An arbitration panel unanimously ruled the NFLPA wrongly terminated its deal with Panini that gave the card company the rights to use names, images and likenesses of NFL players, sources confirmed to cllct.
The ruling, which was first reported by Puck, is currently confidential and was sent to the two parties. A redacted version of the decision is expected to be made public shortly.
Sources confirmed Panini will be awarded more than $7 million, and there can be no appeal. Attempts to reach the NFLPA were not successful.
"The unanimous decision of the arbitrators confirms what we have said from the beginning: The NFLPA’s termination of its contract with Panini violated its legal obligation to Panini, its moral obligation to fans and collectors, and its fiduciary duties to its members," Panini attorney David Boies said in a statement. "The PA’s actions cost its members millions of dollars in damages and lost royalties. The damages would have been many times greater except for Panini’s commitment to protecting fans and collectors, and the players themselves, by continuing to supply cards despite the PA’s purported termination."
Despite having a deal with the NFLPA through the 2026 season, the union, under its new director Lloyd Howell, immediately ditched Panini last August on a provision that there had been a change in control of Panini's top management. Many top Panini executives had been hired by Fanatics.
Panini asserted Fanatics caused the change to trigger the contract, but sources told cllct the arbitration panel expressly ruled Fanatics did not collude based on what was presented. Even still, the panel did rule the change of control provision was not valid to make the immediate switch.
When the NFLPA announced its move to go to Fanatics, Panini filed an emergency injunction to assert what it believed to be its exclusive rights. Panini won and continued to make cards as it now still will for two more years, per the original terms of the contract.
In the meantime, Fanatics will make its own football cards with players who signed contracts with the card maker.
In a separate filing, Panini filed an antitrust lawsuit against Fanatics last August, alleging it had engaged in a “calculated, intentional, anticompetitive conduct” to build a monopoly. Fanatics countersued a week later saying the Italian company had interfered with its business. The antitrust lawsuit is currently before a federal judge in New York, where the parties are awaiting a decision on Fanatics' motion to dismiss
Fanatics is already taking over for Panini on basketball cards in 2025. Fanatics also bought Topps in January 2022 to own the baseball card brand.
In April 2024, Fanatics took over for Panini for WWE cards a few years early when the WWE alleged Panini had breached its contract. There was a settlement in the WWE dispute and Panini continues to produce WWE trading cards.
Darren Rovell is the founder of cllct.com and one of the country's leading reporters on the collectibles market. He previously worked for ESPN, CNBC and The Action Network.