January 8, 2020 Antitrust / Legislation / Litigation / NCAA / Sponsorships

NCAA President Says Student-Athlete Compensation Rule Changes Limited by Antitrust Lawsuits

NCAA President Mark Emmert stated in a panel that the NCAA’s planned reforms regarding student-athlete compensation will be limited by rulings in various antitrust cases.

After California passed a law allowing for student-athlete compensation and many states looked to follow, the NCAA announced in a statement that it would allow student-athletes to benefit off their name, image, and likeness. The NCAA stressed that any changes would have to be consistent with the collegiate model.

In addition to new laws and proposed legislation, the NCAA …

December 12, 2019 Legislation / NCAA / Sponsorships

An Unusual Coalition: Five U.S. Senators Spark Bipartisan Effort on Student-Athlete Compensation

A group of five United States senators announced that they will be discussing the drafting of federal legislation addressing the compensation of college athletes. The five senators are: Cory Booker, D-New Jersey; Chris Murphy, D-Connecticut; Mitt Romney, R-Utah; Marco Rubio, R-Florida; and David Perdue, R-Georgia.

As we reported earlier, California became the first state to allow student-athletes to be compensated through endorsements or sponsorships. The NCAA was vehemently opposed to any efforts to mandate payment of college athletes and even threatened to ban California schools …

November 18, 2019 Class Actions / Labor & Employment / Litigation / NCAA

One More Time: New Lawsuit Argues NCAA Must Pay Athletes Minimum Wage

Trey Johnson, a former defensive back for Villanova University, has sued the NCAA, arguing that the organization has violated federal labor law and that it must pay student-athletes a minimum wage.

In his lawsuit, Johnson argues that student-athletes clearly constitute employees under the Fair Labor Standards Act (FLSA). Specifically, he notes that college students in work-study programs are classified as employees, meaning that they are subject to minimum wage laws. Meanwhile, student-athletes, who work longer schedules and create the need for some of these work-study …

August 6, 2018 Concussions / Litigation / NFL

NFL Concussion Settlement Payouts Far Ahead of Schedule

As we recently reported, the district judge overseeing the NFL’s billion dollar concussion settlement has refused the NFL’s request for a special investigator to uncover potentially fraudulent claimants. Since then, claims administrators in the settlement process have released a report indicating that over $500 million in claims had been approved for payout as of July 30, 2018, which is 8 years ahead of the 10-year, $400 million projection.

Just weeks ago, counsel for the NFL conjectured that the total settlement would reach approximately $1.4 …

August 1, 2018 Labor & Employment / Litigation / NCAA

Judge Denies NCAA’s Motion to Dismiss in Student Athlete’s Wage Suit

On July 25, 2018, U.S. District Judge Michael M. Baylson denied the NCAA and Villanova University’s motion to dismiss in Lawrence “Poppy” Livers’ amended lawsuit. As we have previously reported, Livers sued the NCAA claiming that the NCAA, Villanova, and other universities were violating the minimum wage provision of the Fair Labor Standards Act (FLSA). Livers likened college athletes to paid student employees and claimed they should be compensated as such.

The NCAA and Villanova moved to dismiss the amended lawsuit because it was …

July 9, 2018 Antitrust / Labor & Employment / Legislation / NCAA

NCAA Asks Ninth Circuit to Adhere to Seventh Circuit Ruling

On June 29, 2018, in a letter, lawyers representing the NCAA asked the Ninth Circuit to adhere to the Seventh Circuit’ recent decision and not revive a proposed wage-and-hour class action lawsuit brought by former NCAA football player, Lamar Dawson. The lawyer’s asked the Ninth Circuit to adhere to the June 25, 2018 Seventh Circuit ruling that upheld the NCAA’s controversial “year-in-residence rule.” The rule mandates that if a student athlete transfers from a division one institution to another division one institution, they are …

October 1, 2015 Antitrust / NCAA

NCAA Athlete Compensation: The Ninth Circuit Filed its Opinion on Appeal

On September 30, 2015, the U.S. Ninth Circuit Court of Appeals filed its opinion in the appeal of the O’Bannon v. NCAA antitrust lawsuit. At the federal trial court level, District Court Judge Claudia Wilken held that the NCAA’s ban on compensating student athletes violates federal antitrust laws. Judge Wilken concluded that “less restrictive” means were available to preserve student athletes’ amateur status, and therefore, she held that NCAA member universities were permitted to engage in the following acts: (1) universities may grant to student …

January 27, 2015 NCAA

O’Bannon Plaintiffs Urge 9th Circuit to Affirm Pay-Rule Ban

On January 23, O’Bannon Plaintiffs filed a response to NCAA’s appellate brief that asked the Ninth Circuit to reverse the lower court’s decision allowing student-athletes to be paid.

In a 851-page long filing, the plaintiffs argued that the a limited compensation to $5,000 for every year of academic eligibility pursuant to the court’s decision is “such modest payment” to jeopardize NCAA’s policy on amateurism, a concept that has evolved and eroded admittedly by NCAA. Further, the plaintiffs stressed that because the injunction was not mandatory, …

October 24, 2014 Contract / NCAA

What’s Next, Civil Litigation Against Sports Memorabilia Dealers for Improper Dealings with College-Athletes?

Your favorite college football team loses its star quarterback or running back due to a suspension for NCAA violations related to compensation received from a sports memorabilia dealer for autographing multiple items that the dealer sells. The college suffers damage in the form of potential lost ticket sales, merchandising, bowl revenue, and negative publicity. Does the university have any recourse against the dealer who stands outside the reach of NCAA oversight but who profits from the offending transactions?

NCAA Bylaw 12.5.2.1 prohibits student-athletes from accepting …

August 19, 2014 NCAA

O’Bannon Plaintiffs & NCAA Ask Judge to Set Timetable for Athlete Pay

On Thursday, August 14, the O’Bannon plaintiffs and the NCAA filed a joint submission to the United States District Court for the Northern District of California seeking clarification of Judge Claudia Wilken’s injunction on the NCAA’s ban of player compensation.

The two parties to the lawsuit have come to an agreement over when the injunction should take place. Judge Wilken’s original ruling left the results somewhat ambiguous, and the current joint submission was submitted to clarify. The parties’ submitted a proposed order designating the injunction …