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    Augusta National and U.S.G.A. Drawn Into Justice Department Antitrust Inquiry

    The Justice Department is investigating the PGA Tour for anticompetitive behavior in its dealings with LIV Golf, the breakaway Saudi-backed league.DORAL, Fla. — The Justice Department’s antitrust inquiry into men’s professional golf — a sport splintered this year by the emergence of a lucrative circuit financed by Saudi Arabia’s sovereign wealth fund — has in recent months come to include the organizers of some of the most hallowed and influential tournaments in the world, according to people familiar with the matter.The United States Golf Association, which administers the U.S. Open, acknowledged on Wednesday that the Justice Department had contacted it in connection with an investigation. Augusta National Golf Club, which organizes the Masters Tournament, and the P.G.A. of America, which oversees the P.G.A. Championship, have also drawn the gaze of antitrust officials.The federal inquiry is unfolding in parallel with a separate civil suit filed in California by LIV Golf, the new Saudi-backed series, accusing the PGA Tour, which organizes most of the week-to-week events in professional golf, of trying to muscle it out of the marketplace. Moreover, LIV has contended that major tournament administrators, such as Augusta National and the P.G.A. of America, aided in the PGA Tour’s urgent efforts to preserve its long standing as the premier circuit in men’s golf.LIV, for instance, has accused the leaders of the R&A, which runs the British Open, and Augusta National of pressuring the Asian Tour’s chief executive over support for the new series. LIV also said that Fred S. Ridley, the Augusta National chairman, had “personally instructed a number of participants in the 2022 Masters not to play in the LIV Golf Invitational Series” and that the club’s representatives had “threatened to disinvite players from the Masters if they joined LIV Golf.” (A handful of golfers, including Phil Mickelson, joined the lawsuit but later withdrew their names from it, content to let LIV Golf wage the courtroom fight.)LIV executives have also fumed over perceived stalling by Official World Golf Ranking administrators to award ranking points to LIV players, who include Dustin Johnson, Brooks Koepka and Cameron Smith. The ranking system’s governing board includes executives from each of the major tournament organizers, as well as the PGA Tour.A Quick Guide to the LIV Golf SeriesCard 1 of 6A new series. More

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    PGA Tour Accuses LIV Golf of Interfering With Its Contracts

    The PGA Tour filed a counterclaim against the breakaway, Saudi-backed LIV Golf series, which has accused the tour of antitrust violations.The PGA Tour filed a countersuit against LIV Golf on Wednesday, the latest turn in a winding legal battle between the tour and the Saudi-backed circuit that has drawn a number of top players.In its counterclaim, the PGA Tour, which LIV is suing for antitrust violations, said the upstart series had “tortiously interfered” with the tour’s contracts with golfers who had left to join LIV. It added that LIV had “falsely informed” its players that they could break their contracts with the tour “for the benefit of LIV and to the detriment of all tour members.”“Indeed, a key component of LIV’s strategy has been to intentionally induce tour members to breach their tour agreements and play in LIV events while seeking to maintain their tour memberships and play in marquee tour events like The Players Championship and the FedEx Cup Playoffs, so LIV can free ride off the tour and its platform,” the PGA Tour said in its counterclaim.The PGA Tour, which declined to comment on Thursday, asked for a trial by jury, which was set for January 2024. The tour also seeks damages for any lost profits, “damages to reputational and brand harm” and other legal costs.In a statement on Thursday, LIV said the PGA Tour “has made these counterclaims in a transparent effort to divert attention from their anti-competitive conduct, which LIV and the players detail in their 104-page complaint.”A Quick Guide to the LIV Golf SeriesCard 1 of 6A new series. More

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    PGA Tour Can Bar LIV Golfers From Playoff, Judge Rules

    The narrow ruling came less than 48 hours before the start of the FedEx Cup playoffs in Memphis, but the broader turmoil could last for years.A federal judge on Tuesday rebuffed an effort by three LIV Golf players to compete in this week’s FedEx Cup playoffs, giving the PGA Tour interim support as it faces an uprising over the invitational series financed by Saudi Arabia’s sovereign wealth fund.The decision was an early, if narrowly tailored, victory for the PGA Tour’s efforts to undercut LIV Golf, which has spent recent months draining the more established tour of some of the star power it relies on to draw fans, television money and sponsorships.Although 11 players, including the major champions Phil Mickelson and Bryson DeChambeau, sued the Tour last week over its decision to bar them from its competitions, only three — Talor Gooch, Matt Jones and Hudson Swafford — asked Judge Beth Labson Freeman of the U.S. District Court for the Northern District of California to order that they be allowed to compete in the playoffs, which will begin on Thursday at T.P.C. Southwind in Memphis.Judge Freeman, near the end of a Tuesday afternoon hearing in San Jose, Calif., said that she did not believe the players would suffer “irreparable harm” if they were not allowed to play, a vital legal standard to secure a temporary restraining order.The players’ guaranteed-pay contracts with LIV Golf, she said, made it likely that they would “be earning more than they have made and could reasonably have expected to make in a reasonable period of time” with the PGA Tour.Moreover, she said, the arrangements between LIV Golf and the players had been negotiated with the potential loss of PGA Tour compensation in mind.Gooch, Jones and Swafford have combined for more than $37 million in career earnings, according to PGA Tour data.But the players, in a court filing last week and in San Jose on Tuesday, argued that the PGA Tour had defied its internal rules to exclude them from an event that leads to one of golf’s most lucrative paydays. The playoffs, scheduled to conclude late this month, can also clear the way for a player’s participation in men’s golf’s major tournaments: the British Open, the Masters Tournament, the U.S. Open and the P.G.A. Championship.“Large bonuses, big purses, substantial retirement plan payments, sponsorship, branding, and important business opportunities are at stake,” lawyers for the players wrote in a motion. The PGA Tour’s suite of tactics against LIV Golf and its players, they asserted, “are obviously anticompetitive, as they serve no purpose but to thwart competition and maintain its monopsony.”The PGA Tour, in a filing on Monday that condemned LIV as “a strategy by the Saudi government to use sports in an effort to improve its reputation for human rights abuses and other atrocities,” insisted that “antitrust laws do not allow plaintiffs to have their cake and eat it too.”LIV golfers, the filing suggested, could not expect to cycle between LIV events and PGA Tour competitions and break “contracts without consequence.”Besides, PGA Tour officials asserted, the players waited until the playoffs’ start was imminent to bring a legal challenge, effectively conjuring an emergency for Judge Freeman to consider.“Their ineligibility for Tour events was foreseeable when they accepted millions from LIV to breach their agreements with the Tour, and they knew for a fact that they were suspended on June 9,” the PGA Tour wrote, adding that other players who qualified for the playoffs and joined the lawsuit had not challenged their exclusions. (A lawyer for the players, Robert C. Walters, told Judge Freeman on Tuesday that the nature of the suspensions became clear only last week.)Tuesday’s ruling was an early one in the turmoil that could shadow golf for years, in part because the litigation could prove protracted. Away from the courthouse, LIV has announced plans to expand to 14 events in 2023, up from eight this year. It has also said it will offer $405 million in purses next year, compared with $255 million this year, for events expected to include such players as Dustin Johnson, Sergio García and Brooks Koepka.The players suing the PGA Tour include Phil Mickelson, who played last month in the LIV event at Trump National Golf Club Bedminster, a New Jersey course owned by former President Donald J. Trump.Doug Mills/The New York TimesThe PGA Tour, determined to preserve its standing as the pre-eminent circuit for professional male golfers, has suspended defectors, and some organizers of the major tournaments have signaled that they could try to keep LIV players out of their 2023 fields. The PGA Tour’s efforts have led to scrutiny: The Justice Department has been exploring whether the strategies ran afoul of federal antitrust laws, a particularly sensitive subject for professional and collegiate sports organizers in the United States.Even as LIV has attracted some of golf’s best-known figures, the PGA Tour has maintained a reservoir of support among elite players. Tiger Woods criticized LIV on the eve of last month’s British Open, where organizers made plain that Greg Norman, the LIV chief executive and a two-time Open champion, was unwelcome. Rory McIlroy and Justin Thomas, who have a combined six major titles, have also been among the most forceful Tour loyalists.Norman told Fox News Channel this summer that LIV had offered Woods “in the neighborhood” of $700 million to $800 million if he joined the series.Gooch, Jones and Swafford command far less attention. Gooch, ranked 20th in the playoff standings, finished in a tie for 34th at the British Open in July, but his career-best showing in a major was a tie for 14th.This year’s Masters marked the first time Swafford, 67th in the playoff standings, survived the cut at a major. Jones, 65th in the playoff rankings, missed weekend play at the only major he contested in 2022, the P.G.A. Championship.The men have not qualified for next year’s majors. When the players asked Judge Freeman to intervene, their lawyers said that keeping them from the playoffs would likely doom their chances of competing in those tournaments, starting with the Masters in April.In a statement on Tuesday, LIV Golf said it was “disappointed” by the judge’s ruling.“No one gains by banning golfers from playing,” the statement said. More

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    Mickelson and Other LIV Golfers File Antitrust Suit Against PGA Tour

    A complaint filed on behalf of 11 players pushed back against the punishments imposed by the PGA Tour for players who participate in events sponsored by the upstart LIV series.Eleven golfers affiliated with the breakaway LIV Golf series have filed an antitrust lawsuit against the PGA Tour, challenging its suspensions and other restrictive measures used to punish those who signed on to play in the Saudi-backed LIV events.The lawsuit, filed Wednesday in the U.S. District Court for the Northern District of California, argues that the PGA Tour is unfairly controlling players with anticompetitive restraints to protect its longstanding monopoly on professional golf.The complaint — filed on behalf of Phil Mickelson and others — alleges that the tour had “ventured to harm” their careers and livelihoods. “The Tour’s unlawful strategy has been both harmful to the players and successful in threatening LIV Golf’s otherwise-promising launch,” it said.The players Talor Gooch, Hudson Swafford and Matt Jones also sought an order to allow them to participate in the FedEx Cup playoffs, the PGA Tour’s season-ending championship events. “The punishment that would accrue to these players from not being able to play in the FedEx Cup Playoffs is substantial and irreparable, and a temporary restraining order is needed to prevent the irreparable harm that would ensue were they not to be able to participate,” the complaint said.A Quick Guide to the LIV Golf SeriesCard 1 of 6A new series. More

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    PGA Tour’s Fight With LIV Golf Reaches Justice Department

    The Justice Department is investigating the PGA Tour for anticompetitive behavior in its dealings with the breakaway LIV Golf series.The conflict upending men’s professional golf spread to a new setting with the Justice Department investigating the PGA Tour for anticompetitive behavior in its dealings with the breakaway LIV Golf series, a tour spokeswoman confirmed Monday.The PGA Tour has suspended players who have defied tour regulations and participated in two recent LIV Golf events without the PGA Tour’s permission. Greg Norman, the chief executive of LIV Golf, whose major shareholder is the sovereign wealth fund of Saudi Arabia, has castigated the tour’s stance as an “illegal monopoly.”Jay Monahan, the PGA Tour commissioner, has repeatedly countered that his organization’s policies will stand up to legal review, including if a lawsuit is filed by a suspended PGA Tour member, which is expected. The PGA Tour has pointed to a 1994 federal probe examining comparable disciplinary measures by the tour against golfers playing in a non-PGA Tour event without the commissioner’s permission. The tour received no federal sanctions at that time.“We went through this in 1994 and we are confident in a similar outcome,” Laura Neal, a PGA Tour executive vice president, wrote in an email Monday. Of the Justice Department inquiry, Neal said: “This was not unexpected.”A Justice Department spokeswoman declined to comment, citing the longstanding policy of neither confirming nor denying reports of continuing investigations.A Quick Guide to the LIV Golf SeriesCard 1 of 5A new series. More