Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
EA Sports Enters Into Settlement Agreement With College Athletes
Author: Scarinci Hollenbeck, LLC
Date: October 2, 2013
Key Contacts
Back
Video game producer Electronic Arts Sports and Collegiate Licensing Company have agreed to pay out roughly $40 million to former players whose likenesses were used without authorization and compensation.
The settlement agreement will settle disputes against EA Sports and CLC, leaving the National Collegiate Athletic Association as the lone defendant in the controversial sports law dispute. The outcome of the case, filed by the former UCLA basketball player Ed O’Bannon, may carry significant implications for the future of college athletics and make it possible for players to lobby for a share of the multi billion-dollar profits generated by the sports industry.
As the NCAA has said it plans to fight the lawsuit vigorously and is confident in its position, the settlement between EA Sports and former players may have a broad impact on the association. Although EA Sports will not officially admit to any wrongdoing as part of the agreement, settlements typically denote some measure of acknowledgement or support for plaintiffs’ claims. If the NCAA loses its case or agrees to settle, the central question of whether college sports fall into the amateurism category may be challenged.
Legal analysts for the NCAA have long argued that because college sports fall into the amateur, rather than professional, realm, players are not entitled to compensation. Should the courts rule that players whose likenesses are used must be compensated, athletes may begin demanding payment any time their names or identifying characteristics appear on sports merchandise, games, music, movies, and other items.
Following the settlement – which has not yet detailed how the $40 million will be distributed among former players – the NCAA told USA Today that it is “not prepared to compromise on this case.” The association reaffirmed its position, and said that it its prepared to take the case to the U.S. Supreme Court if necessary.
- Industries: Entertainment & Media
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
What Business Owners Get Wrong Before Meeting a Litigation Attorney
What should you expect when meeting a litigation attorney about a business dispute? You should expect to describe the dispute in your own words, hand over the most important documents, flag any deadlines or immediate threats, and leave with a clearer picture of the problem, what information is still needed, and the likely next steps. […]
Author: Michael Mietlicki
Arbitration vs. Litigation vs. Mediation: What New Jersey Businesses Should Know Before Signing a Contract
Arbitration resolves disputes privately before an arbitrator whose decision is usually final, while litigation resolves them in court with full rights of appeal. Whether a business ends up in arbitration or litigation is often decided when it signs the contract, long before any dispute arises. Key Takeaways When facing a contract dispute, carefully consider your […]
Author: Graham Staton
Can You Own Part of a New Jersey Business Without a Written Agreement?
Can you own part of a business in New Jersey without a written agreement? Yes, it is possible. Under New Jersey’s Uniform Partnership Act, a partnership can arise when two or more people carry on a business as co-owners for profit, whether or not they ever intended to form one. Ownership doesn’t necessarily depend on […]
Author: Michael Mietlicki
Crisis-Proofing Your New Jersey Business: Building a Crisis Response Plan Before You Need One
For New Jersey businesses, crisis preparedness should be viewed as a legal and operational function, not simply an emergency-management exercise. A well-designed crisis response plan can help preserve evidence, protect confidential communications, meet reporting obligations, limit unnecessary exposure, and prevent an already difficult situation from becoming a larger legal problem. Key Takeaways A serious crisis […]
Author: Sean M. Pena
Monmouth County's Next Development Wave: What Developers and Investors Need to Know
Monmouth County is entering a significant new phase of development. For those looking to acquire property or undertake a new project, understanding the market opportunity is only the beginning. The more important question is whether a particular property can actually be developed as contemplated and what approvals, agreements, and other conditions will be required to […]
Author: Donald M. Pepe
Are Your Conversations with AI Shielded from Discovery? Courts Are Split
Whether a client’s prompts to a generative AI tool and the documents it produces are protected from disclosure depends on the case type, who claims protection, and whether counsel was involved. In United States v. Heppner, a New York federal judge ruled that a criminal defendant’s communications with an AI platform were protected by neither […]
Author: Chris Seelinger
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.