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.
Jul 24, 2014, 10:04 PM EDT
Eric McKnight’s waiver to play immediately was denied by the SEC.
Jul 24, 2014, 8:45 PM EDT
Groce is under .500 in Big Ten play in his two seasons at Illinois.
Jul 24, 2014, 8:34 PM EDT
Florida State will play five non-conference games against teams that reached the NCAA tournament last season.
Jul 24, 2014, 7:30 PM EDT
The four latest five-star recruits that Cal landed all showed off their Kentucky threads on instagram.
Jul 24, 2014, 6:45 PM EDT
Mostella has travelled a long road to get to Knoxville.
Jul 24, 2014, 5:30 PM EDT
Austin has found a landing place, but it’s still a long way from the Division I ranks.
Jul 24, 2014, 4:15 PM EDT
Three true road games and a visit from the reigning champs?
Jul 24, 2014, 2:49 PM EDT
Thon Maker is a top five recruit in 2016 and would be a top two or three recruit in 2015.
Jul 24, 2014, 1:53 PM EDT
Hoiberg had surgery to replace his pacemaker last week.
Jul 24, 2014, 12:21 PM EDT
The events will be played in November and December
Jul 24, 2014, 11:55 AM EDT
Mykhailiuk is playing in the B Division of the event.
Jul 24, 2014, 9:30 AM EDT
The final open period has begun, with Corey Sanders and Jalen Brunson among the standouts.
Jul 23, 2014, 9:59 PM EDT
Perry’s been at USC Upstate since 2009, and among the players he’s helped recruit was former great Torrey Craig.
Jul 23, 2014, 8:00 PM EDT
Brown averaged 5.5 points per game and made 13 starts in 35 appearances for the Ragin’ Cajuns.
Jul 23, 2014, 6:30 PM EDT
Lindsay played his freshman season at Kansas
Jul 23, 2014, 5:00 PM EDT
Beasley has been one of the nations top performers over the last three months
Jul 23, 2014, 3:52 PM EDT
Thomas is a bulldozer on the block.
Jul 23, 2014, 2:55 PM EDT
It’s the latest in a long line of bourbon bottles commemorating celebrities in the state.
Jul 23, 2014, 1:45 PM EDT
Rick vs. Richard could get awkward for the rest of the family
Jul 23, 2014, 12:57 PM EDT
Will this be enough for Charleston to finally get rid of their embattled head coach?
- Malik Beasley looking to capitalize on a big spring, summer 0
- Top 15 recruit Antonio Blakeney has made the ‘jump’ — literally — to elite status 2
- July Live Period Week Two Superlatives 0
- Seven Takeaways from the Under Armour Finals 0
- Iowa State’s Georges Niang carries extra motivation – and less weight – into 2014-15 0
- Emmanuel Mudiay to China makes him even more of a case-study 0
- Four-star Class of 2016 guard Bruce Brown gave up football to focus on basketball 0
- Chris Walker looks like he’s spent some time in the gym (PHOTO) (5)
- Mother of elite recruit Josh Jackson: ‘Josh hasn’t been recruited by anyone’ (4)
- NCAA gets rid of name-likeness release form for student-athletes (3)
- Isaiah Austin has a job with the NBA once he finishes degree at Baylor (2)
- Dayton unveils new logo, court and basketball uniforms (2)