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Unhappy with EA's monopoly with NFL games? Join the class action lawsuit in progress

post #1 of 77
Thread Starter 
*** May 2010 update ***

Good news! The U.S. Supreme Court has ruled against the NFL's request for antitrust protection. It might add an extra chance of victory for lawsuits like the one mentioned in this thread. Hopefully one day soon we'll see games like Backbreaker and the NFL2K series come out with full NFL teams and player support. Competition isn't a bad thing after all.


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Original post:

If you have purchased EA's John Madden football within the last few years, you can sign up to join the on-going class action lawsuit brought against them for alleged unfair business practices:

Quote:


Gamers who purchased a copy of Madden from August, 2005 onward may be eligible to join a class action suit against publisher Electronic Arts.

Pecover vs. EA (all GP coverage here) is currently proceeding in the U.S. District Court for the Northern District of California. The suit alleges that EA's exclusive licensing deal with the NFL and NFL Players Association created a monopoly situation which EA exploited by substantially raising the retail price for a copy of Madden.

In a story broken recently by GamePolitics, an expert witness hired by the plaintiffs theorized that EA's exclusive NFL/NFLPA license may have cost consumers nearly a billion dollars. Lawyers for EA have disputed that claim in court documents.

In a press release issued on Friday, Hagens Berman Sobol Shapiro, the law firm representing consumers in the case, provides a link where Madden buyers can learn more about the suit and potentially join as additional plaintiffs.

Lead attorney Steve Berman, quoted in the press release, pulled no punches in his assessment of EA's position regarding Madden:

Quote:


There is nothing wrong with good, strong competition in a free market, but we believe EA rigged the game to take advantage of consumers.

EA knows that the demand for these games is based on how realistically the players and teams are portrayed. When EA signed into exclusive agreements it knowingly killed the only competing game of comparable quality, [Take-Two's] NFL 2K5.

Because of AVS, I signed up with a class action suit vs. Sony for defective SXRD XBR1 HDTV and it worked out, so who knows? A different kind of case here, but maybe this one will as well. Here's a direct link to the law firm's sign-up page. The monopoly alone is the main thing I hope gets taken down, even if those of us who purchased a copy of Madden don't get much as a result of the lawsuit.
post #2 of 77
I wonder if they are going after the NFL and NFLPA, since they created the Monopoly in the first place by giving EA exclusive rights.
post #3 of 77
Quote:
Originally Posted by Osoris View Post

I wonder if they are going after the NFL and NFLPA, since they created the Monopoly in the first place by giving EA exclusive rights.

That's what I don't understand. People hate on EA for doing what is to them a very smart business move. The NFL and the NFLPA need to be taken to task for this, not EA. Amazing no one seems to really talk about that part and instead focus anger and hate at EA.
post #4 of 77
> which EA exploited by substantially raising the retail price for a copy of Madden.

Huh? I'm confused - did someone miss the memo that all console games are $60 this gen? Am I somehow missing out on all other retail games being cheaper?

Anyway, it seems strange to sue EA, the license holder, and not the NFL, the license owner. Here's a related lawsuit that bears watching: http://myteamrivals.typepad.com/cowb...t-lawsuit.html.
post #5 of 77
Quote:
Originally Posted by Abaddon View Post

> which EA exploited by substantially raising the retail price for a copy of Madden.

Huh? I'm confused - did someone miss the memo that all console games are $60 this gen? Am I somehow missing out on all other retail games being cheaper?

Anyway, it seems strange to sue EA, the license holder, and not the NFL, the license owner. Here's a related lawsuit that bears watching: http://myteamrivals.typepad.com/cowb...t-lawsuit.html.

You're joking right? When the other 2k football game was out the competition caused football games to cost 30-40 dollars. The only reason they can charge 60% for basically the same game every year is their monopoly. EA is the one who is directly taking advantage of consumers. NFL did cause it, but EA is the one setting the nice high price point now.
post #6 of 77
I'll sign up. Time we actually got companies to play fair in the game that is capitalism.
post #7 of 77
Quote:
Originally Posted by rpggamer View Post

You're joking right? When the other 2k football game was out the competition caused football games to cost 30-40 dollars. The only reason they can charge 60% for basically the same game every year is their monopoly. EA is the one who is directly taking advantage of consumers. NFL did cause it, but EA is the one setting the nice high price point now.

Huh? I don't remember paying 30-40 bucks for an NFL game. Also, how is EA taking advantage of the customer? Last time I recall MS and Sony started this stupid 60 dollar game thing. The third parties followed suit because people are willing to pay for it. I hate the notion from some that they're "being taken advantage of". It's called a free market and if you don't like the pricing then don't buy the product (or buy it used or via trades). I don't like that Apple charges an arm and a leg for an MP3 player and as a result I don't buy one.
post #8 of 77
Thread Starter 
The lawsuit goes back to 2004 when 2K issued their NFL football game brand new for $20. To compete, EA dropped the price of its football game to $30. The public benefited from the competition both in price and in having the option of choosing different playing experiences. Sales were closer than ever between the two brands.

Before the next season of new football releases, EA paid for exclusivity to NFL properties for videogames, immediately killing off their main competition in the popular genre. Players not only lost out on the benefits of price warz, but they also lost out on the option of playing an NFL game on their console not named Madden. That's what the litigation is focusing on.

EA tried last year buy 2K for chump change, but it didn't work out. The U.S. district court just refused EA's request to drop the current lawsuit, which now allows it to proceed to trial. Like I said, hopefully the minimum to come out of this is that more companies are allowed to make NFL games.
post #9 of 77
I always heard the NFL wanted the exclusive deal?


Quote:
Originally Posted by pcweber111 View Post

Huh? I don't remember paying 30-40 bucks for an NFL game. Also, how is EA taking advantage of the customer? Last time I recall MS and Sony started this stupid 60 dollar game thing. The third parties followed suit because people are willing to pay for it. I hate the notion from some that they're "being taken advantage of". It's called a free market and if you don't like the pricing then don't buy the product (or buy it used or via trades). I don't like that Apple charges an arm and a leg for an MP3 player and as a result I don't buy one.


The third parties started this $60 next gen tax....MS launch titles were $50, and I remember them even saying they were going to remain that way. Didn't last long though....
post #10 of 77
NFL2k dropped the MSRP of their product to an unrealistically low level in a desperate bid to gain marketshare, since despite critical acclaim the NFL2k series couldn't compete with Madden in sales. The NFL was not pleased at the devaluing of their product (understandably) and (for the first time) offered up an exclusive license. EA won the bid.

The standard price for all "major" games last gen was $50, and is now $60. This includes every single other iterative sports title, to the best of my knowledge. NFL2k dropped their price below the standard, EA did not set new higher standard.

Whether "the gamer benefitted" or not doesn't matter, the fact of the matter is that EA is pricing their games normally. Whether you or anyone else thinks they are worth that amount is, of course, a matter of opinion.
post #11 of 77
I can understand new IPO games to cost 60dollars. NFL games... noway. Its just a update roaster and some new features, no way it cost even half as a new blockbuster game to create. 40 dollars should be more than enough, hence how 2k games were able to sell it so cheap.
post #12 of 77
How can you sue EA and not include the NFL/NFLPA? They're the ones who granted an exclusive contract. I sure don't think that EA held any NFL executives hostage over this. And doesn't the NFL and the NFLPA have the right to determine who can make a game based on their league and players? After all they can claim that it's in their own best interest and have better control over their product by only having one company having their license. This is just frivilous bs. I hope the plantiff has to pay EA's, the NFL's and NFLPA's legal costs.
post #13 of 77
Quote:
Originally Posted by Goatse View Post

I can understand new IPO games to cost 60dollars. NFL games... noway. Its just a update roaster and some new features, no way it cost even half as a new blockbuster game to create. 40 dollars should be more than enough, hence how 2k games were able to sell it so cheap.

Please see pretty much every other major sports game in existence (NBA, NHL, FIFA, etc) that sell at $60 and tell me why they are different than the NFL. I await your reply with great interest.
post #14 of 77
Quote:
Originally Posted by Abaddon View Post

Please see pretty much every other major sports game in existence (NBA, NHL, FIFA, etc) that sell at $60 and tell me why they are different than the NFL. I await your reply with great interest.

This.

Fifa and Winning Eleven (PES) up until recently were the same game year after year. Competition didn't help change that much. When the 2K NFL games came out, they only did well because of the $20 buzz, otherwise it was an ok game that is held so high on a pedestal because its trendy to be anti EA.
post #15 of 77
Quote:
Originally Posted by Abaddon View Post

Please see pretty much every other major sports game in existence (NBA, NHL, FIFA, etc) that sell at $60 and tell me why they are different than the NFL. I await your reply with great interest.

you're getting ripped off. I personally buy the last years sports games for 10bux used.
post #16 of 77
I'm 100% against the monopoly and exclusive license... Madden 10 is absolute garbage... I can't believe this ever made it out of any sort of testing phase... the amount of errors and bugs is ridiculous... I'm back playing APF 2k8 which is just ridiculous...

Look what happened when the NBA allowed multi-license... EA got whipped big time by 2k...
post #17 of 77
Quote:
Originally Posted by imdjenk View Post

When the 2K NFL games came out, they only did well because of the $20 buzz, otherwise it was an ok game that is held so high on a pedestal because its trendy to be anti EA.

Or because they played completely different at the time.

post #18 of 77
You guys forget, EA refused to make games on the Dreamcast because of 2k games competition. Lets face it, EA is evil.
post #19 of 77
Stupid, and a waste of time. This simple solution to the problem is...stop buying Madden! Their sales go in the crapper, and they dump the team of slugs that have been putting in a half day's work on each year's Madden since around 2005. The NFL has the right to license as many or as few companies to market their product as they wish. Certainly the current situation is pretty stupid, but Madden was on a quality slide long before the exclusive agreement.
post #20 of 77
The current exclusivity agreement is tantamount to a monopoly on football games. Basically EA can charge whatever it wants for it's product, and can do so without fear of being undercut by competitors offering a similar product at a lower price point.

It's just plain un-American to support a monopoly, especially given the current economic climate.
post #21 of 77
I really don't see how having exclusive rights to the NFL is any different from other properties like movies or comic books. EA also has an exclusive license to make Lord of the Rings and Harry Potter games. I believe they have James Bond too. What about all the music that's exclusive to one company or another? Should there be a lawsuit to open up the Beatles' catalog to Activision/Neversoft? I don't know why the NFL is singled out here. I guess it's just that gamers know what it was like when there was more than one football game, whereas they have no concept of non-sports competing licensed games.

Look, I don't like EA having exclusive NFL rights either, but these two entities have every right to make such a deal.
post #22 of 77
There should be a class action lawsuit about how Nintendo won't license out Mario to Sony.

I want to play a Mario game in full HD on my PS3 dammit and I can't because Nintendo has a Mario monopoly. I bet all Mario related games would be cheaper if they were multi platform.
post #23 of 77
I don't like the situation but legally I think it boils down to this:

The NFL et.al. owns the useage rights to players names, likenesses, team emblems, stadiums and therefore they have the ability to sell those rights to the highest bidder. The competition was when the NFL sold these rights, 2K had the same opportunity as EA in purchasing the rights, but did not have the funds. Being that the contract will end at a certain point, if it is recompeted then I don't see there being grounds for decision against EA or the NFL anti-trust wise.

Price wise - Nearly all games this generation are $60 MSRP - even 2k's titles The Bigs2, NBA2K10 retail at $60 so I think they are going to have a hard time saying that EA inflates the price. As far as I recall when there was competition in the NFL space EA still released their titles at standard MSRP( $49.99 on PS2/xbox etc.), and 2K would often release at $10 less. When 2k lowered their price to $20 that was obviously a market share grab and not their standard price.
post #24 of 77
I would make the case that 2K sports is responsible for EA now holding the exclusive rights to make NFL games. When 2K couldn't grab market share any other way, they got very aggressive with thier pricing. The NFL didn't want to see the value of thier licence fall and responded by selling the exclusive 3rd party rights to the license to the highest bidder.

Also this case is ridiculous because EA does not hold a monopoly on making football games. They only have the rights specifically pertaining to the NFL brand (as well as the CFL, NCAA and arena football rights). There is nothing to stop another company from making an outstanding football game not involving the NFL or it's players. Of course it most likely wouldn't sell as well without the license, but that's the whole point of buying the license in the first place.
post #25 of 77
I really like this year's Madden (1st time this generation), otherwise I'd be with you guys.
post #26 of 77
If they give me my money back for madden 2009 and 2008 i'd be happy :/
post #27 of 77
You really like this years Madden??? Have you not run across any of the bugs regarding challenges and other ridiculousness? This years Madden is a sham... seriously.

Anyway, the lawsuit doesn't make much sense, I admit that. Everyone is just pissed Madden has an exclusive license and puts out **** for games.

Look what happened when the NBA opened up their license, EA got their pants whipped by 2k sports. It'll happen again if the NFL license even opens up again...

I have my suspicions that the NFL won't do a exclusive license again, they can make more by licensing it as needed to the developers...
post #28 of 77
Quote:
Originally Posted by bfreshour View Post

You really like this years Madden??? Have you not run across any of the bugs regarding challenges and other ridiculousness? This years Madden is a sham... seriously.

Anyway, the lawsuit doesn't make much sense, I admit that. Everyone is just pissed Madden has an exclusive license and puts out **** for games.

Look what happened when the NBA opened up their license, EA got their pants whipped by 2k sports. It'll happen again if the NFL license even opens up again...

I have my suspicions that the NFL won't do a exclusive license again, they can make more by licensing it as needed to the developers...


I really only play games head to head with my friends, do a little franchise mode in single player and will be playing in an online franchise next month. I've ran into a few graphical bugs/flaws that probably should've been fixed, but nothing that really turns me off. To me, the game plays and looks much better than it has any other year.

About 75% of the time I'm playing head to head with my friends and we're loving it. My biggest gripe is the IR that it keeps leaving on my plasma because of the bar that's always displayed on the bottom of the screen.

I too loved the 2K series and I think the quality of football games could greatly benefit if EA didn't have exclusive rights on the NFL. However, I've held off on buying Madden for about 3 years and I just couldn't go another year without a football game. Though it has its shortcomings, I still enjoy it and have fun playing it.
post #29 of 77
Quote:
Originally Posted by Abaddon View Post

Please see pretty much every other major sports game in existence (NBA, NHL, FIFA, etc) that sell at $60 and tell me why they are different than the NFL. I await your reply with great interest.

Quote:
Originally Posted by Goatse View Post

you're getting ripped off. I personally buy the last years sports games for 10bux used.

Yes but pretty much all the sports genre games Abaddon listed also drop in price rapidly. For that matter, you can find a great number of games (of any genre) for $10-20 a year later. So your response did not address his question AT ALL.
post #30 of 77
Quote:
Originally Posted by bfreshour View Post

...Anyway, the lawsuit doesn't make much sense, I admit that. Everyone is just pissed Madden has an exclusive license and puts out **** for games.

Look what happened when the NBA opened up their license, EA got their pants whipped by 2k sports. It'll happen again if the NFL license even opens up again...

I have my suspicions that the NFL won't do a exclusive license again, they can make more by licensing it as needed to the developers...

I agree that the suit doesn't make much sense, and it probably won't hold much water in court. But hopefully it will send the message to the NFL that an open license can benefit the quality of the products they're licensing.

I don't know much about licensing agreements, but if the NFL is worried about price wars devaluing their brand, they should stipulate that any games published have to be sold within a certain dollar amount of the standard MSRP ($60).
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