NCAA Reaches $303M Settlement with Unpaid College Coaches
To resolve a class action lawsuit alleging they were wrongfully denied compensation due to a long-standing NCAA regulation, the National Collegiate Athletic Association has agreed to pay $303 million to thousands of present and former college coaches.
U.S. District Judge William Shubb must approve the proposed settlement, which was filed on Monday in the federal court in Sacramento, California.
By forbidding compensation for unpaid “volunteer” coaches in sports other than baseball, the agreement would settle allegations that the NCAA and member schools had violated antitrust rules. A similar claim filed by baseball coaches was settled earlier this year when the NCAA agreed to pay $49 million.
NCAA Denies Wrongdoing but Seeks Closure with Settlement
The NCAA refuted any misconduct. NCAA President Charlie Baker said in a statement that settling the lawsuit “provides peace of mind for the Association and our members.” In 2023, the NCAA eliminated the wage rule.
In a statement, the coaches’ lead lawyers referred to the settlement as “significant and significant compensation to thousands of hard-working coaches.”
Over 7,700 coaches who worked unpaid in Division 1 of the NCAA, the top division for collegiate athletics in the United States, between March 2019 and June 2023, are covered by the settlement.
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Thousands of Coaches to Receive Compensation
According to court documents, no coach would get less than $5,000, and several are anticipated to receive six-figure compensation. Before fees and expenses, the average is expected to be roughly $39,260.
The coaches’ attorneys stated that they intended to request that the court grant them up to 30% of the agreement, or $90.9 million, in legal fees.
In December, Shubb is expected to review preliminary approval. Early next year is suggested as the date of the final fairness hearing.
A historic $2.8 billion settlement has also been reached by the NCAA, allowing institutions to pay student-athletes directly. A federal appeals court is currently reviewing that agreement.