Skip to main content

Yet again, sports economist Zimbalist stumbles in court

It’s been a tough seven months for sports economist and professional witness Andrew Zimbalist, who has been beaten up in court three times, not to mention the court of opinion. I recently chronicled a case involving the Seattle SuperSonics, during which Zimbalist’s credibility was shredded during cross-examination, an antitrust case involving NASCAR in which a judge cast doubt upon Zimbalist's report, and Zimbalist’s dubious and defensive appearance on the Brian Lehrer Show.

In the past two weeks, Zimbalist’s credibility further suffered during a federal antitrust trial involving a challenge to the ATP (Association of Tennis Professionals), the men's professional tennis players' association, by organizers of the tour in Hamburg, Germany, upset that their tournament had been demoted from the top tier and changing its schedule.

(All coverage is from SportsBusiness Journal, reposted in this tennis blog.)

An uproar in court

According to SportsBusiness Journal, Zimbalist’s testimony “caused an uproar,” leading the defense to request a mistrial and the judge to dismiss the jury early, because he brought notes to the stand, in contravention of court procedures.

In fact, at one point, Zimbalist corrected the lawyer questioning him, asking if the right question had been asked. “Well, I have seen it all,” federal judge Gregory Sleet said.

Illegal cartel?

Zimbalist “testified that the ATP is an illegal cartel that monopolizes top flight men’s tennis,” SportsBusiness Journal reported. In response, the lawyer for ATP suggested that Zimbalist’s report was similar to the one he prepared in the NASCAR case. In both reports, he argued (according to the newspaper) “that the sports competed only internally, and not against other forms of entertainment.”

SportsBusiness Journal noted that even the plaintiffs’ lawyer conceded that Zimbalist’s interpretation “was very subtle and nuanced,” suggesting the alleged injury was more to players and tournament owners rather than consumers or sponsors—even though antitrust cases typically address injury to consumers.

At one point, Judge Sleet suggested, “So maybe it's (Roger) Federer and (Rafael) Nadal that needs to be the plaintiffs here.”

Verdict: Zimbalist's client loses

After Sleet threw out all but one of the charges in the case, he “expressed great skepticism regarding the merits of the case” and revealed that he came close to striking Zimbalist’s testimony, according to SportsBusiness Journal. He did tell the jury that they could take Zimbalist’s behavior into account in assessing his credibility.

After a two-week trial, a jury deliberated nine hours before dismissing the final count.

Money issues

The German Tennis Federation had sought some $76 million in damages. The ATP, in its successful defense, paid its economic witness Jonathan Walker and his firm, Economists Inc., $1 million.

In contrast, the plaintiffs paid Zimbalist $850 per hour, but no total was given, so maybe in this battle of the experts, Zimbalist was not only outmatched but out-compensated.

(In Seattle, he was paid $17,753. How much was he paid for the Atlantic Yards study? We don't know, but we know it's a lot more than volunteers Peebles and Kim were paid.)

All told, it’s another reminder that Zimbalist should never have been given the last word, as the New York Times granted, in coverage of the Atlantic Yards economic impact study commissioned by developer Forest City Ratner.

Comments

Popular posts from this blog

Barclays Center/Levy Restaurants hit with suit charging discrimination on disability, race; supervisors said to use vicious slurs, pursue retaliation

The Daily News has an article today, Barclays Center hit with $5M suit claiming discrimination against disabled, while the New York Post headlined its article Barclays Center sued over taunting disabled employees.

While that's part of the lawsuit, more prominent are claims of racial discrimination and retaliation, with black employees claiming repeated abuse by white supervisors, preferential treatment toward Hispanic colleagues, and retaliation in response to complaints.

Two individual supervisors, for example, are charged with  referring to black employees as “black motherfucker,” “dumb black bitch,” “black monkey,” “piece of shit” and “nigger.”

Two have referred to an employee blind in one eye as “cyclops,” and “the one-eyed guy,” and an employee with a nose disorder as “the nose guy.”

There's been no official response yet though arena spokesman Barry Baum told the Daily News they, but take “allegations of this kind very seriously” and have "a zero tolerance policy for…

Behind the "empty railyards": 40 years of ATURA, Baruch's plan, and the city's diffidence

To supporters of Forest City Ratner's Atlantic Yards project, it's a long-awaited plan for long-overlooked land. "The Atlantic Yards area has been available for any developer in America for over 100 years,” declared Borough President Marty Markowitz at a 5/26/05 City Council hearing.

Charles Gargano, chairman of the Empire State Development Corporation, mused on 11/15/05 to WNYC's Brian Lehrer, “Isn’t it interesting that these railyards have sat for decades and decades and decades, and no one has done a thing about them.” Forest City Ratner spokesman Joe DePlasco, in a 12/19/04 New York Times article ("In a War of Words, One Has the Power to Wound") described the railyards as "an empty scar dividing the community."

But why exactly has the Metropolitan Transportation Authority’s Vanderbilt Yard never been developed? Do public officials have some responsibility?

At a hearing yesterday of the Brooklyn Borough Board Atlantic Yards Committee, Kate Suisma…

Barclays Center event June 11 to protest plans to expand Israeli draft; questions about logistics

At right is a photo of a poster spotted in Hasidic Williamsburg right. Clearly there's an event scheduled at the Barclays Center aimed at the Haredi Jewish community (strict Orthodox Jews who reject secular culture), but the lack of English text makes it cryptic.

The website Matzav.com explains, Protest Against Israeli Draft of Bnei Yeshiva Rescheduled for Barclays Center:
A large asifa to protest the drafting of bnei yeshiva in Eretz Yisroel into the Israeli army that had been set to take place this month will instead be held on Sunday, 17 Sivan/June 11, at the Barclays Center in Downtown Brooklyn, NY. So attendees at a big gathering will protest an apparent change of policy that will make it much more difficult for traditional Orthodox Jewish students--both Hasidic (who follow a rebbe) and non-Hasidic (who don't)--to get deferments from the draft. Comments on the Yeshiva World website explain some of the debate.

The logistical questions

What's unclear is how large the ev…

Atlanta's Atlantic Yards moves ahead

First mentioned in April, the Atlantic Yards project in Atlanta is moving ahead--and has the potential to nudge Atlantic Yards in Brooklyn further down in Google searches.

According to a 5/30/17 press release, Hines and Invesco Real Estate Announce T3 West Midtown and Atlantic Yards:
Hines, the international real estate firm, and Invesco Real Estate, a global real estate investment manager, today announced a joint venture on behalf of one of Invesco Real Estate’s institutional clients to develop two progressive office projects in Atlanta totalling 700,000 square feet. T3 West Midtown will be a 200,000-square-foot heavy timber office development and Atlantic Yards will consist of 500,000 square feet of progressive office space in two buildings. Both projects are located on sites within Atlantic Station in the flourishing Midtown submarket.
Hines will work with Hartshorne Plunkard Architecture (HPA) as the design architect for both T3 West Midtown and Atlantic Yards. DLR Group will be t…

Not quite the pattern: Greenland selling development sites, not completed condos

Real Estate Weekly, reporting on trends in Chinese investment in New York City, on 11/18/15 quoted Jim Costello, a senior vice president at research firm Real Capital Analytics:
“They’re typically building high-end condos, build it and sell it. Capital return is in a few years. That’s something that is ingrained in the companies that have been coming here because that’s how they’ve grown in the last 35 years. It’s always been a development game for them. So they’re just repeating their business model here,” he said. When I read that last November, I didn't think it necessarily applied to Atlantic Yards/Pacific Park, now 70% owned (outside of the Barclays Center and B2 modular apartment tower), by the Greenland Group, owned significantly by the Shanghai government.
A majority of the buildings will be rentals, some 100% market, some 100% affordable, and several--the last several built--are supposed to be 50% market/50% subsidized. (See tentative timetable below.)

Selling development …

Forest City acknowledges unspecified delays in Pacific Park, cites $300 million "impairment" in project value; what about affordable housing pledge?

Updated Monday Nov. 7 am: Note follow-up coverage of stock price drop and investor conference call and pending questions.

Pacific Park Brooklyn is seriously delayed, Forest City Realty Trust said yesterday in a news release, which further acknowledged that the project has caused a $300 million impairment, or write-down of the asset, as the expected revenues no longer exceed the carrying cost.

The Cleveland-based developer, parent of Brooklyn-based Forest City Ratner, which is a 30% investor in Pacific Park along with 70% partner/overseer Greenland USA, blamed the "significant impairment" on an oversupply of market-rate apartments, the uncertain fate of the 421-a tax break, and a continued increase in construction costs.

While the delay essentially confirms the obvious, given that two major buildings have not launched despite plans to do so, it raises significant questions about the future of the project, including:
if market-rate construction is delayed, will the affordable h…

"There is no alternative": DM Glen on de Blasio's affordable housing strategy

As I've written, Mayor Bill de Blasio sure knows how to steer and spin coverage of his affordable housing initiatives.

Indeed, his latest announcement, claiming significant progress, came with a pre-press release op-ed in the New York Daily News and then a friendly photo-op press conference with an understandably grateful--and very lucky--winner of an affordable housing lottery.

To me, though, the most significant quote came from Deputy Mayor Alicia Glen, who, as the Wall Street Journal reported:
said public housing had been “starved” of federal support for years now, leaving the city with fewer ways of creating affordable housing. “Are we relying too heavily on the private sector?” she said. “There is no alternative.” Though Glen was using what she surely sees as a common-sense phrase, it recalls the slogan of a politician with whom I doubt de Blasio identifies: former British Prime Minister Margaret Thatcher, a Conservative who believed in free markets.

It suggests the limits to …