Latest / Bloomberg Law / Weekend Law: 911 Mastermind Cuts Deal, SCOTUS & NBA TV Rights
Transcript
- 0:03Speaker 1: This is Bloomberg Law with June Brusso from Bloomberg Radio.
- 0:09Speaker 2: The man accused of being the mastermind of September eleventh
- 0:13Speaker 2: will be spared the death penalty in a deal with
- 0:16Speaker 2: the government. On Wednesday, the Defense Department announced that colleague
- 0:20Speaker 2: Sheik Mohammed and two of his co conspirators will plead
- 0:24Speaker 2: guilty to the murder of two thousand, nine hundred seventy
- 0:27Speaker 2: six people in exchange for taking the death penalty off
- 0:31Speaker 2: the table. It's a dramatic and to many, unwelcome development
- 0:35Speaker 2: in the prosecution of the deadliest terrorist attack on US soil,
- 0:40Speaker 2: a prosecution that's dragged on for more than two decades,
- 0:43Speaker 2: marred by reports of CIA torture and botched evidence. Terry Strata,
- 0:49Speaker 2: the head of nine to eleven Families United, says the
- 0:53Speaker 2: vast majority of the victim's families are angry about the
- 0:57Speaker 2: deal and feel that justice has been denied.
- 1:00Speaker 3: He will not stand trial and he will not face
- 1:03Speaker 3: a punishment by death, which is what was on the table.
- 1:07Speaker 3: So this is something that PSM and the others wanted.
- 1:11Speaker 3: So it's a victory for them, and I don't feel
- 1:14Speaker 3: like we should ever give them a victory. This is
- 1:17Speaker 3: a sign of a very weak leadership in our country
- 1:21Speaker 3: to strike such a deal.
- 1:22Speaker 2: President Joe Biden is distancing himself from the deal, saying
- 1:27Speaker 2: in a statement that he played no role in the process.
- 1:30Speaker 2: Joining me is national security expert Matthew Waxman, a professor
- 1:34Speaker 2: at Columbia Law School. Why have the trials of these
- 1:38Speaker 2: nine to eleven defendants been delayed for decades?
- 1:42Speaker 4: So right from the start, I think the military commissions
- 1:46Speaker 4: that were set up to prosecute detainees at Guantanamo for
- 1:51Speaker 4: war crimes has been a failed policy. They were supposed
- 1:54Speaker 4: to be set up in order to provide with justice,
- 1:58Speaker 4: but they've delivered anything but that. And I think there
- 2:02Speaker 4: have been a number of problems that have flowed down
- 2:06Speaker 4: the prosecutions, and especially these that are subject to this
- 2:10Speaker 4: plea deal. When detainees were captured, whether on the battlefield
- 2:16Speaker 4: or elsewhere, those agencies that picked them up were not
- 2:20Speaker 4: preparing a case for trial. They weren't collecting evidence as
- 2:24Speaker 4: you would in order to prosecute a criminal trial. There
- 2:28Speaker 4: have been issues of evidence or confessions that have been
- 2:33Speaker 4: obtained allegedly by torture. There are legal challenges that have
- 2:39Speaker 4: been made, some of which have gone all the way
- 2:41Speaker 4: up to the Supreme Court that have slowed down the process.
- 2:45Speaker 4: And whenever you set up an entirely new court system,
- 2:49Speaker 4: you have to basically develop all kinds of rules and
- 2:53Speaker 4: processes from scratch.
- 2:55Speaker 2: Tell us about the alleged mastermind. Colleague, Sheik Mohammed.
- 3:00Speaker 4: And he's usually known by those initials, is accused of
- 3:04Speaker 4: plotting the attacks of September eleventh, two thousand and one.
- 3:08Speaker 4: He's one of thirty detainees who are still held at Guantanamo.
- 3:13Speaker 4: And he was a US trained engineer who becomes a
- 3:18Speaker 4: key leader of al Qaeda, and he and two of
- 3:22Speaker 4: his accomplices have agreed to this plea deal. They've been charged,
- 3:27Speaker 4: among other things, with murdering three thousand people in the
- 3:31Speaker 4: September eleventh attacks, and the basic terms of the plea
- 3:36Speaker 4: deal are that they will plead guilty to murder and
- 3:40Speaker 4: other charges in return for a life sentence rather than
- 3:46Speaker 4: the possibility of a death penalty.
- 3:48Speaker 2: I can see what the defendants are getting out of
- 3:50Speaker 2: this deal, but what is the government getting out of
- 3:52Speaker 2: this deal.
- 3:53Speaker 4: I think it's a good deal for the government. And
- 3:57Speaker 4: here's why I'll be glad to see this case put
- 4:00Speaker 4: to rest. I doubt this case would ever have been
- 4:04Speaker 4: concluded if it proceeded, and actually carrying out a death
- 4:09Speaker 4: sentence would have been a disaster, however much they may
- 4:13Speaker 4: deserve it. So let me just say I'm conflicted on
- 4:17Speaker 4: the death penalty because these are some of the worst
- 4:20Speaker 4: people on earth who've committed unspeakable horrors. But I think
- 4:25Speaker 4: actually carrying out a death sentence in this case would
- 4:28Speaker 4: have been a disaster. I do feel for families of
- 4:32Speaker 4: the September eleventh victims who have had to endure the pain,
- 4:36Speaker 4: especially of watching this unfold, and I know that they
- 4:40Speaker 4: want finality, and many of them are very supportive of
- 4:44Speaker 4: the death penalty. But even if it were carried out,
- 4:48Speaker 4: and I'm very skeptical that the government would actually have
- 4:51Speaker 4: been able to impose the death penalty, I think in
- 4:54Speaker 4: this case it would make a martyr of these detainees.
- 5:00Speaker 4: The story would understandably be that the United States has
- 5:03Speaker 4: put to death somebody who's been subjected to torture. That
- 5:08Speaker 4: would only add to the terrible stain of Guantanamo and
- 5:13Speaker 4: the CIA enhanced interrogation policy.
- 5:16Speaker 2: You mentioned the families Terry Strata had of one group
- 5:19Speaker 2: of families said, I wanted to see a trial, and
- 5:22Speaker 2: they took away the justice. I was expecting a trial
- 5:24Speaker 2: and the punishment. And Brett Eagleson, president of nine to
- 5:29Speaker 2: eleven Justice, said, we're deeply troubled by these plea deals.
- 5:33Speaker 2: Should the government go ahead with a plea deal that
- 5:36Speaker 2: so many of the family members disagree with.
- 5:40Speaker 4: Well, this is a terrible dilemma for the government. And
- 5:43Speaker 4: as I've said, I very much feel for the families
- 5:47Speaker 4: who have had to endure not just the unspeakable pain
- 5:51Speaker 4: of the deaths of their loved ones, but twenty years
- 5:55Speaker 4: of this process dragging on. I do hope that they
- 6:00Speaker 4: feel some sense of justice. But there are other very
- 6:04Speaker 4: powerful concerns and interests at stake here, and the US
- 6:09Speaker 4: government has to do what's right taking into account all
- 6:13Speaker 4: of these various factors. As I said, I don't think
- 6:16Speaker 4: the death penalty ever would have been carried out in
- 6:20Speaker 4: this case, and I think the death penalty would have
- 6:23Speaker 4: carried immense damage to the United States interests, especially abroad.
- 6:28Speaker 2: Why is the government not releasing the details of this
- 6:32Speaker 2: might be because some of the details might be objectionable.
- 6:37Speaker 4: I suspect some of the details are still being worked out.
- 6:41Speaker 4: I think some of them will need to be approved
- 6:44Speaker 4: by the military commissions and through some other processes. But
- 6:49Speaker 4: this is also one of the challenges of moving a
- 6:53Speaker 4: case like this through a military justice process that hasn't
- 6:58Speaker 4: really been tested. A lot of what's going on in
- 7:01Speaker 4: military commissions is new, and so we don't know for
- 7:05Speaker 4: sure how some of these processes are going to play out.
- 7:09Speaker 4: That's been one of the problems plaguing military commissions from
- 7:12Speaker 4: the beginning is that this is an untested process, and
- 7:17Speaker 4: two of.
- 7:17Speaker 2: The five other nine to eleven defendants are not part
- 7:20Speaker 2: of this plea deal.
- 7:22Speaker 5: That's right.
- 7:23Speaker 4: For several years now, it's been reported that a deal
- 7:26Speaker 4: like this has been in the work, some sort of
- 7:29Speaker 4: plea deal for a life sentence in return for pleading
- 7:34Speaker 4: guilty rather than the possibility of the death penalty. Originally,
- 7:38Speaker 4: it was talked about as possibly involving five of the
- 7:42Speaker 4: direct perpetrators or leaders of the nine to eleven attack plot.
- 7:47Speaker 4: I don't know why we're now talking about a deal
- 7:51Speaker 4: involving only three, but over the course of the last
- 7:55Speaker 4: few years, we've heard that this deal is sort of
- 7:58Speaker 4: on again, off again, and so there are any number
- 8:01Speaker 4: of possible reasons.
- 8:03Speaker 2: Looking at the big picture here, the government is disappointing
- 8:07Speaker 2: most of the family members with this deal. They're getting
- 8:10Speaker 2: a life sentence for the murder of three thousand people,
- 8:14Speaker 2: and the deal only covers three out of the five
- 8:17Speaker 2: suspected terrorists. Even the president is distancing himself from the deal.
- 8:22Speaker 2: So after more than twenty years, doesn't this seem like
- 8:26Speaker 2: a complete failure.
- 8:29Speaker 4: So right now, there are thirty detainees out of a
- 8:33Speaker 4: total of roughly eight hundred who were brought to Guantanamo
- 8:37Speaker 4: since it opened in two thousand and two. Most of
- 8:41Speaker 4: them have been transferred or released, some of them to
- 8:44Speaker 4: their home countries, some of them to third countries with
- 8:47Speaker 4: varying restrictions. Some of them were transferred for continued detentions,
- 8:52Speaker 4: for example, in their home countries. Of those who remain
- 8:56Speaker 4: at Guantanamo, about half have also been approved for or
- 9:00Speaker 4: some sort of transfer, but we don't know whether that
- 9:03Speaker 4: will happen anytime soon. A few, though, will never be charged.
- 9:09Speaker 4: They're going to be held indefinitely without any sort of prosecution.
- 9:14Speaker 4: I think Guantanamo has been a failed policy. It was
- 9:18Speaker 4: originally opened to be a place that would hold only
- 9:23Speaker 4: the very worst of the worst, and it turned out
- 9:26Speaker 4: that many detainees who were brought there should never have been.
- 9:29Speaker 4: Either they were cases like mistaken identity, or they were
- 9:34Speaker 4: low level al Qaeda or Caliban figures. It was also
- 9:37Speaker 4: supposed to be an interrogation and intelligence center where the
- 9:42Speaker 4: government would be able to obtain a vast amount of
- 9:46Speaker 4: information about future al Qaeda plots and networks, and I
- 9:51Speaker 4: think it failed in both its detention mission and its
- 9:55Speaker 4: intelligence mission. That doesn't mean that it was not valuable
- 9:59Speaker 4: in some important ways. It kept many very very very
- 10:04Speaker 4: dangerous people off the battlefield and prevented them from conducting
- 10:09Speaker 4: further attacks. It also did provide some important intelligence information,
- 10:14Speaker 4: never as much as I think was expected, but it
- 10:16Speaker 4: did provide some very very important information. But from the beginning,
- 10:21Speaker 4: there was never really a good plan for what was
- 10:25Speaker 4: going to happen to the detainee's long term. There were
- 10:29Speaker 4: insufficient processes put in place for figuring out which detainees
- 10:34Speaker 4: should be detained there and which ones shouldn't. It is
- 10:38Speaker 4: indelibly associated with this idea of a legal black hole
- 10:42Speaker 4: and with torture, and I think many of those costs
- 10:46Speaker 4: continue to accrue over time.
- 10:49Speaker 2: Former Attorney General Eric Holder told NBC News that quote,
- 10:53Speaker 2: the people responsible for structuring this awful deal did the
- 10:57Speaker 2: best they could. He said, they were dealt a bad
- 11:01Speaker 2: hand by the political hacks who blocked the trial of
- 11:04Speaker 2: ACCU September eleventh terrorists in federal court nearly fifteen years ago.
- 11:10Speaker 4: As of today, only one detainee from Guantanamo was brought
- 11:15Speaker 4: into the United States for prosecution in federal court here
- 11:20Speaker 4: in New York. It was fought in the Obama administration
- 11:24Speaker 4: that they would be able to bring many more, but
- 11:27Speaker 4: that plan was shut down really for political reasons. There
- 11:32Speaker 4: was a lot of opposition in Congress, which then put
- 11:36Speaker 4: restrictions on transferring any detainees out of Guantanamo and barring
- 11:41Speaker 4: bringing them into the United States. But this also gets
- 11:44Speaker 4: through a broader problem, which is it's very easy to
- 11:48Speaker 4: say that Bontanamo is a mistake, Guantanamo should be shut down,
- 11:54Speaker 4: but it's very hard to figure out what should you
- 11:56Speaker 4: do instead, And just saying we should bring them into
- 12:00Speaker 4: the United States for prosecution wouldn't work. Just saying you
- 12:03Speaker 4: should send them back to home countries or third countries
- 12:08Speaker 4: wouldn't work. It's very very hard to figure out what's
- 12:12Speaker 4: going to happen to the remaining thirty detainees at Guantanamo.
- 12:17Speaker 4: The government has been working hard to shrink that number
- 12:20Speaker 4: even further, but it's very hard to figure out what
- 12:24Speaker 4: is a viable alternative to holding them at Guantanamo. And
- 12:28Speaker 4: I think part of this goes back to the very
- 12:30Speaker 4: beginning that it wasn't designed with really long term thinking
- 12:35Speaker 4: in place.
- 12:35Speaker 2: I do want to mention that there will be a
- 12:37Speaker 2: sentencing hearing for the three defendants and we may learn
- 12:41Speaker 2: more then. Thanks so much for being on the show.
- 12:44Speaker 2: That's Columbia Law School professor Matthew Waxman. I'm June Grosso
- 12:49Speaker 2: and you're listening to Bloomberg.
- 12:51Speaker 1: Inside NBA is the benchmark, the ultimate studio show, one.
- 12:55Speaker 6: Of the greatest sports shows of all time.
- 12:56Speaker 3: I put Inside the NBA above everybody else.
- 13:00Speaker 1: Know what this spect We have more fun at TNT,
- 13:04Speaker 1: and that's what makes it special.
- 13:07Speaker 2: But it looks like the widely acclaimed sports show will
- 13:10Speaker 2: not be on TNT after twenty twenty five, unless a
- 13:14Speaker 2: lawsuit changes things. The NBA signed a new TV rights
- 13:18Speaker 2: deal with Amazon, NBC, Universal, and Disney worth about seventy
- 13:23Speaker 2: six billion dollars over eleven years and leaving TNT out
- 13:28Speaker 2: in the cold. So TNT's parent company, Warner Brothers Discovery,
- 13:32Speaker 2: is suing the NBA for breach of contract, saying the
- 13:36Speaker 2: league rejected its matching offer. Charles Barkley, one of the
- 13:40Speaker 2: co hosts of Inside the NBA, was as outspoken as
- 13:44Speaker 2: usual about the league's new deal on The Dan Patrick Show.
- 13:47Speaker 1: This was a last bitch cash grap by the NBA
- 13:52Speaker 1: and the players. That's why I think they signed an
- 13:55Speaker 1: eleven year deal. So they're like, hey, let's get as
- 13:59Speaker 1: much mine as we how we can right now. This
- 14:01Speaker 1: is gonna be our last bite of the apple because TNT, ABCSPN,
- 14:07Speaker 1: they're not going to pay more money going forward.
- 14:12Speaker 2: The lawsuit is another chapter in the deteriorating relationship between
- 14:17Speaker 2: the NBA and Turner Sports, a relationship that's lasted nearly
- 14:21Speaker 2: forty years. Joining me is entertainment and media lawyer Ronald Beanstock,
- 14:26Speaker 2: a partner at Scarincy Hollandbeck. What happened here? As far
- 14:29Speaker 2: as you can make out.
- 14:30Speaker 5: There's a lot of redactions in the complaints, so it's
- 14:33Speaker 5: kind of hard to know from the specifics of the agreement.
- 14:36Speaker 5: But I will tell you what I think of. So
- 14:37Speaker 5: this is really a fight between tech corporate structure looking
- 14:41Speaker 5: to find their way into the larger dollars of entertainment properties.
- 14:46Speaker 5: And you can't get any biggers really than sports versus
- 14:49Speaker 5: the old school broadcasting. You've got a company T and
- 14:52Speaker 5: T here who has had the right for forty years
- 14:55Speaker 5: within their agreements. With the definition of the words match
- 14:59Speaker 5: right commonly use part of entertainment agreements where somebody who
- 15:04Speaker 5: has rights to something would like to keep those rights
- 15:06Speaker 5: to something, but they allow a third party come in
- 15:09Speaker 5: make the offer and it gets the match and then
- 15:11Speaker 5: you know you've got a usurper if you will. Tech companies, Amazon,
- 15:14Speaker 5: obviously Disney that comes in and says, I want to
- 15:17Speaker 5: make a really great offer to you. I'd like to
- 15:19Speaker 5: bring this asset to our camp, and we think we
- 15:22Speaker 5: can do really well with the billions of dollars every year.
- 15:25Speaker 5: We think we can enhance the NBA's income and enhance
- 15:28Speaker 5: ours obviously, bring bigger and better advertising dollars to their
- 15:32Speaker 5: format and in subscriptions, and we'd like to make an
- 15:35Speaker 5: offer on this somewhere. They made that offer right, The
- 15:38Speaker 5: timing was correct. They made the offer, and T and
- 15:41Speaker 5: T had two quote match. So T and T says
- 15:44Speaker 5: we matched, we match timely. That's not in dispute. Seems
- 15:47Speaker 5: to be able, all done correctly. But Amazon is saying,
- 15:50Speaker 5: and apparently NBA is saying, no, you didn't, you didn't match.
- 15:55Speaker 5: According to the agreement, we have other services or other
- 15:58Speaker 5: things we can offer. You didn't match, that you're only
- 16:01Speaker 5: matching the initial offer. And that definition of match is
- 16:04Speaker 5: one of the crucial discussions with billions of dollars at stake.
- 16:08Speaker 2: I mean, what's the general interpretation of what match means
- 16:12Speaker 2: in a contract like this?
- 16:14Speaker 5: So in interesting businesses like this, the match would be
- 16:17Speaker 5: first right, like a first right of refusal. And the
- 16:19Speaker 5: definition I'm not clear about. No one's clear about because
- 16:21Speaker 5: it's contractual language is underdacted from the complaint. But there's
- 16:25Speaker 5: a real difference here, and that is the difference would
- 16:27Speaker 5: be between I get to match and the words that
- 16:30Speaker 5: are using the complaint as an incumbent, which is not
- 16:33Speaker 5: a commonly used word in entertainment property agreement incumbent, and
- 16:37Speaker 5: that it says as an incumbent, TBS has the right
- 16:39Speaker 5: to match any quote third party offer end quote for
- 16:43Speaker 5: future NBA telecast rights right to match any third party offer,
- 16:47Speaker 5: which would indicate to me that it's an initial match right.
- 16:51Speaker 5: If someone says two hundred, and I say I'll give
- 16:53Speaker 5: you two hundred, I'll match that. Now it stays with me.
- 16:56Speaker 5: I am, as they call it, the legacy or incumbent.
- 17:00Speaker 5: Here on the legacy license fee, I would maintain my
- 17:03Speaker 5: rights the term length of the next portion of this
- 17:05Speaker 5: agreement of eleven years. That would be over fifty years
- 17:08Speaker 5: of retaining rights in terms of a license fee to
- 17:10Speaker 5: a piece of property like this. And that's probably where
- 17:13Speaker 5: everybody is fighting this because the tech companies think by
- 17:17Speaker 5: do a better job. So the word match looks like
- 17:19Speaker 5: initial match many times when we're negotiating entertainment property agreements
- 17:24Speaker 5: like this. Music business is a good example, music publishing
- 17:27Speaker 5: record deals or things of this nature. Licensing deals. We
- 17:30Speaker 5: have last match. That's a preference of mine because if
- 17:34Speaker 5: you say two hundred, but that's not the fully ending
- 17:37Speaker 5: negotiated deal, I think I can get you to three.
- 17:39Speaker 5: I don't want you to match two. I want you
- 17:41Speaker 5: to match the deal I'm willing to execute. That would
- 17:44Speaker 5: be what the match right should say. I don't know
- 17:47Speaker 5: because it's been redacted, so we'll have to find out
- 17:50Speaker 5: as discovery goes on.
- 17:52Speaker 2: In the new TV rights deal, national games will be
- 17:54Speaker 2: distributed across Amazon Prime Video, NBC's broadcast network, Talk streaming service,
- 18:01Speaker 2: and Disney's ABC and ESPN platforms. And it's not just
- 18:06Speaker 2: matching the money, is it. It's also matching the scope.
- 18:11Speaker 5: Yes, I think that that's part of the process, and
- 18:13Speaker 5: I think the match is the scope. What can we
- 18:14Speaker 5: offer in terms of SBOD, subscription video on demand. I
- 18:18Speaker 5: think this is all within the concept of the match,
- 18:22Speaker 5: because I don't think the match was one sentence gentleman
- 18:24Speaker 5: get says, here's the money.
- 18:26Speaker 2: Match it.
- 18:26Speaker 5: I think structurally it's the scope clearly territories worldwide, but
- 18:30Speaker 5: it's scope in terms of what we have to offer
- 18:33Speaker 5: and what platforms. I think that's a part of this.
- 18:35Speaker 5: I think that they're trying to say, you're an old
- 18:36Speaker 5: school broadcaster, but TNT has other platforms that they get
- 18:39Speaker 5: to put it onto. MAC So I think these are
- 18:42Speaker 5: parallel universes colliding. I don't know if they're exactly in
- 18:45Speaker 5: the same size universe, but I think that they are
- 18:48Speaker 5: structurally similar because MAX allows the similar version of platform
- 18:53Speaker 5: structure as the Amazon would have as well.
- 18:56Speaker 2: Suppose this is about the NBA saying this, this new
- 19:00Speaker 2: deal is just better for our brand long term. Where
- 19:04Speaker 2: does that fit into the equation?
- 19:06Speaker 5: Someone is looking at this in the long term process, right,
- 19:09Speaker 5: Someone's saying this is better for us in terms of
- 19:11Speaker 5: the NBA brand and our largest in the future. Clearly
- 19:15Speaker 5: that's what's at stake here. Somewhere in that agreement between
- 19:19Speaker 5: P and T and the NBA this forty year. That's
- 19:22Speaker 5: a lengthy, lengthy relationship which apparently, according to whatever I've
- 19:26Speaker 5: seen in the press and people that I know, has
- 19:28Speaker 5: not been the best in the last few years that
- 19:30Speaker 5: there's been a lot of discussion about this, you know,
- 19:32Speaker 5: and again I'm going to reiterate that point about tech
- 19:35Speaker 5: giants versus old school broadcasters. There seems to have been
- 19:39Speaker 5: a exclusive negotiation period that was the precursor to this match.
- 19:45Speaker 5: So it looks like there was some over the last year. Contractually,
- 19:49Speaker 5: they were obligated to have not mediation, but a negotiation
- 19:52Speaker 5: where they would sit in that room and they would
- 19:55Speaker 5: try to knock out their new agreement and it didn't work.
- 19:58Speaker 5: Somewhere in the NBA is keep people in the or
- 20:00Speaker 5: the owners, whoever was involved, said no, it's not structurally sufficient.
- 20:04Speaker 5: We think we can do better. We think the NBA
- 20:07Speaker 5: brand can do better at this different set of platforms.
- 20:10Speaker 5: But they had that moment and it didn't work out.
- 20:13Speaker 2: Warner Brothers is asking for a jury trial. Is it
- 20:16Speaker 2: difficult to line up two different offers like this for
- 20:20Speaker 2: a jury when it's not just a question of money.
- 20:24Speaker 5: I don't think it's that sophisticated. Looks this jury trial demand, yes,
- 20:28Speaker 5: but think about what we've got here. We've got in
- 20:29Speaker 5: the quest for the junctive relief specific performance. But if
- 20:32Speaker 5: we get to a jury, this to me looks like
- 20:34Speaker 5: you can put the two offers up on large boards
- 20:37Speaker 5: in front of a jury and go, there's their offer,
- 20:39Speaker 5: here's our offer.
- 20:40Speaker 4: Look at ours.
- 20:41Speaker 5: You see we match that.
- 20:42Speaker 1: There it is.
- 20:43Speaker 5: It's not difficult areas of law. It's going to be
- 20:46Speaker 5: how do you define match? And did we do it?
- 20:48Speaker 5: Getting to that though, oh my goodness, we have a
- 20:51Speaker 5: long way to go. We have all this other stuff
- 20:54Speaker 5: we're going to have to go through.
- 20:55Speaker 2: Interesting that Turner in its complaint said that we I
- 21:00Speaker 2: strongly believe that this is not just our contractual right,
- 21:04Speaker 2: but also in the best interest of fans who want
- 21:07Speaker 2: to keep watching our industry leading NBA content.
- 21:11Speaker 5: They've come to think of it as their own the
- 21:13Speaker 5: property they call their asset, which they shouldn't be calling
- 21:15Speaker 5: its assets, but they do. In that complaint. That's very telling.
- 21:18Speaker 7: They have a.
- 21:20Speaker 5: Large investment in the NBA broadcasters and experts and color commentators.
- 21:27Speaker 5: That's a lot of money that got invested, and they've
- 21:29Speaker 5: been very successful with that. I think they've won their
- 21:31Speaker 5: own Emmys. I think that's a huge part of this
- 21:33Speaker 5: that they say, look, we pay Charles Barkley X and
- 21:35Speaker 5: we have the best people to do this. Now who
- 21:37Speaker 5: you going to bring on to do this?
- 21:38Speaker 1: Right?
- 21:39Speaker 5: Look at what you've invested into this. And I think
- 21:41Speaker 5: that's part of this. And I think that what they're
- 21:42Speaker 5: trying to say in the complaint is that we've got
- 21:45Speaker 5: so much invested and look at the terrible losses that
- 21:47Speaker 5: will suffer. Well, I have a hard time. I mean,
- 21:50Speaker 5: that's forty years. Did you do everything in the forty years?
- 21:53Speaker 5: I think that's going to come up right. They're going
- 21:54Speaker 5: to say they got complacents. Sure, they had these great
- 21:57Speaker 5: teams of experts, these really popular posts, you know, It's
- 22:00Speaker 5: interesting to see in the complaint. I want to say,
- 22:03Speaker 5: it's a woes me kind of thing, saying how terribly
- 22:05Speaker 5: will be hurt. Sure, that's what complaints say, but that's
- 22:08Speaker 5: not the point here. Did you match it? Did you
- 22:11Speaker 5: follow what they had said? I also want to know
- 22:13Speaker 5: what went wrong in that exclusive negotiation period, what happened there,
- 22:16Speaker 5: and ultimately, you know, if it doesn't work out, there
- 22:20Speaker 5: may be a split. The baby here it is State
- 22:23Speaker 5: Court is State Supreme in New York, so this won't
- 22:25Speaker 5: be the first time anybody does something like this. They
- 22:27Speaker 5: may say, you know what, for the first three years,
- 22:30Speaker 5: we may give key games to stay with T and
- 22:33Speaker 5: T and their team, and then regular season games X, Y,
- 22:35Speaker 5: and Z will go over here, and then eventually we're
- 22:37Speaker 5: going to morph this all entirely over to the new licensee.
- 22:42Speaker 5: That may be how this gets done. Nobody's going to
- 22:45Speaker 5: want to have this extend past even the preseason, so
- 22:49Speaker 5: I think they're going to have to figure out methodologies
- 22:51Speaker 5: to compromise at some point. It's not like they're going
- 22:54Speaker 5: to postpone the season, so I think that the issue
- 22:57Speaker 5: is going to start to come up pretty fast and furious.
- 22:59Speaker 5: There's billions and billions to stake.
- 23:01Speaker 2: Here are court's reluctant to force someone or a party
- 23:05Speaker 2: into a deal they don't want to be in.
- 23:08Speaker 5: Yes, simplest answer I can give. Yeah, that's a common
- 23:12Speaker 5: discussion and entertainment properties. If an artist wants off a label,
- 23:16Speaker 5: the judge's going to say, how do you guys getting along?
- 23:18Speaker 1: Oh?
- 23:19Speaker 5: Terribly? Okay, Now I want you guys back together, shake hands,
- 23:22Speaker 5: Come on, you can put it back. Never happens. It
- 23:24Speaker 5: never happens that way. There's always some override, similar to
- 23:29Speaker 5: the theory here of certain games being split up. There
- 23:31Speaker 5: may be an override on structure of money. There may
- 23:33Speaker 5: be a way to uo two records to this person.
- 23:36Speaker 5: Oh you owe five songs to this publisher. Oh you
- 23:38Speaker 5: owe twelve episodes the original production company. Yeah, we do
- 23:42Speaker 5: that to get through the process, so we don't kill
- 23:45Speaker 5: the golden goose here. Enter hument properties take decades, if
- 23:48Speaker 5: not lifetimes to develop like this, and so nobody wants
- 23:51Speaker 5: to hurt that. So I think that they're going to
- 23:53Speaker 5: be ways we get this resolved that may not be
- 23:55Speaker 5: in a standard methodology. I think there's gonna be a
- 23:59Speaker 5: lot of beating and Chambers I think there's a lot
- 24:01Speaker 5: of meetings with everybody just discussing how to make this work.
- 24:04Speaker 2: So it sounds like you think there'll be some kind
- 24:06Speaker 2: of settlement before this ever gets close to a jury.
- 24:10Speaker 5: I think there's a possibility there's going to be a
- 24:12Speaker 5: series of workaround to try to satisfy some immediacy for
- 24:17Speaker 5: T and T. But I think eventually there's going to
- 24:20Speaker 5: be a transition unless everything has gone wrong from the
- 24:24Speaker 5: Amazon point of view in terms of where the match
- 24:27Speaker 5: was and how you define match, And it sounded like
- 24:30Speaker 5: something happened in that definitional process. Somebody says we did it.
- 24:34Speaker 5: The other side NBA is saying, no, you didn't do that.
- 24:37Speaker 5: Is it based upon as you and I just discussed
- 24:39Speaker 5: the variable platforms and the extent the nature of the
- 24:42Speaker 5: other digital platforms. It's hard to know. The redactions make
- 24:45Speaker 5: it hard to know, because at the end of the
- 24:47Speaker 5: complaint June, there is a series of redactions where it's
- 24:50Speaker 5: effectively saying the Amazon offer they did something here that
- 24:56Speaker 5: wasn't in good faith. It's a bad faith effort to
- 24:58Speaker 5: deprive TBS contractual right. They found a way around it
- 25:03Speaker 5: that's pretty hefty. We don't know what the language was,
- 25:06Speaker 5: but they're saying they caused the match to be rejected.
- 25:10Speaker 5: Has to be proof of that. What did they do?
- 25:11Speaker 5: You know where that's the enter. What did they do?
- 25:13Speaker 5: What was so crafty about these guys that they were
- 25:16Speaker 5: able to convince them that they could get around the match?
- 25:18Speaker 7: Right?
- 25:18Speaker 5: That's redacted. We're gonna have to go find out once
- 25:20Speaker 5: this proceeding really gets rolling.
- 25:21Speaker 2: That certainly adds to the drama here. Thanks for coming
- 25:24Speaker 2: on the show. That's Ronald Beanstock of Scarincy Hollandbeck.
- 25:29Speaker 7: These scandals of Olvi's the justices have caused public opinion
- 25:33Speaker 7: to question the Court's fairness and independence.
- 25:35Speaker 2: The public's confidence in the Supreme Court has fallen to
- 25:39Speaker 2: historic lows following a series of controversial rulings that overturned
- 25:44Speaker 2: landmark decisions on abortion rights and federal regulatory powers, established
- 25:50Speaker 2: the right to carry a handgun in public, and determine
- 25:53Speaker 2: that former presidents have broad immunity from prosecution. So, with
- 25:57Speaker 2: less than six months left in his Presienceancy Joe Biden
- 26:01Speaker 2: is calling for dramatic changes to the Court that have
- 26:04Speaker 2: no chance of being enacted.
- 26:06Speaker 7: We need these reforms. We sort trust in the courts
- 26:09Speaker 7: preserve the system of checks and balances that are vital
- 26:13Speaker 7: to our democracy. We're also common sense.
- 26:15Speaker 2: Reforms, common sense, perhaps controversial, definitely. Joining me is William Traynor,
- 26:23Speaker 2: dean of Georgetown Law and a constitutional history scholar. Let's
- 26:27Speaker 2: start with Biden's proposal for term limits for the justices.
- 26:31Speaker 2: A president would appoint a justice every two years and
- 26:34Speaker 2: that justice would sit eighteen years on the court. This
- 26:38Speaker 2: isn't a new idea. But could it be done through
- 26:41Speaker 2: legislation or would it take a constitutional amendment?
- 26:45Speaker 6: No, this is not a new idea. The start of
- 26:47Speaker 6: his administration, President Biden appointed a commission to look at
- 26:51Speaker 6: the possibilities of Supreme Court reform, and this is one
- 26:55Speaker 6: of the proposals that they made. So it's something that
- 26:57Speaker 6: people have been focusing on for a number of years.
- 27:00Speaker 6: Debate about whether it requires constitutional amendment. I think it
- 27:03Speaker 6: should be constitutional because historically the duties of Supreme Court
- 27:07Speaker 6: justices have not always been the same, and so this
- 27:11Speaker 6: is similarly just altering what the duties of Supreme Court
- 27:14Speaker 6: justices would be. But again that's something that good people debate.
- 27:17Speaker 2: Yeah, some argue that the term limits proposal is at
- 27:21Speaker 2: odds with Article three, which provides that justices shall hold
- 27:25Speaker 2: their offices during good behavior.
- 27:28Speaker 6: So one of the questions is, you know, is this
- 27:30Speaker 6: consisting with the original understanding? And I think it is
- 27:33Speaker 6: one of the changes that we've seen over time. There
- 27:35Speaker 6: is Supreme Court justices are now on the court much
- 27:38Speaker 6: longer than they were at the beginning. So if you
- 27:40Speaker 6: look at the Washington administration, for example, the average tenure
- 27:44Speaker 6: of the justices he appointed was less than eight years,
- 27:47Speaker 6: whereas now the most recent departures from the courtator through
- 27:50Speaker 6: death or resignation, have been about thirty years. So this
- 27:53Speaker 6: is dramatically different than what was envisioned at the start.
- 27:56Speaker 6: And it also means that there's a tremendous amount of
- 27:58Speaker 6: luck in terms of which president controls the justices on
- 28:02Speaker 6: the Court. So, for example, Jimmy Carter in four years
- 28:06Speaker 6: had actually no appointment, whereas in the same period of
- 28:09Speaker 6: time Donald Trump had three appointments. So one of the
- 28:12Speaker 6: things that Biden's proposal would do is essentially take the
- 28:15Speaker 6: luck and happenstance out of the appointments to the Court
- 28:19Speaker 6: by saying that every president would have an appointment every
- 28:22Speaker 6: two years. So that really would bring I think the
- 28:25Speaker 6: make up of the court much more in line with
- 28:28Speaker 6: what people determined in the presidential election, So I think
- 28:30Speaker 6: this would make sense.
- 28:31Speaker 2: Biden is also calling for a binding ethics code that
- 28:35Speaker 2: would require the justices to disclose gifts, refrain from political activity,
- 28:40Speaker 2: and recuse themselves from cases presenting conflicts of interest for
- 28:44Speaker 2: themselves or their spouses. Now, Democrats have been trying to
- 28:48Speaker 2: pass an ethics code to no avail. But are there
- 28:51Speaker 2: any constitutional problems with an enforceable ethics code.
- 28:55Speaker 6: Well, I don't think there's a problem with this. For example,
- 28:58Speaker 6: we have binding codes ethics for people in the executive pinch.
- 29:02Speaker 6: It's really the same thing. Congress here would be creating
- 29:05Speaker 6: an ethical framework for Supreme Court justices. So it seems
- 29:09Speaker 6: to me that it's something that Congress should be able
- 29:11Speaker 6: to do. But again, this is something that is debated,
- 29:14Speaker 6: and there's some people who will say, for example, Justice
- 29:16Speaker 6: Alito has said this would not be constitutional, but.
- 29:19Speaker 2: The Constitution states that the Supreme Court's jurisdiction must be
- 29:23Speaker 2: exercised under such regulations as the Congress shall make.
- 29:27Speaker 6: Well is whether this is the kind of regulation that
- 29:30Speaker 6: the Constitution has contemplated. And again, this would be a
- 29:33Speaker 6: new question. The Supreme Court has never been subject to
- 29:36Speaker 6: congressional rules like this, But as a legal matter, the
- 29:39Speaker 6: question is whether this would fall into the Constitution's text
- 29:42Speaker 6: about regulation, and that's really debatable. I think it would,
- 29:45Speaker 6: but again Justice Alito has said that it would not,
- 29:48Speaker 6: and it would ultimately be a question for the Court.
- 29:50Speaker 2: Well, that seems to be the catch twenty two for
- 29:52Speaker 2: both this proposal and the term limits proposal. Both ultimately
- 29:57Speaker 2: would end up at the Supreme Court, and the costices
- 30:00Speaker 2: would be the arbiters of whether they're constitutional or not,
- 30:04Speaker 2: and how much would an ethics code really accomplish. It
- 30:07Speaker 2: would stop them from accepting gifts, get them to recuse
- 30:11Speaker 2: from a few cases, but it wouldn't make them any
- 30:14Speaker 2: less partisan in their decision making.
- 30:16Speaker 6: The argument would be that when they're accepting gifts, you
- 30:19Speaker 6: know what affects the way in which they think about cases,
- 30:22Speaker 6: So it's not partisan directly. But I think underlying the
- 30:25Speaker 6: idea of an ethics code is the idea that when
- 30:28Speaker 6: we received gifts, it tends to color your point of view,
- 30:31Speaker 6: and so the ethics would take that out of the equation.
- 30:34Speaker 2: I don't know if he has made any very specific suggestions.
- 30:38Speaker 2: But this would be enforceable by whom.
- 30:41Speaker 6: Well, I think that's a question. So what's the mechanism
- 30:44Speaker 6: for enforcement. One of the suggestions that people have had
- 30:47Speaker 6: is that you would put together a panel of lower
- 30:50Speaker 6: court judges who would decide what's appropriate and what's not appropriate.
- 30:53Speaker 6: So it would take it out of the Supreme Court
- 30:56Speaker 6: deciding for its help, and give it to other federal judges.
- 30:59Speaker 6: If this were to go forward, and it's not going
- 31:01Speaker 6: to go forward with this Congress, but if we're to
- 31:03Speaker 6: go forward in the future, I think that is the
- 31:05Speaker 6: most likely framework.
- 31:06Speaker 2: Then he's calling for a constitutional amendment to ensure that
- 31:09Speaker 2: former presidents can be tried for crimes committed while in office.
- 31:14Speaker 2: Amending the Constitution is virtually impossible these days. It requires
- 31:19Speaker 2: approval from three quarters of the states.
- 31:22Speaker 6: Well, it's incredibly hard, but it's incredibly hard really for
- 31:27Speaker 6: most of American history. I think this does two things.
- 31:29Speaker 6: One is it's a symbolic statement, and it's also an
- 31:33Speaker 6: indication of disapproval of the Supreme Court's decision in compers
- 31:38Speaker 6: the United States. So I think it's unlikely that this
- 31:41Speaker 6: would be adopted, but it still is a very powerful statement.
- 31:44Speaker 2: Biden didn't include a couple of things that have been
- 31:47Speaker 2: proposed at various times, one being packing the court or
- 31:51Speaker 2: adding more justices to the court, and that doesn't have
- 31:55Speaker 2: the legal problems that his other suggestions have. It's allowed
- 31:59Speaker 2: by the institution.
- 32:00Speaker 7: That's right.
- 32:01Speaker 6: Congress has the ability to establish the number of justices
- 32:04Speaker 6: on the court. So right now we have nine, and
- 32:06Speaker 6: we've had nine for more than one hundred and fifty years,
- 32:09Speaker 6: but that's not written into the Constitution. And we've had
- 32:12Speaker 6: different numbers of justices over time. So if we've had
- 32:14Speaker 6: as fuge times and we've had as many as ten,
- 32:17Speaker 6: so there's really no constitutional problem with creating more justiceship.
- 32:22Speaker 6: The reason why he didn't do that is that that
- 32:26Speaker 6: would feel very partisan. So for example, if you were
- 32:29Speaker 6: to have three more justices that a democratic president put
- 32:32Speaker 6: a point, then there would be a point about those justices.
- 32:36Speaker 6: It almost inevitably the next time you had a Republican
- 32:39Speaker 6: president or Republican tilS it would be expanded. Even more so,
- 32:43Speaker 6: he has proposed something that's not packing the court but
- 32:46Speaker 6: is really designed to be I think nonpartisan, to give
- 32:49Speaker 6: every president moving forward two seats. And on top of that,
- 32:53Speaker 6: also to say that the justices on the Court will
- 32:56Speaker 6: have lifetime tenures, so it will not alter short term
- 33:00Speaker 6: the court's makeup. They're six Republican appointees, three Democratic appointees.
- 33:05Speaker 6: It would be a very long time before you could
- 33:08Speaker 6: conceivably have under prison Biden's in formula a shift towards
- 33:12Speaker 6: a Supreme Court in which most of the appointees were Democratic.
- 33:15Speaker 2: Another widely discussed reform that Biden didn't propose is called
- 33:21Speaker 2: jurisdiction stripping, and it is constitutional. So why do you
- 33:25Speaker 2: think Biden left that out right?
- 33:27Speaker 6: So Congress has substantial control over the jurisdiction of the Court.
- 33:32Speaker 6: So at very times in the past it's taken certain
- 33:34Speaker 6: issues away from the Supreme Court, and that's what we
- 33:37Speaker 6: call jurisdiction stripping. But that's not something that his proposals
- 33:41Speaker 6: called for, and I think that's really not been something
- 33:44Speaker 6: that has been at the top of the date. His
- 33:47Speaker 6: proposals really track the things that people are focusing on,
- 33:50Speaker 6: that some kind of expansion of the court, some kind
- 33:52Speaker 6: of ethics code. And then also in the wake of
- 33:55Speaker 6: Trump versus the United States, a constitutional amendment that would
- 33:57Speaker 6: lead to a different result, and that would provide that
- 34:00Speaker 6: presidents can be prosecuted, which is before the division Trump
- 34:04Speaker 6: versus the United States, That's been something that has been
- 34:06Speaker 6: assumed throughout American history. I worked on the Iran Contra
- 34:10Speaker 6: investigation and the focus was on whether President Reagan was
- 34:14Speaker 6: guilty of criminality, and during the course of that investigation,
- 34:17Speaker 6: there was really no argument that you shouldn't be considering
- 34:20Speaker 6: presidential criminality. Same thing in Water. So the Trump versus
- 34:23Speaker 6: United States decision is something that really represents the departure
- 34:27Speaker 6: from something that has been assumed to be the case
- 34:30Speaker 6: really all the way back to the times of the Founders.
- 34:33Speaker 2: During his term, Biden resisted calls from progressives to seek
- 34:39Speaker 2: reform to the Supreme Court. Why now with six months
- 34:43Speaker 2: left in his term, Well, I.
- 34:46Speaker 6: Think he wants to make a statement as his presidency
- 34:49Speaker 6: was drawing to a close that he thinks the Supreme
- 34:52Speaker 6: Court is off the rails in a lot of crucial areas.
- 34:56Speaker 6: And I think he didn't act before now because this
- 34:59Speaker 6: is cumulative. You know what he's seeing over time is
- 35:02Speaker 6: there are more and more decisions in which the Court
- 35:05Speaker 6: is departing from the original understanding or departing from precedent.
- 35:09Speaker 6: And I think Trump versus the United States might have
- 35:11Speaker 6: been the trigger for him. That is a decision where
- 35:14Speaker 6: I think he would say that the Court has taken
- 35:17Speaker 6: a position that's really at odds with principles of the
- 35:20Speaker 6: rule of law, and some steps has to be taken
- 35:23Speaker 6: to address that. At the same time, I think this
- 35:25Speaker 6: chose a tremendous amount of restraint because what the rest
- 35:29Speaker 6: of us were pushing for when he came into office
- 35:31Speaker 6: that have been pushing threat is expanding the number of justices,
- 35:35Speaker 6: and he hasn't done that. He's gone for with something
- 35:38Speaker 6: that's I think both more nuanced and more respectful of
- 35:41Speaker 6: partisan balance. It's really much more nonpartisan because it would
- 35:44Speaker 6: give to every president to appointments for every term, so
- 35:47Speaker 6: that's not a partisan results, but it does reflect the
- 35:50Speaker 6: idea that we should move away from that kind of
- 35:53Speaker 6: thirty years on the court, which is what we're seeing now,
- 35:56Speaker 6: and move to something that is much more like I
- 35:58Speaker 6: think with the Founders and.
- 35:59Speaker 2: This a recent Annenberg report finds quote, a withering of
- 36:04Speaker 2: public confidence in the court, and all the polls basically
- 36:07Speaker 2: show the same thing. Has there been another time in
- 36:09Speaker 2: history when there's been this crisis of confidence in the
- 36:13Speaker 2: Supreme Court.
- 36:14Speaker 6: The most prominent time in which there's been a crisis
- 36:17Speaker 6: of confidence in the Supreme Court was during President Franklin
- 36:21Speaker 6: Roosevelt's administration. The court struck down many crucial pieces of
- 36:26Speaker 6: newbial legislation, So there was tremendous, tremendous concern about the court. Now,
- 36:32Speaker 6: President Franklin Thosevelt pushed it too far. He tried to
- 36:35Speaker 6: pack the court, and that generated a lot of opposition.
- 36:38Speaker 6: But that's the period in which most recently we've seen
- 36:42Speaker 6: incredible concern about the Supreme Court and I think a
- 36:45Speaker 6: sense that it was out of step with popular wealth.
- 36:48Speaker 6: This is a time in which there is a concern
- 36:51Speaker 6: about the Court in a way that we have not
- 36:53Speaker 6: seen for almost one hundred years. So the significance of
- 36:57Speaker 6: President Biden's proposals is that it's part of a focus
- 37:00Speaker 6: on the court, which again is new within the lifetime
- 37:04Speaker 6: of virtually every American.
- 37:05Speaker 2: Thanks so much for your insights, Dean. That's Dean William
- 37:08Speaker 2: Trainer of Georgetown Law. And that's it for this edition
- 37:11Speaker 2: of the Bloomberg Law Podcast. Remember you can always get
- 37:14Speaker 2: the latest legal news by subscribing and listening to the
- 37:17Speaker 2: show on Apple Podcasts. Spotify and at Bloomberg dot com,
- 37:21Speaker 2: slash podcast slash Law. I'm June Grosso and this is
- 37:25Speaker 2: Bloomberg