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Boston, MA - March 28: NCAA President Charlie Baker during a panel to announce a gambling prevention ... More program aimed at kids during a press conference at TD Garden. (Photo by Matthew J. Lee/The Boston Globe via Getty Images)
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This coming Monday (April 7), the eyes and attention of every college athletics administrator, journalist, scholar, and even nerdy fans will be fixated on one event. It is not the aftermath of the women’s basketball tournament championship game, nor is it the men’s tournament championship game Monday night. While these are marquee events with major brands and star players, their impact on the future of college athletics pales in comparison to what will occur in a Federal District Courthouse at 1 pm Eastern Time on Monday.
This is the setting for the final approval hearing for a legal settlement agreement, colloquially known as The House Settlement, regarding three separate antitrust lawsuits filed against the NCAA and the wealthiest athletic conferences, which were known at the time of the filing as “The Power 5.” This series will prepare readers for the hearing on Monday. Part I explained the background of the House case and how we got here. Part II analyzed the proposed NCAA rule changes contained in the House settlement. Part III (this article) discusses the hearing and its potential outcomes.
What is the House case?
House v NCAA is a class action lawsuit against the NCAA and the Power 5 Conferences by Arizona State swimmer Grant House and Oregon (now TCU) basketball player Sedona Prince on behalf of a class of over 10,000 athletes who played NCAA Division-I sports from 2016 onward. The lawsuit alleges that the NCAA’s amateurism rules regarding athlete compensation, particularly their prohibitions on NIL activities prior to 2021, are an illegal restraint of trade in violation of antitrust laws.
Last May, the NCAA and the plaintiffs’ counsel agreed upon settlement terms that included $2.6 billion in “NIL backpay” and injunctive relief (a legal term for protection from future lawsuits) as they attempt to institute and enforce new rules that significantly change the landscape of college athletics.
What is the purpose of the hearing?
Class action lawsuits are significantly more complicated than a typical civil lawsuit, and that’s particularly true as it pertains to a potential settlement agreement. In class action lawsuits, a few “named plaintiffs” (in this case, Arizona State swimmer Grant House) bring a lawsuit on behalf of themselves and others (the class) who have been similarly wronged by the alleged conduct of the defendant. Class action lawsuits are commonly seen in consumer issues like products liability or false advertising. Settlement agreements are complicated because not all class members are directly represented by the plaintiffs’ counsel. For example, the co-lead attorneys for the plaintiffs in this case are Jeffrey Kessler and Steve Berman. They are negotiating this settlement on behalf of thousands of athletes and trying to best represent their collective interests, but it is entirely infeasible for Kessler and Berman to speak with and understand the needs of all people who are impacted by the class.
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