New Jersey Assembly Panel in Favor of Student-Athlete Endorsement Deals

The New Jersey Assembly Higher Education Committee voted in favor of the New Jersey Fair Play Act on March 5, 2020. The bill would permit college athletes within the state of New Jersey to receive compensation for endorsement deals. The panel voted 2-4 to advance the legislation, which would ultimately take effect in five academic years after its enactment.

If signed into law, the New Jersey Fair Play Act would ensure the right of student-athletes to make money off of their name, image, and likeness …

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Judge Rules Adidas RICO Suit Will Continue

On March 2, 2020, U.S. District Judge Joseph F. Anderson Jr. declined to dismiss a civil racketeering lawsuit against Adidas and others, allowing the lawsuit to continue. The suit was brought by Brian Bowen II, a former University of Louisville basketball recruit, who claims that the NCAA corruption scandal cost him opportunities in both college and professional basketball.

Specifically, Judge Anderson determined that Bowen would be permitted to continue claims under the Racketeer Influenced and Corrupt Organizations Act (RICO), a federal law that provides a …

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Michael Rapaport Moves For Summary Judgment Against Barstool Sports

Comedian Michael Rapaport moved for summary judgment in a lawsuit against Barstool Sports, Inc., on March 3, 2020, contending that there was enough evidence to find the entertainment company liable for breach of contract and defamation.

According to Rapaport’s complaint, the comedian entered into a contract with Barstool Sports in 2017 to provide video content for the company’s webpage and to host a weekly podcast on the company’s platform for Sirius XM. Rapaport claims that this deal entitled him to $200,000 for the online videos …

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False or Frivolous? The Court Will Decide Whether Concussion Testing Company’s Claims are Valid

ImPACT Applications, Inc. filed suit on October 29, 2019 against its competitor, Concussion Management, LLC f/k/a XLNTbrain, LLC in the U.S. District Court for the District of Maryland. In its complaint, ImPACT alleges that XLNTbrain falsely advertised its products and services in violation of the Lanham Act. In addition, ImPACT alleges that XLNTbrain engaged in unfair competition practices.

Both companies market concussion assessment and management testing products with companion software. While both companies sell similar products, there are some notable differences. For one, ImPACT is …

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Ex-NFL Player Tries to Take Marijuana De-Scheduling Lawsuit to U.S. Supreme Court

Ex-NFL player Marvin Washington and a group of medical marijuana patients told the Second Circuit that they will attempt to get their marijuana de-scheduling lawsuit against the Drug Enforcement Administration (DEA) into the U.S. Supreme Court.

In 2017, the patients sued the DEA, arguing that marijuana was improperly classified as a Schedule I controlled substance. Schedule I drugs, which include heroin and LSD, are treated by the DEA as having a high potential for abuse and no clinical value. The patients alleged that the DEA’s …

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Jury Finds Avenatti Guilty of Fraud and Extortion

On February 14, 2020, a federal jury found celebrity lawyer Michael Avenatti guilty of fraud and extortion over a scheme where he attempted to force Nike to pay him $25 million to conduct an internal probe in exchange for not publicly reporting Nike’s alleged scheme to make illicit payments to the families of high school athletes.

As we have continued to cover, on March 25, 2019, Avenatti was arrested and charged with conspiracy to commit extortion, bank fraud, and wire fraud. According to the …

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Wrongful Death Lawsuit Against Riddell Will Continue, Judge Rules

A Texas federal judge told helmet manufacturer Riddell Inc. that it will not be able to escape a wrongful death lawsuit, denying the company’s motion to dismiss based on the state’s statute of limitations.

DuQuan Myers played high school football in the Dallas area from 2005 through 2009, during which his mother, Letitia Wilbourn, claimed that he suffered 15 concussions and “innumerable subconcussive blows to the head.” Myers took his own life in February 2017, and his mother filed suit against Riddell in March 2019, …

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New York Appellate Court Rules Fantasy Sports is Illegal Gambling

The New York Appellate Division, Third Department, has ruled that fantasy sports betting is illegal gambling in New York State, reversing a 2016 law that had permitted the activity.

Previously, the legislature passed a law regulating daily fantasy sports, stating that the practice was legal within state limits. Opposition to the bill pointed out that the New York State Constitution prohibits lawmakers from legalizing gambling absent an amendment to the State Constitution. Meanwhile, proponents of the bill argued that the activity failed to meet the …

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Hazing Gone Wild: Failure to Stop Football Team Hazing, Penn State Sued

On January 13, 2020, former Penn State football player Isaiah Humphries filed a complaint in the U.S. District Court for the Middle District of Pennsylvania against teammate Damion Barber and head coach James Franklin. Humphries alleges that he and some of his teammates were subjected to harassment, sexual hazing, and abuse at the hands of Barber and other upperclassmen teammates In addition, Humphries states that the coaching staff was aware of the hazing and did nothing to stop it.

Humphries’ complaint states that, on multiple …

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NCAA Agrees: Student-Athletes Can Receive Funding for Olympic Training

The NCAA has determined that elite collegiate athletes may receive funding for Olympic training without risking their eligibility under the organization’s amateurism rules.

The Division I Counsel, a 40-person committee that oversees the NCAA, came to this decision at the NCAA 2020 Convention in Anaheim, California. As we have previously reported, the NCAA’s rules of amateurism currently prohibit college athletes from being financially compensated for their athletic performance. However, in a slight modification to this provision, the Division I counsel decided that elite …

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