Byrd Accuses Chargers in Antitrust Suit

Charger cornerback Gill Byrd and Raider running back Marcus Allen sued their teams in federal court Monday, alleging antitrust law violations prevented them from winning more lucrative contracts.

The lawsuit names only the Chargers and Raiders but blames NFL rules used by all 28 NFL teams.

The players, it said, “can never receive a competitive market value for their services and are denied the freedom of movement available to employees in any other industry in the United States.”

Byrd and Allen demanded payment of three times the amount they estimate they should have received in an unrestricted market.

Allen, who began his professional football career in 1982 and led the league in rushing in 1985 with 1,759 yards, and Byrd, a Charger since 1983, alleged the football league had imposed a boycott against players seeking higher salaries and engaged in price fixing.

At issue is the “First Refusal Compensation System” dating from a 1977 contract negotiated by the players’ union.

It allows a free agent’s team to match the salary offers of other teams. A team that chose not to match a salary offer would be compensated for the loss of a free agent player with college draft picks.

From 1982 through 1987, only one of the more than 1,400 players covered by the rule received an offer from a competing team, the lawsuit said.

In 1987, a federal judge ruled that the system amounted to an unreasonable restraint of trade, and in 1989, team owners adopted what was known as “Plan B,” which freed some players from the restrictions.

The new system allows each NFL team to apply First Refusal Compensation System protection to 37 of its 44 players. Each team protects its most important players, leaving only the seven less desirable players to the open market.

Byrd and Allen alleged Plan B free agency prevented them from getting higher salary offers when they became free agents.

Byrd was protected in 1991 when he attained free-agent status, and received no offers, so he re-signed with the Chargers in 1990, 1991 and for the 1992 season. Allen was protected at the expiration of his contracts in 1990 and 1991, and signed new contracts with the Raiders in February of both years.

David Richards of the Chargers filed a similar suit a year ago. It is still in the court system.