In re Professional Hockey Antitrust Litigation

63 F.R.D. 641
CourtDistrict Court, E.D. Pennsylvania
DecidedJuly 3, 1974
DocketM. D. L. No. 119; Civ. A. Nos. 72-1995, 73-19 and 74-161 to 74-163
StatusPublished
Cited by27 cases

This text of 63 F.R.D. 641 (In re Professional Hockey Antitrust Litigation) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Professional Hockey Antitrust Litigation, 63 F.R.D. 641 (E.D. Pa. 1974).

Opinion

HIGGINBOTHAM, District Judge.

OPINION

I.

INTRODUCTION

■Plaintiffs, Metropolitan Hockey Club, Inc. and Golden Blades Hockey, Inc. (hereinafter referred to as “M-GB”), are now before this Court pursuant to timely motions by defendants, Nassau Sports, Atlanta Hockey, Inc., and the National Hockey League and its member clubs, who seek against plaintiffs the ultimate supreme penalty—the irrevocable termination and dismissal with prejudice of plaintiffs’ suit. The defendants’ last motion for dismissal was filed on June 19, 1974; yet this is not the first time plaintiffs have been near death's door in this litigation. Thrice before M-GB had been warned with the most precise language possible that their conduct of non-compliance with the Court’s critical orders had brought them teetering on the precipice of dismissal. On June 14, 1974, because of additional and willful non-compliance, M-GB were thrust from their precarious precipice into the irre-tratable abyss below where dismissal is certain and where immediate dismissal is required as a matter of law.

The motion of dismissal with prejudice is granted with full recognition of its terminal and dire consequences to plaintiffs, but in the course of this litigation M-GB have received every possible discretionary ruling in their favor so that they could continue to compete in this arena of litigation. The discretion was often granted most reluctantly and solely because of the Court’s recognition that the opposing chief defense counsel were in every respect true superstars with extraordinary experiences and unlimited financial resources. Of course, plaintiffs in antitrust litigation play an important role as private attorneys-general for the vigorous enforcement of the antitrust laws, but even with that imprimatur there comes a point where Courts are not required to exceed the “patience of Job.” Thus, there is a time, even in this hockey litigation, when the “penalty box” is inadequate to enforce the rules of the game. Tragically for their clients, plaintiffs have reached that point and dismissal is required both as a matter of discretion and also as a matter of law.

II.

HISTORY OF THE CASE

A. General Background.

For maximum comprehension of the compelling reasons motivating and indeed necessitating the Court’s disposition in this matter, a detailed chronicle of the events preceding this motion is essential. Examining the totality of the facts herein presented, the imposition of the sanction of dismissal pursuant to Fed.R.Civ.P. 37(b)(2)(C)1 is entirely [643]*643appropriate and justified under the circumstances.

The genesis of this litigation dates back to August 18, 1972, when the Philadelphia World Hockey Club, Inc. of the newly established World Hockey Association (“WHA”) launched a massive, wide-ranging antitrust suit against the Philadelphia Hockey Club, Inc. of the older, prestigious National Hockey League (“NHL”) and the member clubs of that league. This single civil action ultimately cascaded to number fifteen separate lawsuits, all of which were consolidated here in the Eastern District of Pennsylvania in accordance with either 28 U.S.C. § 1404(a)2 or 28 U.S.C. § 1407(a)3. One of the actions transferred to this Court came from the Central District of California on October 11, 1972 and was captioned as the World Hockey Association v. National Hockey League, C.A. 72-1995. Included in that action as a plaintiff, and a defendant on the counterclaim, was Metropolitan Hockey Club, Inc. (“Metropolitan”).

One facet of this mushrooming litigation culminated in the Court’s filing an 124-page Opinion on November 8, 1972, less than three months after the initial suit was instituted and less than two months after the plaintiffs’ motion for a preliminary injunction was lodged on September 19, 1972. Upon posting of a $2.5 million bond, this Opinion granted the plaintiffs (whose presence at this time encompassed Metropolitan) a preliminary injunction against enforcement of the NHL’s controversial “reserve clause.” See Philadelphia World Hockey Club, Inc. v. Philadelphia Hockey Club, Inc., 351 F.Supp. 462 (E.D.Pa.1972). This ruling by the Court constituted just one of the multitudinous directives issued during the course of this complex litigation.

Beginning in January 1978 the WHA’s conducting of this litigation was coordinated primarily by Harold E. Kohn, Esquire, as lead counsel, and his law firm, Harold E. Kohn, P. A. Arguably, this representation embraced Metropolitan by reason of its status as a member of the WHA. Metropolitan’s position nonetheless as to which counsel has represented its interest throughout these proceedings has been by no means entirely consistent, but evidently Metropolitan adheres to Emerson’s philosophy that “a foolish consistency is the hobgoblin of little minds.” Some of Metropolitan counsel’s history, as well as its financial troubles, has been further highlighted and reported in the Court’s Opinion of In re Professional Hockey Antitrust Litigation (Multidistrict Litigation), 371 F.Supp. 742 (E.D.Pa.1974).

B. The Discovery Travail.

The defendant NHL and its member clubs propounded and served interrogatories on Metropolitan and the other plaintiffs on February 2, 1973, more [644]*644than sixteen months ago. In accordance with Fed.R.Civ.P. 33(a)4, Metropolitan’s answers or objections thereto should have been provided by March 5, 1973. There was neither the timely submission of any responses or objections nor did Metropolitan request an extension of time so that its legal position would be adequately safeguarded.

The plaintiffs moved the Court for leave to amend their complaint on March 15, 1973. In order for the defendants’ outstanding interrogatories to be tailored and conformed to any allegations contained in the new complaint, the defendants consequently redrafted the original interrogatories. Except for the defendants’ efforts to dovetail the interrogatories to the specific paragraphs of the recent complaint, the substance of the first set of defendants’ interrogatories was not significantly altered. This amended set of interrogatories was docketed on March 30, 1973. Even if the earlier deadline of March 5, 1973 could be discounted, Metropolitan’s responses to the amended interrogatories would be due on April 30, 1973, giving plaintiffs the longer 45-day span permitted under Fed.R.Civ.P. 33(a). On April 30th as on March 5th, Metropolitan and the other plaintiffs had not replied nor had an extension of time been sought.

Approximately three months after the original interrogatories had been served, Metropolitan on May 4, 1973 moved for an extension of time, stating :

“Plaintiffs’ counsel believes that it can file objections to defendants’ interrogatories (approximately 170 pp.) and can substantially comply with the remainder of defendants’ discovery requests by May 25, 1973. . .

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63 F.R.D. 641, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-professional-hockey-antitrust-litigation-paed-1974.