NCR Lawsuit Against USA Rugby Dismissed, Citing Ted Stevens Act

UPDATE: We’ve published a new analysis looking at the successful World Aquatics antitrust settlement as a potential roadmap for NCR and Justin Hale, following the court’s recent dismissals.

In a significant development in the ongoing legal disputes within US rugby, a federal court has dismissed National Collegiate Rugby’s (NCR) lawsuit against USA Rugby. The decision, handed down by the U.S. District Court for the Western District of Texas, is based on the court’s determination that the issues raised by NCR fall under the jurisdiction of the Ted Stevens Olympic and Amateur Sports Act, and should therefore be handled through the United States Olympic and Paralympic Committee (USOPC).

Why the Lawsuit Was Dismissed

According to Judge Robert Pitman’s decision on September 11, the court does not have the authority to hear these complaints. The Ted Stevens Act, which grants the USOPC and its national governing bodies (NGBs) like USA Rugby their authority, also provides a specific legal pathway for disputes. This path requires an organization to first file a formal complaint with the USOPC, which then holds a hearing and can refer the matter to arbitration.

Judge Pitman stated that the Ted Stevens Act preempts, or overrides, both the federal and state-law claims that NCR made, including allegations of tortious interference, defamation, and deceptive trade practices.

The judge’s decision to dismiss the case was made sua sponte, a Latin legal term meaning “of one’s own accord.” This means the court made the decision without USA Rugby having to file a specific motion for dismissal on those grounds.

Divergent Paths for the Plaintiffs

While the legal rationale for the dismissals is rooted in the Ted Stevens Act for all parties, the outcomes for the plaintiffs are not the same.

For Christopher Micheletti’s case, the court reached a conclusion that resulted in a final judgment and the dismissal of his lawsuit. He would have to start the legal process over if he chooses to pursue his federal claims.

For Justin Hale’s case, the outcome was notably different. The court did not dismiss it. Instead, the judge ordered Hale to file an amended complaint with only the federal claims. This is a key distinction, as it means Hale’s case is still active and moving forward without him having to start the entire process over.

The larger lawsuit from National Collegiate Rugby was also dismissed. The court ruled that this case, like the referee lawsuits, falls under the jurisdiction of the Ted Stevens Act. The dismissal was issued without prejudice, which is a crucial detail. This means the lawsuit is not dismissed forever, and NCR can still pursue its claims. However, it must follow the legal process outlined in the Ted Stevens Act, filing a written complaint with the USOPC for resolution.

The Path Forward

With this ruling, the legal focus shifts from the federal courts to the USOPC’s grievance procedures. The lawsuit is dismissed, but the underlying complaints remain. NCR (and the referees) now have a clear legal roadmap provided by the court: to file a written complaint with the USOPC and, if needed, proceed to arbitration.

The question now remains whether NCR or the referees will take this next step. The lawsuit was dismissed despite USA Rugby asking the court to stay the case and order it into arbitration, a request the court said it did not have the power to grant. It now falls to NCR to decide if they will engage with the process outlined by the Ted Stevens Act.

Ongoing Coverage

For a complete history of this story, please see our previous articles:

Lawsuit Links

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