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
Understanding Portability for Estate and Gift Tax
Portability of estate and gift tax enables a surviving spouse to inherit any unused portion of their deceased spouse’s federal estate and gift tax exemption. So, if one spouse doesn’t utilize their full exemption, the surviving spouse can effectively double their exemption amount with regard to estate tax liability. For married couples, portability offers a […]
Author: Marc J. Comer
Pet Trusts in New Jersey and New York: A Practical Estate Planning Tool
For many of us, pets are more than companions—they are members of the family. Yet they are often overlooked or inadequately provided for when it comes to estate planning. A pet trust offers a legally enforceable way to ensure that your animal continues to receive proper care if you become incapacitated or pass away. As […]
Author: Marc J. Comer
How Can Trusts Be Used in Business Succession?
For many New Jersey business owners, a closely held company represents decades of work, financial investment, and personal sacrifice. Trusts in business succession planning are one of the most effective tools for protecting that value, allowing founders to control how and when the business passes to the next generation while reducing the risk of disputes, […]
Author: George McGowan
Read Before You Sign: IT Contract Pitfalls Every NJ Business Should Know
In today’s digital economy, New Jersey businesses of all sizes rely heavily on technology vendors, software providers, cloud platforms, and managed IT services. Whether your company is purchasing software, migrating data to the cloud, engaging a cybersecurity consultant, or entering into a long-term managed services agreement, a careful IT contract review can have significant operational, […]
Author: George McGowan
New York NDA Requirements for Businesses
Non-disclosure agreements (NDAs) remain a critical tool for protecting sensitive business information. However, New York NDA requirements have evolved, and businesses must ensure these agreements are carefully drafted to remain enforceable. In a competitive market like New York City, NDAs are commonly used to protect proprietary information, client relationships, and strategic plans. At the same […]
Author: Dan Brecher
New Jersey Will Contest Grounds Explained
How Courts Evaluate Testamentary Capacity and Undue Influence Will contests in New Jersey are difficult to win, given the strong presumption that a properly executed will reflects the testator’s intent. However, challenges based on lack of testamentary capacity and undue influence remain common, particularly where there are concerns about mental capacity or the involvement of […]
Author: Marc J. Comer
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.