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Nik Weaver
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It's false. Take $M = [0,1]$ and $N = \mathbb{R}$ and define $F(x,y) = 1 - |x-y|$. Taking $y_x = x$ satisfies condition (2). Here $\inf_M \sup_N F(x,y) = 1$ and $\sup_N \inf_M F(x,y) = 1/2$, achieved when $y = 1/2$.

Nik Weaver
  • 42.8k
  • 3
  • 112
  • 213