Opinion ID: 563297
Heading Depth: 3
Heading Rank: 2

Heading: Harm to the PGA

Text: 43 Contrasted with these harms, the district court found that the PGA's potential damage is based on its claim that the injunction will damage its reputation as a sports governing body. The district court concluded that the balance of harms tips sharply towards Karsten and the professional player plaintiffs. 44 The PGA asserts that it will be damaged due to its inability to promulgate rules which bind its members. PGA cites Heldman v. United States Lawn Tennis Ass'n, 354 F.Supp. 1241, 1252 (S.D.N.Y.1973) for the proposition that the failure of the district court fully to evaluate the ban of the U-groove under the rule of reason before granting an injunction will unduly damage the prestige and operation of the PGA. The harm to PGA's prestige and operation may be substantial. See STP Corp. v. United States Auto Club, Inc., 286 F.Supp. 146, 150 (S.D.Ind.1968). Nonetheless, Karsten and the professional player plaintiffs have demonstrated severe financial and reputational injury; by contrast the PGA has demonstrated injury only to its reputation. On this record, we cannot say that the district court abused its discretion in determining that the balance of hardships tips sharply in favor of the Karsten and the professional player plaintiffs. The next consideration is whether the district court abused its discretion in determining that serious questions exist which should be resolved in a hearing on the merits.