Golf Merger Controversy

Litigation Partner, Ricardo Cestero, was featured in Scripps News Tonight regarding the DOJ investigation of the PGA Tour golf merger and anti-trust concerns.

Excerpts:

Ricardo Cestero is with us now. He is an attorney and partner at Greenberg Glusker and focuses on sports and entertainment companies. Ricardo, we hear about anti-trust a lot in the business world when two major companies come together. We don't tend to think of it in the sports world, at least I don't. What exactly will the DOJ be looking for here?

"Same as they do in all other industries. They're looking at the effects on the business and on the relevant market. They're looking at whether the newly merged entity will be able to control prices, raise ticket prices for fans, increase the cost of advertisements and sponsorships, or restrict the ability of golfers to go out and play. It's incredibly hard to get a PGA tour card as it is. They'll be looking to see if this is going to make that harder or easier. They're going to look and see what effect it'll have on prize money for these golfers. Is it likely to increase prize money, or decrease prize money? Basically, all of the effects that you think of when you talk about a competitive economic marketplace, is this going to help it? Make it more competitive and help the market work better, or is it going to be worse for the players, for the fans, and for the people who rely on this market for their livelihoods?"