ANTITRUST: Too Little of A Good Thing?

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As the college football season gets under way, universities are competing hard on the field. But the Federal Trade Commission charged last week that 63 major schools represented by the College Football Association have conspired with Capital Cities/ABC to avoid competition in the marketplace. The complaint alleged that a five-year, $300 million contract between the C.F.A. and Capital Cities would illegally limit the number of games on TV.

Under the contract, ABC and its ESPN cable affiliate would have sole broadcast rights to Saturday games between C.F.A. opponents beginning next year. Other participating C.F.A. schools may sell TV rights to local stations on other days. Capital Cities/ABC and the C.F.A. denied the charges in the complaint. Among other things, they noted that home games of Notre Dame, a C.F.A. member, will be on NBC. An FTC judge in Washington is to try the case.