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NCAA Settles with Student Athletes

By Mark

The NCAA has agreed to settle a class action antitrust case filed by former student athletes in California alleging that the failure of the NCAA to approve scholarships that fully fund student athletes expenses constituted antitrust violations. In agreeing to settle the case, the NCAA has agreed to create a $218 million fund to cover insurance and to which student athletes could apply to receive help to cover additional expenses. The settlement also creates a $10 million fund to assist former student athletes to complete their education.

This marks yet another case that the crack legal team at the NCAA has chosen to settle rather than litigate to defeat. Once again the NCAA has had in place policies that could not withstand legal scrutiny. How long and how many millions of dollars will it take before the NCAA faces the reality of life in the 21st century? At least they had the good sense to settle this case and create a fund that can do some good for the athletes that need it.

Full post as published by Sports Biz on January 31, 2008 (boomark / email).