Judge Rejects Key Part of N.C.A.A. Antitrust Settlement With Athletes
In a ruling that could have major implications for college sports, a federal judge has rejected a key part of the National Collegiate Athletic Association’s (NCAA) antitrust settlement with athletes. The settlement, which was reached in a class-action lawsuit brought by former college athletes, sought to change the rules governing compensation for student-athletes.
The lawsuit, led by former UCLA basketball player Ed O’Bannon, challenged the NCAA’s rules prohibiting athletes from being paid for the use of their names, images, and likenesses. The settlement reached in 2014 allowed for limited compensation for athletes, but the judge’s recent ruling strikes down a provision that would have allowed schools to offer athletes up to $5,000 a year in deferred compensation.
In his ruling, U.S. District Judge Claudia Wilken found that the provision could violate antitrust laws by restricting competition among schools for top athletic talent. The NCAA argued that the rule was necessary to maintain a level playing field among schools, but Judge Wilken disagreed, stating that it was not clear how the rule would actually promote competition.
The ruling is a blow to the NCAA, which has long argued that amateurism is a fundamental principle of college sports. The organization has faced increasing pressure in recent years to compensate athletes more fairly, particularly as revenues from college sports have skyrocketed. Critics of the NCAA’s current rules argue that they exploit athletes by preventing them from profiting off their own talents.
The ruling could have far-reaching consequences for college sports, as it could open the door for athletes to receive more substantial compensation for their efforts. It remains to be seen how the NCAA will respond to the ruling, but it is likely that the organization will continue to fight against any changes that would allow athletes to receive more compensation.
Overall, the judge’s rejection of a key part of the NCAA’s antitrust settlement with athletes is a significant development in the ongoing debate over compensation for college athletes. It remains to be seen what the future holds for college sports, but it is clear that change is on the horizon.