Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
NCAA Facing Lawsuit Over the Value of Scholarships
Author: Scarinci Hollenbeck, LLC
Date: April 28, 2014
Key Contacts
Back
The NCAA has been under fire recently
The organization is facing multiple lawsuits over its definition of amateurism and whether or not collegiate athletes are fairly treated.
Former University of Minnesota football player Kendall Gregory-McGhee recently added to the NCAA’s legal issues by filing a lawsuit claiming the value of scholarships is below the actual cost of living at universities, according to AL.com.
The main reason why this is such a hot topic is the fact that major collegiate athletic programs are bringing in tens to hundreds of millions of dollars each year from ticket and merchandise sales, among other things.
The Suit
If successful, Gregory-McGhee’s lawsuit – as well as the one filed by former West Virginia running back Shawne Alston – could change the NCAA as we know it. The days of amateurism could cease to exist and collegiate athletics could become a minor league of sorts for professional teams with compensated players.
Last week, the NCAA took a step to further “compensate” athletes by making unlimited food available. Previously, student athletes were only able to receive a “snack” in between meals, which once led to a violation because a player put cream cheese on his bagel – considered a meal under past NCAA rules.
Simple rule changes such as the food example are simple, as even NCAA President Mark Emmert agreed the fact that athletes couldn’t get a meal whenever they wanted was ridiculous. However, more significant changes could have much greater hurdles.
For example, Title IX would likely require female athletes be compensated the same as male athletes. But, how do you come up with a fair system while Division 1 football brings in millions while female track and field probably costs a university money?
It will be interesting to see if these lawsuits force the NCAA to change any additional rules, but you probably shouldn’t expect to see the downfall of amateurism any time soon.
- 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
Can You Change an Irrevocable Trust in New Jersey?
In New Jersey, an irrevocable trust can sometimes be modified even though its name suggests otherwise, and one of the primary tools for doing so is a process called decanting. Whether decanting is available depends on the specific terms of the trust and the discretion given to the trustee. Key takeaways: New Jersey has no […]
Author: Marc J. Comer
How Intellectual Property Valuation Will Impact Business Transactions
Intellectual property valuation determines the monetary value of a business’s IP assets, and it drives outcomes in licensing deals, joint ventures, mergers and acquisitions, financing, and ownership disputes. The most valuable assets of a business are often the things that cannot be seen or touched: a proprietary process, a copyrighted work, brand recognition, or the […]
Author: Jay McDaniel
Data Center, Dark Fiber, and Lit Services Agreements in New Jersey: Key Terms and Legal Pitfalls
For New Jersey data center owners and operators, a service agreement may look routine when it is signed. The network is functioning, the vendor is meeting its installation schedule, and the parties have agreed on pricing and performance specifications. The provisions that seem most important at that stage are often the technical ones. That changes […]
Author: George McGowan
Fort Monmouth Redevelopment and the Transformation of Monmouth County Real Estate
The Fort Monmouth redevelopment has entered its execution phase, and it is repositioning the broader Monmouth County real estate market. When Netflix and the Fort Monmouth Economic Revitalization Authority closed on the 292-acre Mega Parcel in December 2025, the transaction did more than hand over a deed. It marked the moment Fort Monmouth stopped being […]
Author: Donald M. Pepe
Local Zoning and Land Use Rules Every New Jersey Rental Property Owner Should Understand
Owning a residential rental property in New Jersey involves more than finding tenants and collecting rent. Property owners must comply with a combination of state laws, municipal ordinances, building and housing codes, and zoning and land use regulations. These requirements can affect everything from the number of dwelling units permitted at a property to whether […]
Author: Donald M. Pepe
Real Estate Litigation Explained: Top 5 Disputes and How to Avoid Them
The five most common real estate disputes are breach of contract claims, landlord-tenant conflicts, zoning and land use disagreements, construction claims, and boundary disputes. Understanding why each arises, and taking preventive steps early, can help property owners, tenants, developers, and investors avoid costly litigation. Key Takeaways: Real estate transactions are complex endeavors involving numerous parties […]
Author: Paul Grossman
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.