Madden NFL 13 News Post

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

10:18 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

# 121 reddogmaddogbul @ 07/22/12 07:13 PM

Quote:

Originally Posted by Steve_OS


	$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.

Dose this mean Ea has to lower there prices on madden and ncaa going foward?The reason I say this is because if EA violatedantitrust and consumer protection laws and overcharged consumers for the games "correct me if Im wrong"ea will not want to renew the exclusive licence because the nfl gets a share/percent on each game ea sells. Now if this is not the case whats the whole purpose of this lawsuit anyway if ea didn't break any "antitrust and consumer protection laws" in the first place????Not really sure of the intricacies of the case but from the outside looking in, this sure does look like ea did something alot more sinister than relase broken games.This may spell GOOD NEWS here for us fellow football fans.Again correct me if Im wrong ,but common sense is telling me ea will not want to renew the exclusive licence because the nfl gets a share/percent on each game ea sells.

# 122 mestevo @ 07/22/12 07:54 PM

Quote:

Originally Posted by reddogmaddogbul


	Dose this mean Ea has to lower there prices on madden and ncaa going foward?The reason I say this is because if EA violatedantitrust and consumer protection laws and overcharged consumers for the games "correct me if Im wrong"ea will not want to renew the exclusive licence because the nfl gets a share/percent on each game ea sells. Now if this is not the case whats the whole purpose of this lawsuit anyway if ea didn't break any "antitrust and consumer protection laws" in the first place????Not really sure of the intricacies of the case but from the outside looking in, this sure does look like ea did something alot more sinister than relase broken games.This may spell GOOD NEWS here for us fellow football fans.Again correct me if Im wrong ,but common sense is telling me ea will not want to renew the exclusive licence because the nfl gets a share/percent on each game ea sells.

This has no consequences on the price of the games nor the NFL exclusive contract. EA's acquisition of the NCAA and AFL licenses was seen as contributing to the anti-competitive behavior.

# 123 Forestman @ 07/22/12 08:03 PM

It would be nice to see some competition as that makes many products better. However I'm not sure what company would be willing to take the risk financially.

# 124 Wreckincrew @ 07/22/12 10:41 PM

IIRC wasn't the last 2K game sold for $19.99 right from release? I think I bought it because was a different football option that only costs 20 bucks. My 8 year old (at the time) actually preferred it to Madden.

Farther down in the settlement proposal it says that final claim forms will be due on March 5th, 2013 so I wouldn't be looking for EA money before about this time next year.

It also says any unclaimed money will be donated to a 501 C 3 non-profit called "Childs Play".

# 125 RandyBass @ 07/23/12 12:13 AM

I love how some people in this thread are hoping for NCAA 15 The Show, or NFL The Show, made by Sony; to, you know, expand on "The Show" brand name.

Too funny.

# 126 bkrich83 @ 07/23/12 02:07 AM

Quote:

Originally Posted by wheelman990


	I bet 2k isn't as far behind at being able to release a new NFL game then some think.

Not correct from what I understand.

# 127 Super Glock @ 07/23/12 02:53 AM

Quote:

Originally Posted by JerzeyReign


	I think you're looking at this all wrong bruh. They will still be able (and probably will) to make video games -- what most of us are hoping for in this case is that someone else jumps in to make a game.

I don't think he is, it looks like the NFL will only sign one exclusive deal with a company to make an NFL game whether that be EA or 2K. I just read this on MMChriss blog "NFL has shown no interest of divvying out game development rights to more than one company."

# 128 Culture Rot @ 07/23/12 04:25 AM

Well it is some level of justice. We all deserve our money back for the last 5 years of EA Sports football.

# 129 mestevo @ 07/23/12 05:13 AM

Quote:

Originally Posted by tazdevil20


	I'm not 100% sure that EA wanted another "Exclusive" deal. The one year extension was clearly what the owners wanted. If you read into what Wayne Weaver (The Jags owner) said. . Basically, the owners said we will give you a break but only if we get an extension for another year at full price. EA probably doesn't have to pay a premium anymore to be exclusive. No one else has the startup cost to bring a new game into the mix. It's different with things like apparel and the Sunday ticket. There isn't much infrastructure that needs to be built to provide those for a "new" company. Making games is different because there is a substantial development cost to actually BUILD the product. I firmly believe nfl football gaming is dead due to this exclusive stuff, but it will be interesting to see how it plays out financially since there really isn't a reason for EA to pay a high premium anymore.

People read way too much into that jaguars quote. It was spoken before the lockout was resolved. In a worst case scenario the NFL would be negotiating a new deal after the cancellation of a season so it makes a lot of sense to extend it a year with the expectation that labor unrest would have concluded.

Sent from my iPad using Tapatalk HD

# 130 BezO @ 07/23/12 10:37 AM

Late to the party, but...

Quote:

Originally Posted by Big FN Deal


	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. I almost crap my pants in anticipation that the "NFL" would have been included in that sentence. lol

...yeah, I thought I might see another NFL game on the market in the near future. Eh well.

# 131 KingV2k3 @ 07/23/12 12:47 PM

Quote:

Originally Posted by roadman


	How will proof of purchases work?

I'm also late to the party...

How do we go about getting whatever $$$ is due / available?

Thanks!!!

# 132 roadman @ 07/23/12 12:57 PM

Quote:

Originally Posted by KingV2k3


	I'm also late to the party... How do we go about getting whatever $$$ is due / available? Thanks!!!

From what I heard, the law firm will be contacting people.

# 133 roadman @ 07/23/12 01:15 PM

Quote:

Originally Posted by goravens2052


	So how is that going to work for people who don't answer the phone when they don't know the number? I mean people get a lot spam calls and we won't know if it's a spam caller trying to say they are a Canadian Pharmacy or the law firm. Does anyone know the number we are supposed to look out for?

Well, in my experience, they will email you.

A law firm contacted us via email being an Apple user. We had the right for a refund for 99 cents.

I didn't even bother.

# 134 RGiles36 @ 07/23/12 01:41 PM

Quote:

Originally Posted by kjcheezhead


	College games just dont do well. Without big brother Madden sharing the development costs *there probably wouldn't be an NCAA game at all. Without an NFL license, there won't be a new 2k college game.*

Quote:

Originally Posted by Big FN Deal


	Alas, you are probably right* and I was just throwing it out there.*

Man, I made this point 7 months ago in Big's 'Beware the Ides' thread and he argued me up & down LOL!

# 135 RGiles36 @ 07/23/12 04:22 PM

Quote:

Originally Posted by Big FN Deal


	Seriously though, I think you may be recalling that "discussion" differently than how it actually went. If I remember correctly, I was disagreeing with the premise that just because NCAA is a secondary or spin off product to a company already making a NFL game, that somehow made events surrounding the NCAA exclusive license, like it being allowed to expire, irrelevant to what could happen with the NFL exclusive license.

Yep, you recall correctly. I thought you were finally coming around on that line of thinking considering you co-signed KJ.

# 136 RGiles36 @ 07/23/12 04:59 PM

Quote:

Originally Posted by Big FN Deal


	IMO, it's all moot anyway because I think the NFL exclusive will end by March of 2014 too, so that would leave companies free to buy the open rights to produce both a NCAA and NFL game.

.........

Ha!

# 137 scoonie05 @ 07/23/12 09:06 PM

Lol, if EA doesnt have to pay for an ncaa license, wouldn't they have more money to spend on KEEPING the NFL license?? Lol

# 138 mestevo @ 07/23/12 09:36 PM

Quote:

Originally Posted by scoonie05


	Lol, if EA doesnt have to pay for an ncaa license, wouldn't they have more money to spend on KEEPING the NFL license?? Lol

Still have to pay for a license if they want to continue making the game, just can't buy exclusivity. That's likely to happen unless other lawsuit(s) don't go their way.

# 139 TreFacTor @ 07/23/12 09:47 PM

Quote:

Originally Posted by StrawHat Patriot


	Can all of us here just create a petition to ask the NFL to stop having the exclusive license. Like some people create sites, advertise it. Like, anyone with access to EA/NFL should ask this. Like stuff like that.

It's been done a few times, and has had no result.

# 140 roadman @ 07/23/12 10:06 PM

Quote:

Originally Posted by StrawHat Patriot


	Can all of us here just create a petition to ask the NFL to stop having the exclusive license. Like some people create sites, advertise it. Like, anyone with access to EA/NFL should ask this. Like stuff like that.

The NFL is not going to interrupt the way they perform standard operating procedures. The only way they do business is with exclusives.

As Tre said, it's been done before and I've even heard some people call the NFL weekly.

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