derby, “Maximum Security,” the horse that finished first, was not declared the winner. He would come in last, based on the stewards’ call that Maximum Security committed fouls by impeding the progress of other horses. His owners, the Wests, were not awarded the Derby Trophy, an approximate $1.5 million purse, and potentially far greater financial benefits from owning a stallion that won the Derby.They filed suit under 42 U.S.C. 1983 against the individual stewards, the individual members of the Kentucky Horse Racing Commission, an independent state agency, and the Commission, claiming that the regulation that gave the stewards authority to disqualify Maximum Security is unconstitutionally vague.The Sixth Circuit affirmed the dismissal of the suit. The decision to disqualify Maximum Security was not a “final order[] of an agency” under KRS 13B.140(1) and is not subject to judicial review. The owners had no constitutionally-protected right. Kentucky law provides that “the conduct of horse racing, or the participation in any way in horse racing, . . . is a privilege and not a personal right; and ... may be granted or denied by the racing commission or its duly approved representatives.” View "West v. Kentucky Horse Racing Commission" on Justia Law

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In 1960, the Everly Brothers (Don and Phil) recorded, released, and copyrighted "Cathy’s Clown" and two other songs (the Compositions), granting the copyrights to Acuff-Rose. The original copyrights listed Phil and Don as authors; both received royalties. They were both credited as authors of Cathy’s Clown in 1961 and 1975 awards. They took joint credit for authoring the song in a 1972 television interview. In a 1980 “Release and Assignment,” Phil agreed to release to Don all of his rights to the Compositions, including “every claim of every nature by him as to the compositions of said songs.” Don subsequently received all royalty payments and public credit as the author; Acuff-Rose changed its business records to reflect Don as sole author. Licenses and credits for Cathy’s Clown and a 1988 copyright renewal listed Don as the only author. Both brothers nonetheless made public statements continuing to credit Phil as a co-author. In 2011, Don sought to execute his 17 U.S.C. 304(c) right to termination to regain copyright ownership from Acuff-Rose, claiming exclusive copyright ownership. Phil exercised termination rights as to other compositions, in 2007 and 2012, but never attempted to terminate any grant related to the 1960 Compositions.After Phil’s 2014 death, his children filed notices of termination as to the 1960 Grants, seeking to regain Phil’s rights to Cathy’s Clown. In 2016, they served a notice of termination as to Phil’s 1980 Assignment to Don. The district court granted Don summary judgment, finding that the claim of Phil’s co-authorship was barred by the statute of limitations. The Sixth Circuit reversed, finding a genuine factual dispute as to whether Don expressly repudiated Phil’s co-authorship, and thus triggered the statute of limitations, no later than 2011. View "Everly v. Everly" on Justia Law

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Higgins refereed an Elite Eight game of the NCAA Basketball Tournament in 2017. The close contest between the Kentucky Wildcats and the North Carolina Tar Heels ended when the Tar Heels scored with less than a second on the clock. Kentucky’s coach thought the referees, Higgins in particular, had disfavored his team. Higgins’ roofing business suffered losses after he became the target of an online campaign orchestrated by Kentucky fans who pinned the loss on Higgins. Higgins sued Kentucky Sports Radio and some of its contributors, alleging that their post-game coverage incited the harassment.The Sixth Circuit affirmed the dismissal of the case. The First Amendment safeguards the radio station’s right to comment on Higgins’ performance and the fans’ reactions to it, even it "might have exercised their First Amendment rights more responsibly." Kentucky Sports Radio commented on a matter of public concern. Speech that does not “specifically advocate” for listeners to take unlawful action does not constitute incitement. Kentucky Sports Radio knew or should have known, the volatility of the situation but the station did more to fan the flames of discontent than to extinguish them. "The Constitution protects that choice. A conscience must do the rest." Merely repeating potentially false reviews generated by other users may be in bad taste but cannot by itself constitute defamation. View "Higgins v. Kentucky Sports Radio, LLC" on Justia Law

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Two former players for the St. Marys (Ohio) Memorial High School Football Team brought claims for federal Title IX violations and state-law intentional infliction of emotional distress against their coach, Frye. The players claim that Frye harassed them by using numerous derogatory terms—most notably, the term “pussy”—with the intent to insult (and presumably to motivate) the two in front of their teammates. The plaintiffs also sued the school board, superintendent, and athletic director for failing to address Frye’s conduct. The Sixth Circuit affirmed summary judgment in favor of the defendants. As a matter of decency, Frye’s conduct was distasteful and offensive to many but as a matter of law, his conduct did not constitute sex-based discrimination, in violation of Title IX, nor was it conduct intolerable in a civilized society, in violation of Ohio tort law. Frye did not make sexual advances or act out of sexual desire. Frye was not motivated by general hostility to the presence of men. Frye did not treat men and women differently in a mixed-sex environment. View "Lininger v. St. Marys City School District Board of Education" on Justia Law

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Gold Forever, a music publishing company solely owned by Holland, has agreements with various artists entitling it to half of the royalties collected for the sale and performance of those artists’ work. Holland was a Motown artist and co-wrote several famous songs. His music forms some, but not all, of Gold’s catalog. BMI and Universal license others to use Gold’s music; they collect and remit the royalties to Gold. Holland owes millions of dollars to the IRS in taxes, interest, and penalties. In 2012, the IRS served notices of levy to BMI and Universal, identifying Gold as the “alter ego/nominee transferee of" Holland and requiring the companies to remit to the IRS property and rights to property that they were obligated to pay Gold. Beginning on October 6, 2016, the companies remitted $967,140.76 to the IRS. Gold made requests for refunds to the IRS within nine months. On December 6, 2017, Gold filed a wrongful levy action for the funds remitted beginning on October 6, 2016, alleging that most, if not all, of the money belongs either to Gold or to artists other than Holland. The court dismissed the suit as untimely. The Sixth Circuit reversed. The statute of limitations for a wrongful levy action cannot begin until there has been a levy that attaches to the property at issue. Notices of levy in 2012 did not constitute levies on royalties generated after the notices were served, so the statute of limitations did not bar the wrongful levy action. View "Gold Forever Music, Inc. v. United States" on Justia Law

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Detroit residents voted to allow the school district to increase property taxes “for operating expenses.“ In 2013, the Downtown Development Authority (DDA) announced its intent to capture some of that tax revenue to fund the construction of Little Caesars Arena for the Red Wings hockey team. In 2016, the DDA revised its plan to allow the Pistons basketball team to relocate to Arena. The Detroit Brownfield Redevelopment Authority (DBRA) agreed to contribute to the $56.5 million expenditure, including reimbursing construction costs that private developers had already advanced. The project is largely complete. Plaintiffs requested that the school board place on the November 2017 ballot a question asking voters to approve or disapprove of the agencies' use of tax revenue for the Pistons relocation. The board held a special meeting but did not put the question on the ballot. Plaintiffs filed suit. Count VIII sought a declaratory judgment that the board had authority to place the question on the ballot. Count IX sought a writ of mandamus ordering the board to place it on the ballot. The court dismissed Counts VIII and IX, noting that Plaintiffs could have filed suit in 2013. The Sixth Circuit affirmed. Plaintiffs lack Article III standing. Failure to place Plaintiffs’ question on the ballot affects all Detroit voters equally; they raised only a generally available grievance about government. Michigan statutes do not give Detroit residents the right to void a Tax Increment Financing plan by public referendum, so a referendum would not redress Plaintiffs’ injury. View "Davis v. Detroit Public School Community District" on Justia Law