A federal judge finds the NCAA’s limits on athlete pay restrain trade, and the NCAA says it will appeal
On August 8, 2014, Judge Wilken ruled that the NCAA’s rules unreasonably restrain trade. The NCAA said in the days after that it would appeal.
Mark Emmert, NCAA president
No one on our legal team or the college conferences’ legal teams think this is a violation of antitrust laws and we need to get that settled in the courts.
Associated Press, via FOX Sports; Emmert spoke on ABC’s This Week
The ruling
That the NCAA will be allowed to cap the amount of compensation an athlete can be awarded, as long as the cap is set at or above the cost of attendance.
Wire, via UPI; credited on the page to SportsNetwork.com
What the court and each side said
Through Aug 10, 2014
The athletes’ (plaintiffs’) side
Ed O’Bannon, Lead plaintiff
This is a game-changer for college athletes, both current and former.
The NCAA’s side
Donald Remy, NCAA chief legal officer
We disagree with the Court’s decision that NCAA rules violate antitrust laws ... We note that the Court’s decision sets limits on compensation, but are reviewing the full decision and will provide further comment later.
Statement published by the NCAA; on its own site, where the article notes it includes information from The Associated Press
We remain confident that the NCAA has not violated the antitrust laws and intend to appeal …
Statement published by the NCAA; on its own site, where the article notes it includes information from The Associated Press
The court (order or injunction)
Judge Claudia Wilken, U.S. District Judge, Northern District of California
… the Court finds that the challenged NCAA rules unreasonably restrain trade in the market for certain educational and athletic opportunities offered by NCAA Division I schools. The procompetitive justifications that the NCAA offers do not justify this restraint and could be achieved through less restrictive means.
U.S. District Court, N.D. Cal., Aug 8, 2014
Order, via govinfo.gov (U.S. Government Publishing Office)
Prohibit deferred compensation in an amount of $5,000 per year or less (in 2014 dollars) for the licensing or use of prospective, current, or former Division I men’s basketball and Football Bowl Subdivision football players’ names, images, and likenesses through a trust fund payable upon expiration of athletic eligibility or graduation, whichever comes first …
U.S. District Court, N.D. Cal., Aug 8, 2014
Order, via govinfo.gov (U.S. Government Publishing Office)
Related
Court rulings on college athletics
- O’Bannon v. NCAA rulingThis page
- Jun 21, 2021NCAA v. Alston: the Supreme Court and limits on athlete benefits
- Nov 14, 2023Oregon State and Washington State win control of the Pac-12 board
- Feb 23, 2024Tennessee and Virginia v. NCAA: the preliminary injunction
- May 23, 2024House v. NCAA settlement
- Dec 18, 2024Pavia v. NCAA: the preliminary injunction
Sources
News and releases
FOX Sports, Aug 10, 2014·Archived copy“Emmert says NCAA will appeal O’Bannon ruling”
- UPI, Aug 8, 2014
“Judge in O’Bannon case rules against NCAA”
- U.S. District Court, N.D. Cal., Aug 8, 2014·Archived copy
“O’Bannon v. NCAA, No. C 09-3329 CW, Findings of Fact and Conclusions of Law (Doc. 291)”
- U.S. District Court, N.D. Cal., Aug 8, 2014
“O’Bannon v. NCAA, No. C 09-3329 CW, Permanent Injunction (Doc. 292)”
NCAA.com, Aug 8, 2014·Archived copy“NCAA responds to O’Bannon suit ruling”
Las Vegas Sun, Aug 8, 2014·Archived copy“Statement from Ed O’Bannon, lead plaintiff in lawsuit versus the National Collegiate Athletic Association (NCAA)”
Release published by the Las Vegas Sun; submitted by bd Global (O’Bannon’s media representatives), and the Sun says it has not verified or edited it
- NCAA.com, Aug 10, 2014·Archived copy
“NCAA to appeal O’Bannon ruling”