Madden NFL 13 News Post

$27 Million Settlement Announced in EA Madden Price-Fixing Lawsuit

09:18 PM - July 20, 2012 by Steve_OS

A proposed settlement was filed this evening in the lawsuit filed by consumers against EA regarding its exclusive license agreements with the NFL, NCAA and AFL.

Owen Good, over at Kotaku has been following along and explains it very well, right here.

The full details on the proposed settlement below. You can also download a copy of the proposed settlement, right here.

$27 Million Settlement Announced in EA Madden Price-fixing Lawsuit

SAN FRANCISCO � Attorneys representing purchasers of Electronic Arts, Inc. (NASDAQ: ERTS) (�EA�) football video games have reached a proposed settlement over claims that the gaming giant violated antitrust and consumer protection laws and overcharged consumers for the games.

The case, originally filed June 5, 2008, in the United States District Court for the Northern District of California, alleges that EA violated antitrust and consumer protection laws by establishing exclusive license agreements with the National Football League (NFL), National Collegiate Athletic Association (NCAA), and the Arena Football League (AFL). The agreements gave EA the exclusive right to produce football video games with the teams, players and other assets of the NFL, AFL and NCAA, the lawsuit states.

The proposed settlement, filed with the court on July 19, 2012, would establish a $27 million fund for consumers who purchased Madden NFL, NCAA Football or AFL games published by EA. If the settlement is approved by the court, consumers who purchased a sixth generation title (GameCube, PlayStation 2, and Xbox) may receive up to $6.79 per game. Those who purchased a seventh generation title (Wii, Xbox 360 and PlayStation 3) may be entitled to as much as $1.95 per game under the terms of the proposed settlement.

It also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

�After more than four years of hard-fought litigation, we have reached a settlement that we strongly believe is fair to consumers,� said attorney Steve Berman, managing partner of Hagens Berman, the law firm representing consumers. �We look forward to moving this process forward and asking the court to approve this settlement, which we think is in the best interests of the class.�

On April 6, 2011, the court certified a class of consumers in the case, including all persons who purchased Madden NFL, NCAA Football or AFL games published by EA between January 1, 2005, and the present.

The proposed settlement must be approved by the court before it is final.

Consumers can learn more about this case by visiting www.hbsslaw.com/maddennfl. You can also contact Hagens Berman, lead-counsel in the action, by emailing [email protected].

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Member Comments

# 61 Bull_Dozer @ 07/21/12 08:58 AM

I hope this means no more exclusive rights for EA with the NFL.

*crosses fingers*

# 62 reddogmaddogbul @ 07/21/12 09:00 AM

This is very sad news guys ,we've lost this fight

.
Dont be suprised if you never see another company make
a NFL game in your life span.

# 63 Yeah...THAT Guy @ 07/21/12 09:27 AM

Wait, so how exactly will getting our money back? Sorry if this has already been posted.

I gotta find out how many of these games I bought for the original XBox/if I still have them laying around.

# 64 kjcheezhead @ 07/21/12 09:51 AM

Quote:

Originally Posted by RandyBass


	This is basically nothing. Doesn't change anything. $27 million may sound like a lot, but in the grand scheme of things EA's position is more or less unchanged. They still got their prized NFL license all to themselves, and will likely fight tooth and nail to keep it that way.

Yeah. When EA and the NFL renegotiated the license before the 2011 season the NFL cut them a $30 million break. So now they just lost that $30 million and a couple of licenses they were letting expire anyways.

# 65 reddogmaddogbul @ 07/21/12 10:06 AM

Quote:

Originally Posted by kjcheezhead


	Yeah. When EA and the NFL renegotiated the license before the 2011 season the NFL cut them a $30 million break. So now they just lost that $30 million and a couple of licenses they were letting expire anyways.

Took the words right out of my mouth.

# 66 MJHSpanda57 @ 07/21/12 10:11 AM

Quote:

Originally Posted by Illustrator76


	I love me some 2K Football, but my only issue with this is that 2K's College Football game sucked. Here's to hoping they could get it right this time around if 2K decides to go in that direction.

They should just let the guys that made 2k5 do the College series.

# 67 scoonie05 @ 07/21/12 10:12 AM

Quote:

Originally Posted by kjcheezhead


	Yeah. When EA and the NFL renegotiated the license before the 2011 season the NFL cut them a $30 million break. So now they just lost that $30 million and a couple of licenses they were letting expire anyways.

Yeah, I agree with this. Now that they wont have an exclusive NCAA license, I think they'll go all out to keep the NFL license since they wont have to pony up for the other licenses.

# 68 jWILL253 @ 07/21/12 10:37 AM

Quote:

Originally Posted by roadman


	When the plaintiffs first started this case in 08, they were going after the NFL exclusive license. They settled for much less than that. As the article says, after 2014, EA can sign a non-exclusive license with NCAA and call it a day. EA hasn't made a AFL game since 2007. Wow.

Yeah, looking back on it... I called it a win, but we (the gamers) got very little at the end of the day. To EA, the NCAA license is expendable, and I bet they were laughing their asses off at the AFL license being disputed.

Sure, they might hesitate to go after another exclusive license with the NFL, but they might not. Madden is a Top 10 seller every year in America, and they would've killed to see the license stand.

This should've went to trial, plain and simple...

# 69 DaReapa @ 07/21/12 10:38 AM

Quote:

Originally Posted by Steve_OS


	It also stipulates that EA will not sign an exclusive license arrangement with the AFL for five years and will not renew its current agreement with the NCAA, which expires in 2014, for at least five years.

Oddly enough, I thought the NCAA exclusivity was slated for just 6 years after the initial signing back in 2005.

Depending on the state of things over at 2K Sports, they may want to consider beginning development on a "prototype" football game � la All Pro Football or Backbreaker to get things kicked off for a possible re-entry back into college football gaming. In music terms, it would be akin to putting out a mixtape before the studio release.

# 70 Retropyro @ 07/21/12 10:40 AM

Quote:

Originally Posted by Aggies67


	I don't see how anyone could say that a 2k college football would be crap based on the fact that NCAA 2k3 was bad. That was 10 years ago.

Well considering how everyone constantly says how an new NFL 2K would be great because 2K5 was good, I'd say's it's fair to say 2k college football would be crap based on the fact that NCAA 2k3 being bad.

I seriously doubt 2K would even make a new football game. They have been hinting more and more about dropping out of sports completely.

The thing is, while people may cheer now they may find themselves with no NCAA football games in the near future.

Pretty sure the NFL license was not included because it was the NFL that wanted an exclusive license so they had more control over their image. It was an open bid between the company's making NFL titles and EA obviously won.

# 71 richiesbx137 @ 07/21/12 10:55 AM

I think it will open up competition similar to the NBA and people like 2K and Sony should step up and jump in. EA will still get Madden and NCAA, but it will be open competition. Also bring back College Hoops as well. That is my point taken. I will love to see NFL 2K go against Madden I remember it was $20 and a month early before Madden and it sold really well. I think it is better for competition than exclusive licenses kills the whole deal.

# 72 khaliib @ 07/21/12 12:13 PM

Forget the license, Backbreaker showed what gamers would/could do with a fully Customizable editor.

Gamers produced teams from the NFL, College, Arena, World League, Arena, CFL, Jr College, Highschool, Semi-Pro and on.

At this point, I would pre-pay a new developer now for a Non-Gimmicky Simulation Football to be sold after the 2014 License.

Just worry about making the game as true to life as possible and give full Customization ability and we will create whatever league we want.

I really believe the reason little progression has been done with the NCAA License/Football/Basketball is the cost of the License and are now just trying to minimize the cost as much as possible by spending as little as possible on the developement on their Remaining College Football Game.

Look at how they seperated the College from Madden and the ending product that was just sold after the 2012 issues that were there.
Communication has all but stopped with the Dev Team with another Sub-par game compared to the genre as a whole and have gone to quick, non-interaction Tweets.

Wait until end of August to try and meet some of the gamers complaints of the same yearly issues that '13 has
Not a Tuner attempt or nothing.

It's plain as day for anyone with some business savvy, to see that they are cutting ties with the College Series.

I wouldn't be surprise if they do with College Football the last year of the license in the same manner they did with Basketball.

Just drop it and don't produce instead of spending on developement.

I will pre-pay right now for another developer to start to build a football game to be sold.

It's now clear why we got, what we got on July 10th.

# 73 MFarrer74 @ 07/21/12 12:35 PM

Just out of curiosity...how exactly would one get the money they say they will give?

# 74 roadman @ 07/21/12 12:36 PM

Quote:

Originally Posted by MFarrer74


	Just out of curiosity...how exactly would one get the money they say they will give?

The law firm will contact you.

# 75 scoonie05 @ 07/21/12 12:52 PM

Quote:

Originally Posted by DaReapa


	Oddly enough, I thought the NCAA exclusivity was slated for just 6 years after the initial signing back in 2005. Depending on the state of things over at 2K Sports, they may want to consider beginning development on a "prototype" football game � la All Pro Football or Backbreaker to get things kicked off for a possible re-entry back into college football gaming. In music terms, it would be akin to putting out a mixtape before the studio release.

2k already tried this with all pro football. It sold terribly.....I'm pretty much sure that take two isn't in a financial position to take another HUGE loss that it took with all pro football.

# 76 mrmass413 @ 07/21/12 12:57 PM

I just want to see a better game than what we currantly have college and pros

# 77 mestevo @ 07/21/12 01:01 PM

Quote:

Originally Posted by Bull_Dozer


	I hope this means no more exclusive rights for EA with the NFL. crosses fingers

Quote:

Originally Posted by kjcheezhead


	Yeah. When EA and the NFL renegotiated the license before the 2011 season the NFL cut them a $30 million break. So now they just lost that $30 million and a couple of licenses they were letting expire anyways.

Quote:

Originally Posted by jWILL10


	Yeah, looking back on it... I called it a win, but we (the gamers) got very little at the end of the day. To EA, the NCAA license is expendable, and I bet they were laughing their asses off at the AFL license being disputed. Sure, they might hesitate to go after another exclusive license with the NFL, but they might not. Madden is a Top 10 seller every year in America, and they would've killed to see the license stand. This should've went to trial, plain and simple...

Quote:

Originally Posted by richiesbx137


	I think it will open up competition similar to the NBA and people like 2K and Sony should step up and jump in. EA will still get Madden and NCAA, but it will be open competition. Also bring back College Hoops as well. That is my point taken. I will love to see NFL 2K go against Madden I remember it was $20 and a month early before Madden and it sold really well. I think it is better for competition than exclusive licenses kills the whole deal.

Why do so many people think this has any impact at all (hesitation or otherwise) on the NFL license? This lawsuit isn't going to be rekindled in the event they renew exclusivity, this is over, and serves as no threat to the NFL license whatsoever now that it is settled. Also, where is this 'they lost $30m' stuff come from.

Many prematurely 'spiking the football' thinking this is something else, judging by some of the replies.

I expect you'll need to provide proof of purchase in the form of the slip cover from the game or something in order to get your refund. If you traded it in or no longer have it I probably wouldn't get my hopes up.

# 78 bwburke94 @ 07/21/12 01:06 PM

I'll get $22 from this. I am happy that I'm getting anything.

# 79 wat3 @ 07/21/12 01:39 PM

2K Producer- "Hey, can I get all Devs into the office for a 2K team meeting please?"

"Alright guys. The time has come. We're devolping a football game."

*Everyone stands up and cheers, jumps in joy, high fives all around.*

# 80 wat3 @ 07/21/12 01:42 PM

Quote:

Originally Posted by mestevo


	Why do so many people think this has any impact at all (hesitation or otherwise) on the NFL license? This lawsuit isn't going to be rekindled in the event they renew exclusivity, this is over, and serves as no threat to the NFL license whatsoever now that it is settled. Also, where is this 'they lost $30m' stuff come from. Many prematurely 'spiking the football' thinking this is something else, judging by some of the replies. I expect you'll need to provide proof of purchase in the form of the slip cover from the game or something in order to get your refund. If you traded it in or no longer have it I probably wouldn't get my hopes up.

Someone's a negative Nancy...

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