Category Archives: upper deck lawsuit weekly

Have I Been an Alarmist With The Upper Deck Lawsuit?

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I have posted a lot of commentary recently about the pending MLBP lawsuit against Upper Deck, most of it very negative in nature. Although the outcome for the lawsuit is not necessarily clear as to a favorite, I have approached it from sort of a worst case scenario. Per multiple sources, MLBP has objected to Upper Deck’s motion of splitting the ruling and damages phase of the lawsuit, for a few reasons. One, that UD will seek protection from bankruptcy during the break, or two, just go out of business. This would be to make it harder for the damages to be collected, and obvioiusly MLBP doesnt want the hassle.

However, what if this wouldnt be the final straw for the 20+ year old company out of Carlsbad? I was joking around recently with someone close to the outcome of this event, and he was busting my chops about how I wasnt really giving UD much of a shot. After thinking about it, I guess that is pretty much true, considering that no one at UD has really come out and said anything about it. Then I really put my mind to it, and it no longer seemed absurd that UD may be able to survive after tangling with two huge companies seeking damages.
First off, UD has one of the most profitable football and baseball lines on the market. Even moreso with the release of the immensely popular Ultimate Collection. It is also rare that Blowout doesnt announce that a product has sold out at the factory, which I guess warrants some consideration that the company may not be bad off to begin with. This also begs the question as to the state of the company after the Konami suit was settled, to which we have nothing to go off of. There is a good shot that the two would not have settled unless there was some compromise in order, meaning that each company would end up with the means to continue.
Secondly, much talk has spread about last year’s closing of the UD Nevada Facility , and how that relates to their financial state. It was widely reported that they were amidst major problems at the time, but the year since then has suggested it was more of a strategic repositioning rather than closing for money sake. Although financials probably played a part, many people on the boards and blogs have suggested it was more of a planned closing than a necessity closing.
Also, Upper Deck is a huge company, HUGE, even outside of the sports market. Although they have lost Yu-Gi-Oh and World of Warcraft from their line, they still have a number of valuable properties according to a gaming shop I visit. Upper Deck Authenticated is also a huge part of their continued success, as distributors around the world are using UDA as their sole source of autographed memorabilia.
Lastly, there is still a very good chance that UD could beat the second lawsuit. According to Jeff over at IAJC and Grant (a lawyer reader of the site), Upper Deck has great representation and a good case. It has the ability to go either way, which also could mean a new era for the hobby.
Does this mean that UD is out of the woods? Not by a long shot. Despite my recent conversations, I still have a lot of reservations about the future of the company. However, I would say that my fear is slightly less now that things have become a bit clearer in my mind. Plus, when you factor the following they have built, maybe the rumors of their (future) death have been greatly exaggerated. My apologies on that.

Keep vs. Sell In the Wake of the Upper Deck Lawsuit

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Selling upon release is always better idea with any box pulls, if not only because of the 20% increase in price with all of the people looking to buy a new product. Its even more important with sets like Ultimate Collection baseball and SP Authentic because of recent revelations of the MLBP Lawsuit against Upper Deck. This holds doubly true for redemptions, which may not ever be fufilled if MLBP wins their case.

All around the boards lately, people have been asking whether to hold or sell with certain cards, and my response has always been the same. If you don’t like the player and/or it’s a redemption you have to sell now. For SPA, the NFL off season lull is less than a month away, and once that initial 20% bump wears off, you are going to be stuck with selling the card under value, or waiting for next season to start ramping up. On top of that, you are also going to deal with the possible bankruptcy of the company producing the cards, meaning an even larger loss in value. For Ultimate Collection, the faking threshold is coming up fast, and at that point people start questioning everything. When people question authenticity, card prices drop, and you have missed out on selling at a huge premium because of the massive amount of product hype.

For redemptions, there are two sides to the story. First, if you have a redemption for one of the SPA rookie auto patches, there is a chance the card could be in your hands before April 19th. The problem is, there have have been rumors floating around that the people who didn’t sign, didn’t because they werent paid or objected to doing so. That is bad for business and it means that you may be left out in the cold when the reaper comes for UD brass. Second if it’s a redemption for an Ultimate baseball vet/star auto or a dual out of SPA, you need to make a decision quick. There is always a chance that people who have signed before will get their cards done more quickly than a rookie, but again, its just over 2 months until April 19th.

Also, if you are thinking of buying any redemptions, don’t. Simple as that. Its too big of a risk if you are going to redeem, and if you think that you will be one of the lucky ones, you probably wont be. Redemptions factor in two different sides of things, the players and the producers, and this time you don’t have the luxury of waiting on the players. Funny enough, I will say that if April 19th comes, and the decision is made IN Upper Deck’s favor, that may be the best time to buy and sell your target redemptions.

When it comes to the settlement of the Upper Deck Lawsuit brought by MLBP, there are many more people that stand to lose than stand to win. I have said on in many recent posts that losing a part of the market is never a good thing for anyone, especially when it will affect a big three company like Upper Deck. In this case, it will have an impact on existing products and thousands of people who are banking on their cards, which may be worse than we can even fathom right now. Either way, now is the time to get your head above the fray, especially in your ability to avoid risks that you have control over.

The MLB Lawsuit Against Upper Deck Takes A Turn

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All joking aside, April 19th is going to be a tense day around the hobby. On that day, I probably wont be paying attention to hobby news due to my wife’s pending delivery, but that wont stop MLB and UD from going to court to settle the lawsuit filed over Ultimate Collection and other products. According to SCD’s review of the UD court documents, Upper Deck will be arguing their case to get the lawsuit thrown out based on a number of interesting arguments. However, that isnt the most important thing.

In a twist, Upper Deck requested that the ruling and damages phase be separate, much to MLB’s chagrin. What this will usually account for is time for the company to seek bankruptcy protection if the ruling is against them, or just going out of business altogether to prevent easy collection of any money. If UD is deemed to be in violation, its pretty much over for them, bottom line. With the Konami lawsuit and the possible damages from this suit, there will be too much money to account for without someone else buying the company and doing a Panini style takeover. In addition, UD has planned a huge UDA sale for that time, which only signifies more of the same.
Although I do think that UD has some compelling arguments to avoid a huge suit, im not sure why they took the risk with the products. Its just a bad idea to put yourself in that kind of situation, especially after the big hit from Konami. Granted, im sure most of the cards were already produced by the time the Konami lawsuit was filed, but that still means you need to take heed of warnings before throwing caution to the wind.
Also, im not sure why is MLBP taking the argument of “No one can tell the difference between licensed and unlicensed.” No one is that fucking stupid! We all know about UD’s lack of a license, even people who are just casual collectors! Know why I know that? Because it says it three times every pack and box we open! Im actually pretty glad someone at MLBP thought this was a good way to go, because it leaves the door open for a nasty comeback.
Im sure that this is going to be a landmark case in the hobby, regardless of outcome. If it goes one way, airbrushing logos is done. If it goes another way, UD is gone. I think everyone in the hobby would like to see airbrushing go the way of the dodo, but there is also a growing contingent of people who want to see the other outcome now as well. Although I agree that the shady ways of the top UD brass are reprehensible, I dont think its a good idea to chop off an arm of an already struggling industry. Regardless of how you feel about the past of UD’s business ethics, having one less choice around will not be a good idea. Trust me on that and take a look at Triple Threads one more time to see if thats what you want to buy from now on. *SHUDDER*
I will say that the hobby will outlive the industry by decades, but I dont think its a good idea to expedite the process. Considering that many of the people in the industry are still trying to recapture the youth of days gone past, despite evidence that kids have moved on, I think we are in trouble for the future.

How Many Redemptions Are On The 2009 SP Authentic List?

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There was a lot of speculation that SP Authentic would be filled with redemptions due to a number of reasons, and so far that is a half truth. There are a few big names on the redemption list, but no more than were in National Treasures. Because the redemption lists are so similar, I believe its more of a player issue than anything.

As of now, here is who is on the list:

Beanie Wells

Shonn Greene (Some Are Live)
Nate Davis
Mike Thomas

Also, like Shonn Greene, some of the rookies may have live RAPs along with redemptions, so this remains to be seen. Personally, I wouldnt even bother taking a chance on these until you see the live versions. Many of them will take a long time due to expectant money troubles and pending lawsuits against UD, so stick to what you actully see.
Lastly, it looks like UD stopped all auctions that were started yesterday, and limited people on the blowout forum from listing their breaks. Although I had my images up all day, many were forced to have them taken down. I cant understand why UD wanted to do this, as it solves absolutely nothing. When you have spent the last few weeks building a hatred among collectors, why would anyone at UD think that was a good idea? It just doesnt make sense.
Either way, happy hunting, I have already scored one of my main targets and I hope you land some of yours.

Countdown to 2009 SP Authentic Football – ONE FREAKING DAY.

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Man I am excited, because tomorrow, 2009 SP Authentic Football goes live per numerous reports. Although the quality of the final product is still very much up in the air due to recent lawsuits against Upper Deck (as well as numerous delays), my level of anticipation is still in the stratosphere.

Personally, I wasn’t too excited about the design when it came out a few months ago, but now, thanks to the lack of good products, its prospects have me raring to go bust a case and a half. The product is slated to feature 100% on card autos, which is a breath of fresh air from Panini/Topps sticker city, though again, quality is yet to be determined on what is going to be in the actual boxes. The autos could be tons of redemptions which I will not waste my time on, or they could be mostly packed out, to which I will be making my paypal account cry.

My favorite new additions to the set are definitely the jumbo patch autos, and if we have gotten any clues from Ultimate Baseball, these could turn out to be the best cards of the year. I am one of those people that loves signed memorabilia cards, and to have a shot at some in this product is ridiculously cool. We already know they are going to be a big part of Exquisite, and these look to be the precursor to everything.

Most importantly are the rookie super patch autos, which look great for the umpteenth year in a row. If you want to see consistency, run through my retrospective I did over on the UD blog. There isnt a bad year, and that is INCREDIBLY tough to accomplish. The only other product that comes close is Topps Chrome, which I raved similarly about earlier this year.

Regardless of how you feel about the actual company, its hard to argue against a product that produces the way SPA does every year. Although it hasn’t been without problems in the past, the cards that people covet run rampant through this set because of the awesome designs and concepts that have graced the cardboard since its inception.

You may be pissed that SPA has been delayed for multiple weeks, but to that I say that quality is quality. If it indeed lives up to the billing, which is at about 50/50 odds right now, this could be one of the best products in a long time. If it falls short due to recent problems with the company, I am going to be one pissed off motherfucker. You don’t fuck up SPA, it’s the one final bright spots in the year, and right now things arent looking promising. It will only take a matter of days to get a true grasp, and I am praying for a rain of awesomeness.