Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Exit Fees Will Have Major Impact on Conference Re-Alignment
Author: Scarinci Hollenbeck, LLC
Date: February 21, 2014
Key Contacts
Back
Conference re-alignment has been plaguing college athletics for a couple years now, with many schools making the jump from one league to another. At one point, it even seemed like the storied Big-12 Conference was going to be disbanded – but that didn’t end up happening.
One of the most recent schools to move is Rutgers University, which made the jump from the American Athletic Conference – formerly the Big East – to the Big Ten. According to ESPN, the school and league recently agreed to an $11.5 million exit fee.
However, other schools have run into legal issues attempting to switch conferences. Both the league and school have to agree to an exit fee, which seems to be difficult between the Atlantic Coast Conference and University of Maryland. These two parties are currently involved in a legal battle over the exit fee, as the league wants $50 million from Maryland, but the school believes it should be much lower.
The decision on this exit-fee could have significant ramifications on future realignment. If it is ruled that Maryland does in fact have to pay the ACC $50 million, it could deter future schools from leaving the conference. However, on the other end of the spectrum, should the exit fee be significantly reduced, schools could bolt from the ACC to other conferences.
The AAC could have this same problem with the much lower exit fee agreed to by the league and Rutgers. With schools such as the University of Connecticut and University of Cincinnati both attempting to get in a different conference, the AAC may want to consider establishing a much higher exit fee.
It appears as though we are a long way before conference re-alignment is in the past, and it will be interesting to see if schools like UConn and Cincinnati are able to make a clean exit in the future.
- Industries: Entertainment & Media
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
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
Tariff Response Options for Small Businesses Facing Financial Distress
The Trump Administration’s new tariffs are having an oversized impact on small businesses, which already tend to operate on razor thin margins. Many businesses have been forced to raise prices, find new suppliers, lay off staff, and delay growth plans. For businesses facing even more dire financial circumstances, there are additional tariff response options, including […]
Author: Brian D. Spector
Common Causes of Partnership Disputes and How to Resolve Them
Business partnerships, much like marriages, function exceptionally well when partners are aligned but can become challenging when disagreements arise. Partnership disputes often stem from conflicts over business strategy, financial management, and unclear role definitions among partners. Understanding Business Partnership Conflicts Partnership conflicts place significant stress on businesses, making proactive measures essential. Partnerships should establish detailed […]
Author: Christopher D. Warren
Businesses Are Facing Financial Headwinds—A Practical Guide
*** The original article was featured on Bloomberg Tax, April 28, 2025 — As a tax attorney who spends much of my time helping people and companies who have large, unresolved issues with the IRS or one or more state tax departments, it often occurs to me that the best service that I can provide […]
Author: Scott H. Novak
President Trump's Termination of Member Gwynne Wilcox
On January 28, 2025, the Trump Administration terminated Gwynne Wilcox from her position as a Member of the National Labor Relations Board (NLRB or the Board). Gwynne Wilcox, a union side lawyer for Levy Ratner, was confirmed to the Board for an original term in 2021 and confirmed again for a successive five-year term expiring […]
Author: Matthew F. Mimnaugh
Breach of Contract Explained: Types and Consequences
Breach of contract disputes are the most common type of business litigation. Therefore, nearly all New York and New Jersey businesses will likely have to deal with a contract dispute at least once. Understanding when to file a breach of contract lawsuit and how long you have to sue for breach of contract is essential […]
Author: Brittany P. Tarabour
How to Dissolve a Corporation in New Jersey: A Step-by-Step Guide
Closing your business can be a difficult and challenging task. For corporations, the process includes formal approval of the dissolution, winding up operations, resolving tax liabilities, and filing all required paperwork. Whether you need to understand how to dissolve a corporation in New York or New Jersey, it’s imperative to take all of the proper […]
Author: Christopher D. Warren
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.