The nearly four-year-old lawsuit filed by former Las Vegas Raiders coach Jon Gruden against the NFL may soon see resolution in a courtroom. On Monday, the Nevada Supreme Court ruled that Gruden's lawsuit can be adjudicated in court, rather than being sent to the NFL’s arbitration process. This ruling, made by a 5-2 majority, reverses a previous decision by a three-judge panel which had favored arbitration, allowing Gruden to continue his legal battle in a more public forum.
Gruden's lawsuit was filed in November 2021 and argues that the NFL and Commissioner Roger Goodell used leaked emails to “publicly sabotage Gruden’s career” and coerced him into resigning from his coaching position in October 2021. This case has been mired in legal disputes regarding whether it should be heard in court or if it should be arbitrated according to a clause in Gruden’s contract with the Raiders.
In a statement following the Nevada Supreme Court's decision, attorney Adam Hosmer-Henner from McDonald Carano, representing Gruden, expressed satisfaction with the ruling. "We’re very pleased with the Nevada Supreme Court’s decision, not just for Coach Gruden but for all employees facing an employer’s unfair arbitration process," he stated. The ruling is seen as a significant step towards vindicating Gruden's reputation and holding the NFL accountable for its actions.
The Nevada Supreme Court stated in its ruling that the arbitration clause in the NFL Constitution is “unconscionable” and does not apply to Gruden as a former employee. The court affirmed the district court's original ruling, emphasizing that the NFL cannot compel Gruden to enter arbitration.
Following the Nevada Supreme Court's ruling, the NFL has the option to appeal this decision to the U.S. Supreme Court. However, the league has not yet commented on the ruling publicly. The ongoing legal battle raises questions regarding the authority of arbitration clauses within the NFL and how they impact former employees.
In the lawsuit, Gruden alleges that the league and Goodell engaged in a “Soviet-style character assassination” against him. He claims that through a calculated campaign, they aimed to destroy his career and reputation. The emails at the center of this controversy, which included racist, homophobic, and misogynistic language, were sent during Gruden's tenure at ESPN and later surfaced during an NFL investigation regarding workplace misconduct under former Washington team owner Daniel Snyder.
The NFL has denied any allegations of leaking the emails, asserting that Gruden "has no one to blame but himself" for the fallout from the emails. The league contends that Gruden "primarily assumed the risk" that his emails could be obtained and shared by the Washington team.
As the legal proceedings unfold, the outcome of Jon Gruden's lawsuit against the NFL could have significant implications for the future of arbitration in the sports industry. The case continues to attract attention not only for its high-profile nature but also for its potential to reshape the relationship between employees and employers in professional sports.
