TikTok, Fanatics and NFL hit with lawsuit over alleged plot to crush independent sellers

TikTok, Fanatics and the NFL are facing a federal lawsuit accusing them of working together to push independent sports memorabilia sellers off TikTok’s livestream marketplace and redirect their customers toward Fanatics.Attorney Ariel Givner highlighted the complaint this week, describing it as a fight over control of the rapidly growing sports collectibles market.“Big players allegedly used TikTok’s power and NFL licensing muscle to control the market and shut out competition,” Givner wrote on X.The lawsuit was filed in the U.S.District Court for the Central District of California by David Allan Skalsky and QCBRIPNSHIP LLC, which operated the livestream memorabilia business Quad City Breaks.Skalsky alleges TikTok, its parent company ByteDance, Fanatics and several NFL entities conspired to remove or suppress independent sellers known as “breakers.” These sellers livestream the opening of sealed boxes containing sports cards or memorabilia before distributing the contents to customers who purchased individual slots.The complaint claims the market expanded rapidly during the COVID-19 pandemic, allowing thousands of small operators to build businesses selling authentic merchandise through TikTok and other platforms.According to the lawsuit, the defendants falsely suggested Fanatics possessed exclusive rights to sell broad categories of officially licensed NFL merchandise.

Skalsky maintains that independent sellers had legally acquired authentic products and were entitled to resell them.California's top news, sports and entertainment delivered to your inbox every day.

Please provide a valid email.By clicking above you agree to the Terms of Use and Privacy Policy.

Never miss a story “The object of the conspiracy was to exclude independent memorabilia sellers from TikTok unless they agreed to sell Fanatics’ merchandise exclusively,” the complaint alleges.Givner said the lawsuit claims sellers re...