Major League Baseball and member teams are the target of a proposed class action that alleges they collude to keep minor league players’ compensation artificially low and deter their contractual mobility.
Lead plaintiff Daniel Concepcion alleges the league and its 30 major league baseball clubs are a cartel that acts as a monopsony—the sole purchaser of their labor.
The cartel inserted a “reserve clause” into players’ contracts that allows teams to retain the rights to players and restricts their movement and their ability to negotiate with other teams, the complaint alleges.
The effect of the reserve clause has been to ...
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