NCAA Football 14 News Post

Judge Rules In Favor of O'Bannon, NCAA Violates Anti-Trust Law

07:31 PM - August 8, 2014 by RaychelSnr

Judge Claudia Wilkin ruled today that the NCAA is in violation of anti-trust law and must allow players to receive compensation for their names, image, and likenesses being used in various forms of media. This ruling comes a day after the NCAA voted to give the NCAA's five power conferences autonomy to create their own rules, which could lead to player compensation in various forms anyways.

Quote:


	"In a 99-page opinion, U.S. District Judge Claudia Wilken issued an injunction �that will enjoin the NCAA from enforcing any rules or bylaws that would prohibit its member schools and conferences from offering their FBS football or Division I basketball recruits a limited share of the revenues generated from the use of their names, images, and likenesses in addition to a full grant-in-aid.� Wilken said the injunction will not prevent the NCAA from implementing rules capping the amount of money that may be paid to college athletes while they are enrolled in school, but the NCAA will not be allowed to set the cap below the cost of attendance. The injunction will also prohibit the NCAA from �enforcing any rules to prevent its member schools and conferences from offering to deposit a limited share of licensing revenue in trust for their FBS football and Division I basketball recruits, payable when they leave school or their eligibility expires,� Wilken wrote. Her injunction will allow the NCAA to set a cap on the money held in that trust, but prohibits the NCAA's cap to be less than $5,000 for every year an athlete remains academically eligible to compete."

This case is far from over however, as many expect it to go all the way to the Supreme Court. For now, the wheels are definitely turning in a direction that could allow college video games to come back into play in a fully licensed and legal basis if everyone so desired -- but it may be a year or two minimum before the legal structures to allow such a return are in place.

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Member Comments

# 41 Sheba2011 @ 08/09/14 04:16 AM

This thing is far from over as this will go all the way to the Supreme Court. It might be 2-3 years before there is any final resolution on this. But the end result could be very important for the future of college football video games. We could be one step closer to an NCAA players association which could then license out the player likeness. It is going to be interesting to watch but it's going to take some time.

# 42 Cryolemon @ 08/09/14 10:15 AM

Quote:

Originally Posted by dovuto86


	yeah but not all 300 teams will be featured. I had college hoops 2k8 and there were only 144 teams in that game

It's probably possible to include all 300 teams nowdays, and my guess is that the fans would demand it.

As for 2k sports making a college football game, I'd put money on it not happening. As has been said, without an NFL license as well a college game is worthless and EA will never give up the exclusive license. Unless and until EA goes out of business, Madden will be the only NFL console game.

# 43 Junior Moe @ 08/09/14 12:02 PM

I would think that the schools/conferences would be salivating at the prospect of pimping the players out now. They no longer have to put up that whole "amateurism" charade. So now (if this holds...) they can pimp these players out like the NFL does. Sure, the players will (deservedly, IMO) receive some compensation in some form, but so will the NCAA/schools/conferences. They still hold have the leverage because they offer the platform. I could see NCAA Football sitting in the gift shops at the respective schools depicting their star player on the cover.

# 44 Perfect Zero @ 08/09/14 01:23 PM

I'm going to have to read over the whole decision. If there's one thing about Operation Sports posters, it's that they are greatly optimistic about any news. What does the $5,000 pertain to? Is that overall money for when the players were in college or is that per licensing agreement? We also have to see if EA really wants to make the game again since they were burned in the last round of judiciary backstabbing. Are all the universities going to partake in licensing? Will players that do not give consent be editable and if so how much editing can the user do?

If EA is willing to put another game out and if they can get a large number of universities to give their rights to be in the game, then I don't see why we couldn't have another game in 2017 at the earliest. If there is more fighting to be had (which could even land this case before the Supreme Court), then we might be out of luck in this generation.

# 45 MichaelAngeloTMNT @ 08/09/14 01:25 PM

Good news. It will be nice to have names and likenesses in the game on release day now. Hopefully, they can scan the players in like Madden too. O'Bannon Football '15.

I'm sure EA is working on a NCAA Football game as we speak. Once, this gets straightened out, they can add in the players and get it out ASAP.

# 46 loccdogg26 @ 08/09/14 01:31 PM

Quote:

Originally Posted by MichaelAngeloTMNT


	Good news. It will be nice to have names and likenesses in the game on release day now. Hopefully, they can scan the players in like Madden too. O'Bannon Football '15. I'm sure EA is working on a NCAA Football game as we speak. Once, this gets straightened out, they can add in the players and get it out ASAP.

Doubt it. EA fired most of the people who worked on the game. They only kept a few.

# 47 soonerfan1969 @ 08/09/14 01:33 PM

i wonder how many non revenue producing sports will be eliminated because of this ruling. don't forget about "title 9" either, ladies gonna get paid also. could very easily come down to "if you spend 50 million on the men's sports, you got to spend 50 million on women's sports.

worst case scenario is the cost to attend college goes up for regular students, who then riot and burn down the colleges and your having heart surgery perfomed by a doctor with a tijuana doctors degree.

# 48 JustAnotherGamer @ 08/09/14 01:34 PM

Are there any real lawyers out there?

The question I have is why is it $5000. There doesn't seem to be any logic to that. What is to stop another lawsuit trying to get rid of the $5K cap?

# 49 ODogg @ 08/09/14 01:39 PM

Quote:

Originally Posted by barsoffury


	This is a big ruling and really a fair and positive one in my opinion but with appeals coming we are still a very long way away from NCAA video games coming back... The biggest thing is that we need the schools/conferences to jump back on board with EA or whoever before games are made again.

Everyone's assuming a lengthy appeals process...I think there's a high chance of a settlement versus a long appeals process...too much money being left on the table by dragging this out for both sides..

# 50 JustAnotherGamer @ 08/09/14 01:41 PM

Quote:

Originally Posted by soonerfan1969


	i wonder how many non revenue producing sports will be eliminated because of this ruling. don't forget about "title 9" either, ladies gonna get paid also. could very easily come down to "if you spend 50 million on the men's sports, you got to spend 50 million on women's sports. worst case scenario is the cost to attend college goes up for regular students, who then riot and burn down the colleges and your having heart surgery perfomed by a doctor with a tijuana doctors degree.

i also wonder about the 90-100 teams that lose money playing football. competitively they can't NOT pay the players which means the cost will be passed on to students/tax payers.

How many non-revenue sports will be cut so that FB and BB can take up even more room?

# 51 ODogg @ 08/09/14 01:44 PM

Quote:

Originally Posted by aholbert32


	Exactly. You know how many Winston jerseys FSU will sell now that they can put his name on it. Its a new stream of revenue and they can also increase the price of those jerseys. I wouldnt expect a game in 15 but I think 16 is a good shot. Gives the conferences time to get these likeness deals in place.

I agree, I think 2016 is when we have our game back...

# 52 fballturkey @ 08/09/14 01:46 PM

Quote:

Originally Posted by ODogg


	Everyone's assuming a lengthy appeals process...I think there's a high chance of a settlement versus a long appeals process...too much money being left on the table by dragging this out for both sides..

I've read some speculation that because the ruling is pretty generous to the NCAA (allowing them to set limits at all, making them relatively low, and letting the money be placed in a trust) they may cut their losses and not risk a judge down the line deciding that they have no right to set any limits.

# 53 ODogg @ 08/09/14 01:50 PM

Quote:

Originally Posted by fballturkey


	I've read some speculation that because the ruling is pretty generous to the NCAA (allowing them to set limits at all, making them relatively low, and letting the money be placed in a trust) they may cut their losses and not risk a judge down the line deciding that they have no right to set any limits.

Exactly right, I think 5k is a number that the schools can get behind...if they appeal it could get a worse number, or like you said, unlimited...

# 54 JustAnotherGamer @ 08/09/14 02:01 PM

Quote:

Originally Posted by ODogg


	Exactly right, I think 5k is a number that the schools can get behind...if they appeal it could get a worse number, or like you said, unlimited...

If it such a good deal, why won't the players appeal? I can't see any logic behind the $5K cap�

# 55 ODogg @ 08/09/14 02:39 PM

Quote:

Originally Posted by JustAnotherGamer


	If it such a good deal, why won't the players appeal? I can't see any logic behind the $5K cap�

I would think if anyone would appeal it'd be the players but they may not because $5,000 is a lot better than zero which is what they could get if they appeal and lose.

# 56 Cam Fan @ 08/09/14 03:01 PM

Here's a breakdown:

If a school wants to offer its recruits $5,000 per year out of a trust fund, the NCAA can't stop them from doing that. However, the NCAA can require that the school has to pay all of its recruits the same amount, which is a big blow to middle-of-the-road schools, who could have potentially placed more value on players than the top schools, and thus saved up to offer those players more money.
Schools don't have to offer any money, as long as they at least offer scholarships at the cost of attendance.
Athletes still can't market themselves. Wilken wrote that those rules are pro-competitive.

# 57 ODogg @ 08/09/14 03:05 PM

Quote:

Originally Posted by Cam Fan


	Here's a breakdown: If a school wants to offer its recruits $5,000 per year out of a trust fund, the NCAA can't stop them from doing that. However, the NCAA can require that the school has to pay all of its recruits the same amount, which is a big blow to middle-of-the-road schools, who could have potentially placed more value on players than the top schools, and thus saved up to offer those players more money. Schools don't have to offer any money, as long as they at least offer scholarships at the cost of attendance. Athletes still can't market themselves. Wilken wrote that those rules are pro-competitive.

Number two doesn't mean anything though as schools that would choose not to wouldn't be able to market players or football showing players and that'd never happen. They would make more money from marketing, even the smaller schools, than just $5,000 considering the money is pooled and not just ind. markets.

# 58 coogrfan @ 08/09/14 03:36 PM

Quote:

Originally Posted by aholbert32


	Exactly. You know how many Winston jerseys FSU will sell now that they can put his name on it. Its a new stream of revenue and they can also increase the price of those jerseys. I wouldnt expect a game in 15 but I think 16 is a good shot. Gives the conferences time to get these likeness deals in place.

That seems a bit soon. Am I not right in thinking yesterday's ruling is only the opening salvo in what is likely to be a protracted series of appeals?

# 59 ODogg @ 08/09/14 03:37 PM

Quote:

Originally Posted by coogrfan


	That seems a bit soon. Am I not right in thinking yesterday's ruling is only the opening salvo in what is likely to be a protracted series of appeals?

I stated reasons above why that is unlikely. Unless you just want to think the worst and hope for the best of course which is always smart to do..

# 60 aholbert32 @ 08/09/14 04:46 PM

Quote:

Originally Posted by coogrfan


	That seems a bit soon. Am I not right in thinking yesterday's ruling is only the opening salvo in what is likely to be a protracted series of appeals?

The appeals wont be that protracted and probably only one more round unless Obannon is really upset about the fact college players cant get outside endorsements. I seriously doubt the Supreme Court is going to be willing to hear this case especially if Obannon wins both rounds.

The ruling doesnt stop the NCAA or the power 5 conferences from creating their own compensation rules related to likeness rights right now. The key here is that the her ruling remains in place and isnt stayed while under appeals. So that means if the appeal process runs past 2015, the NCAA will be forced to institute rules regarding likeness rights compensation anyway.

Also you have to remember that the power 5 conferences want to pay players. They were on the path of breaking off from the NCAA if they werent given some autonomy. So this decision is kind of a win for them. They want the new streams of revenue that this decision will open up and now they dont have to worry about an Obannon like lawsuit that names the conferences as defendants.

I could see EA going down the path they were planning to do this year by going around the NCAA and doing deals with individual schools who pay their players or agreeing to foot some of the costs for some of the mid-level schools. I dont see EA walking away from 80 plus million in revenue while they wait for the appeal process to work its way through.

The last thing I'll say is that this isnt even the big case. We focused on Obannon because its a video game case and this is a video game site but the real case is Kessler. That case could blow up whats left of the NCAA.

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