NCAA RESTRICTED EARNINGS A HOT TOPIC AT S.A. CONVENTION
The NCAA is still attempting to "settle pending
litigation concerning restricted-earnings coaches," a suit
the organization lost which awarded $67M in damages to
former coaches who fell into the "now defunct" category,
according to Tim Griffin of the SAN ANTONIO EXPRESS-NEWS.
At the NCAA Convention in San Antonio, Penn State Univ.
President Graham Spanier said, "The NCAA is healthy and
continues to be solvent and will get through this. But
there is no question that legal fees and the potential for
settlement cost of this lawsuit pose a significant challenge
to all of us." Griffin writes that the "looming payment"
could reach up to $80M. The plaintiffs told the NCAA that
"they prefer the settlement in one payment, rather than
disbursed over several years," meaning the organization
"probably would have to borrow if a lump-sum payment is
figured." NCAA Gen. Counsel Elisa Cole said that the
organization continues to negotiate an out-of-court
settlement (EXPRESS-NEWS, 1/12). Among ways to pay include
a "flat fee, divided equally among" the Div. I members, and
a "weighted assessment that would have some member schools
paying more than others" (DALLAS MORNING NEWS, 1/12).