Live Blog: How to watch, updates from House v. NCAA settlement preliminary approval hearing
After a summer of questions over the impact of the House v. NCAA settlement, the agreement between the plaintiffs and the NCAA and Power Five conferences will go to court.
Set to be presented to Judge Claudia Wilken at 5:30 p.m. ET, 2:30 p.m. local time in California, for preliminary approval, it’s the first step of the approval process. The hearing comes after college sports leaders spent the spring pounding out the details of the settlement.
The NCAA and Power Five conferences agreed in May to a 10-year settlement that would pay $2.7 billion in damages to athletes who claim their earning potential was capped. The House settlement would also allow schools to share $20 to $23 million annually in revenue with future athletes.
“This is another important step in the ongoing efforts to provide increased benefits to all student-athletes while creating a stable and sustainable model for the future of college sports,” the NCAA and conferences wrote in July once the full settlement documents were filed.
These broad-stroke details have been talked about all summer. Wilken will not have to rule from the bench on Thursday afternoon, instead, the preliminary approval decision could come in the following days or weeks. But it’s the first chance the public will have to hear Wilken weigh in on the settlement.
With experience in lawsuits involving college sports, Wilken will consider the settlement’s impact. She could also consult with parties who have previously filed objections to the settlement.
On3 has you covered from start to finish with news and analysis:
Judge orders attorneys to amend settlement language
8 p.m. ET: Judge Claudia Wilken made clear Thursday night that the House v. NCAA settlement is on hold. She has ordered the parties to amend the language centering around boosters and NIL collectives and report back in three weeks.
‘We’ve got a problem’
7:30 p.m. ET: As Wilken and NCAA attorney Rakesh Kilaru continue to to talk over the role of boosters and NIL collectives in the post-House world, the judge was blunt.
“I think we’ve got a problem with this, and I don’t have an idea of how to fix them,” she said. So I think I’m just going to have to throw this back on you all to see if you can come up with something better.”
Wilken has not made a decision yet on the preliminary approval. She went on to state plaintiffs’ attorneys should “to go back to the drawing board” regarding the future role of NIL collective.
Judge takes questions with settlement’s aim at NIL collectives
6:55 p.m. ET: Judge Wilken called out how the settlement would impact third-party NIL deals, specifically the operations of NIL collectives. The settlement spells out that compensation must be “at rates and terms commensurate with compensation paid to similarly situated individuals.”
“I’m concerned about the third-party NIL restrictions,” Wilken said. “[If this goes through] I’m concerned it will limit those opportunities for people moving forward.”
She went on to draw comparisons between revenue sharing being pay-for-play and the role of third parties. Beyond “commensurate” payment, the settlement says all third-party NIL deals of $600 or more must be approved by a clearinghouse that will vet contracts.
“You will be explicitly paying-for-play or allowing schools to pay-for-play, so that’s not pay-for-play?” Wilken said.
Attorney takes shot at policing of NIL deals
6:45 p.m. ET: Attorney Garrett Broshuis, a lawyer for Alex Fontenot, who previously filed a suit in Colorado arguing the NCAA illegally prohibits players from being paid for their abilities, punched back at plaintiffs’ attorney Steve Berman.
Berman called the settlement a “home run” while Broshuis mentioned how the settlement will police NIL deals.
Title IX takes center stage
6:15 p.m. ET: A Title IX discussion has become a key point in the hearing. Attorney Jeffrey Kessler confirms to Judge Wilken that Title IX claims are not released in the settlement.
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His fellow plaintiffs’ attorney Steve Berman explains the situation of plaintiff Sedona Prince but how he could not bring Title IX claims against the NCAA. Roughly 85% of the $2.77 billion in back damages will go to football and men’s basketball.
“We have to follow the money,” Kessler said. “It’s the only thing we could do.”
Wilken assisting with athlete class reps
6 p.m. ET: In the early goings of the hearing, Judge Wilken has assisted plaintiffs’ attorneys and the NCAA’s attorney in identifying proper athlete class representatives.
House preliminary approval hearing begins
5:40 p.m. ET: The hearing begins with Judge Wilken saying the notice to athletes needs significantly more details, including what “lost opportunity” means. She points out athletes have not walked up to athletic directors for cash payments.
How to watch House preliminary approval hearing
4 p.m. ET: The House preliminary approval hearing is scheduled for 2:30 PT and 5:30 p.m. ET. Set to go in front of U.S. District Judge Claudia Wilken, here is how you can watch the hearing, according to the U.S. District Court of Northern California:
Link: https://cand-uscourts.zoomgov.com/j/1605265531?pwd=b3FhUE5jWkZJUFVEVHgva0xDbk5FUT09
Webinar ID: 160 526 5531
Password: 593853
Critical day arrives for House settlement, revenue sharing
3:30 p.m. ET: The long-form House v. NCAA settlement – the agreement that will usher in revenue sharing and owe $2.776 billion in back damages to former athletes – is set for its first court date.
U.S. District Judge Claudia Wilken will hear attorneys present the landscape-shifting settlement later on Thursday for preliminary approval, with the hearing scheduled for 5:30 p.m. ET. Power Four conferences, the NCAA and attorneys for plaintiffs will all argue in support of the 333-page settlement document.
If Wilken provides preliminary approval, current and former athletes will be notified about how they can earn back damages. Even if the judge grants preliminary approval, it does not secure Wilken’s final approval.
Wilken will not have to rule from the bench on Thursday afternoon, instead, the preliminary approval decision could come in the following days or weeks.
If she does not preliminarily approve of the settlement, both sides could be sent back to the negotiating table. According to sports law expert Michael McCann, Wilken is responsible for ensuring the settlement is “fair, reasonable and adequate.”
The 10-year settlement agreement, if approved, will also bring new roster limits for every sport and arbitration to enforce disputes. The expectation is lawyers will pick arbitrators before the final hearing of the suit.
For revenue sharing to begin with the 2025-26 academic year, the House settlement must earn final approval, adding to the importance of the preliminary approval. During the first year of the settlement, each school can share payments with their athletes totaling 22% of the average Power Five school’s revenues, which equates to $20-22 million. That so-called cap figure is expected to rise 4% during the first few years of the model.
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