May 31, 2014, 1:10 PM EDT
Video game manufacturer and NCAA licensing partner EA Sports has reached a $40 million settlement with college football and basketball players for improperly using the likenesses of athletes, according to a report from ESPN.com‘s Tom Farrey.
The settlement was reached with a federal court in Oakland, California on Friday night and it leaves the NCAA alone to defend itself in the upcoming antitrust trial spearheaded by former UCLA basketball star Ed O’Bannon.
The settlement could deliver up to $4,000 to as many as 100,000 current and former NCAA athletes who appeared in EA Sports college basketball and college football video games since 2003.
“I’m thrilled that for the first time in the history of college sports, athletes will get compensated for their performance,” said Steve Berman, co-lead counsel for the plaintiffs to Farrey. “It’s pretty groundbreaking.”
Berman represents former Nebraska and Arizona State quarterback Sam Keller and 77 percent of this latest proposed settlement would go to players represented by Berman. O’Bannon’s class of players would receive 12 percent of the settlement while former Rutgets football player Ryan Hart and former West Virginia football player Shawne Alston would receive the final 10 percent for their group of players.
O’Bannon, Keller, Hart, Alston and all other named plaintiffs will also receive payments between $2,500 and $15,000 for their time and efforts in representing the classes in the case.
The settlement still needs approval from U.S. District Court Judge Claudia Wilken, and if it is approved, the lawyers in the case will receive up to one-third of the settlement funds, or $13.2 million, plus a maximum of $2.5 million in legal fees.
If Wilken approves, former players in EA Sports video games since 2003 will be alerted to the availability of payments and will need to register to collect. Each player will use a formula based on how many years they appeared on rosters in EA Sports video games. Lawyers representing to plaintiffs estimate that there are approximately 140,000 to 200,000 annual roster appearances in all three classes.
Some current college athletes would also be due compensation under this proposed settlement and the legal outcome creates a new dilemma in the NCAA’s quest to keep athletes from profiting from the use of their images as athletes.
An agreement in principle happened last September through Electronic Arts and the Collegiate Licensing Corporation, but issues held up the proposed settlement. The NCAA objected to their co-defendants leaving and the lawyers representing the three different classes of players couldn’t agree on the financial aspect.
In September of 2013, EA Sports announced that it’s college football series would be placed on hiatus with no new game coming in 2014 while EA hasn’t made a college basketball video game since NCAA Basketball 2010.
This is a landmark settlement as college athletes look like they’ll finally claim some money for their NCAA likenesses appearing in video games and it sets up an interesting court battle between O’Bannon and the NCAA in the upcoming antitrust lawsuit that is scheduled to begin on June 9th.
Aug 3, 2015, 10:00 PM EDT
A cool documentary-style approach to the Under Armour Association in preparation for the Elite 24.
Aug 3, 2015, 8:30 PM EDT
Nebraska is hoping a four-game trip in Spain helps with their freshmen.
Aug 3, 2015, 7:00 PM EDT
Baylor is losing a reserve forward to transfer.
Aug 3, 2015, 4:50 PM EDT
Mamadi Diakite, a four-star forward, could decide between three schools soon, per a report.
Aug 3, 2015, 4:50 PM EDT
There are two glaring weaknesses to Kris Dunn’s game. Here’s how he’s gone about trying to fix them this summer.
Aug 3, 2015, 2:40 PM EDT
Tony Carr is a four-star point guard that picked Penn State over Maryland, SMU and Providence.
Aug 3, 2015, 12:29 PM EDT
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Aug 3, 2015, 12:05 PM EDT
Alkins might be the best player from New York City since Lance Stephenson.
Aug 3, 2015, 9:20 AM EDT
The schedule isn’t the best you’ll see this season, but it’s pretty solid nonetheless.
Aug 2, 2015, 9:45 PM EDT
St. John’s remains under consideration for the Brooklyn native.
Aug 2, 2015, 6:37 PM EDT
He’s the younger brother of five-star 2017 forward Michael Porter Jr., and Michael Sr. considered joining the Washington staff this spring.
Aug 2, 2015, 5:10 PM EDT
With Vince Hunter in the professional ranks and Matt Willms dealing with a foot issue, this is an important pickup for the Miners.
Aug 2, 2015, 4:00 PM EDT
Markelle Fultz will take two official visits once he leaves adidas Nations.
Aug 2, 2015, 2:45 PM EDT
Wenyen Gabriel’s tremendous summer only got better with this off-handed throw down on a defender.
Aug 2, 2015, 1:45 PM EDT
Xavier added another piece in the 2016 class with a guard commitment.
Aug 2, 2015, 12:33 PM EDT
N.C. State added a dynamic wing scorer late in their 2015 recruiting efforts on Sunday as reclassified 6-foot-7 wing Maverick Rowan committed to the Wolfpack. A three-level scorer, Rowan was previously committed to Pitt and later backed off of his pledge to the Panthers before deciding to move up a grade by taking two summer…
Aug 2, 2015, 11:45 AM EDT
Texas A&M finished off a tremendous 2015 recruiting class with one more combo guard.
Aug 2, 2015, 10:15 AM EDT
After a rough July that included suspensions and a recruit heading to prep school, Arkansas received some good news on the first day of August.
Aug 2, 2015, 9:00 AM EDT
Brandon Childress, son of Wake Forest great Randolph Childress, was the first commit in the class for the Demon Deacons.
Aug 1, 2015, 10:01 PM EDT
The lawsuit stemmed from the incident in the spring of 2014.
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