A judge on Monday granted preliminary approval to the Legal settlement worth $2.78 billion that would transforming college sports by allowing schools to pay players.
U.S. District Judge Claudia Wilken released an order setting a timeline for a deal that would put millions of dollars in the pockets of college athletes, who could begin filing claims later this month.
A final hearing is scheduled for April 7, 2025. If the deal is finalized, the largest schools could get a pool of about $21.5 million in the first year to distribute to athletes through a revenue-sharing plan, but the athletes would still be able to enter into name, image and likeness agreements with outside groups.
“We are pleased to be one step closer to revolutionizing college athletics that will enable billions in revenue sharing,” said attorney Steve Berman.
The judge’s approval comes 11 days after the lawyers amended wording in the original settlement agreement to address Wilken’s concerns. The most significant change was to drop the word “boosters” and replace it with a better-defined description of whose potential NIL deals would be subject to scrutiny by a neutral arbitrator once the deal goes through.
However, that did not get to the heart of the settlement, which provides for a revenue-sharing arrangement between schools and athletes. The $21.5 million figure comes from the 22% of average revenue that power conference schools generate through media rights, tickets and other sources. It is recalculated periodically during the ten-year period covered by the agreement.
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AP college football: https://apnews.com/hub/college-football And https://apnews.com/hub/ap-top-25-college-football-poll