OT: Florida State to sue ACC over GOR

[dayooper]

If I understand it correctly, Clemson's lawsuit argues that they can exit the ACC (i.e. pay an exit fee) and because the way the agreement is worded that they immediately take their media rights with them and don't have to pay GOR penalties. If Clemson's case goes to trial and they win, then the other most valuable ACC schools (i.e. the top 6-8) would then have to consider exiting as well.

I would imagine that some, if not all of the ACC schools already have had some sort of third party conversations with the other conferences to know what their options are. Even if they believe that the GoR will hold until 2036, they would have to do their due diligence.

 

[billybud]

The GOR is easy to access....as are the court documents...for FSU, it is all in one site...

ACC Lawsuit - Florida State University News

• FSU Petition to NC Supreme Court to Issue Writ of Certiorari filed May 17, 2024 • FSU Second Amended […]

news.fsu.edu

 

[UConnJim]

I think those "people" are FSU and Clemson. I take their interpretation with a grain of salt.

CL82, all of the documents are readily available online with the exception of the full ESPN/ACC contract. The GOR agreements are unredacted and available. The original GORs was signed in 2013 and were set to expire on June 30, 2027. The amended GORs were signed in 2016 and extended the GORs to June 20, 2036. The way the GORs are written, the schools gave their media rights to the conference in order to execute the media contract with ESPN with ESPN providing consideration to the conference to extend the GORs which is the launch of the ACC Network. My interpretation of the GORs contract is that if ESPN walked away from the ACC, the GORs contract would be found invalid as the GORs specifically refer to consideration from ESPN and not any other media company.

In addition, there appears to be some legal concerns IF the ACC Commissioner extended the media contract extension option with ESPN without the approval of the ACC Board as that would seem to go against the ACC Bylaws which are also available online. And, it could be that the 2016 GORs extension was tied to the media contract extension option. If that extension option expired and ESPN did not act, it would be possible that the 2016 GORs extension could be found invalid.

 

[billybud]

“ESPN has the exclusive, revocable option (the “Extension Option”), but not the obligation, to extend this Agreement until [redacted] subject to the remainder of this paragraph (such extended term of July 1, 2027 to [redacted]) the “Extension Term”) by providing written notice to the conference no later than two (2) years after the launch date of the ACC-ESPN Network.”

From ESPN Agreement obtained by the Florida AG..

 

[dayooper]

“ESPN has the exclusive, revocable option (the “Extension Option”), but not the obligation, to extend this Agreement until [redacted] subject to the remainder of this paragraph (such extended term of July 1, 2027 to [redacted]) the “Extension Term”) by providing written notice to the conference no later than two (2) years after the launch date of the ACC-ESPN Network.”

From ESPN Agreement obtained by the Florida AG..

When was the network launched?

 

[billybud]

When was the network launched?

August 22, 2019

 

[CTFAN4LIFE]

When was the network launched?

August 22, 2019

 

[dayooper]

August 22, 2019

August 22, 2019

If you go by that, the GoR will end in 2027 as the last date to pick up the contract was August 22, 2021? Is that correct? That’s where the commissioners out stepping his bounds on extending the date they can pick up the extension until Feb 2025 comes into effect.

Again, assuming that the above is correct, the ACC is trying to stall to see if ESPN will grant a new contract and hopefully a judge will rule that the GoR is still valid as there will be an ESPN contract in place. FSU and Clemson will state that the original contract was not extended and thus the GoR has expired allowing themselves to become free agents.

The ACC is saying the extension date was extended to Feb 2025 and the GoR will be extended through 2036 if ESPN picks up the extension. Phillips saying they are in negotiations leads me to believe that they believe that the extension doesn’t matter as long as ESPN has a contract by Feb 2025.

Is this a correct summary of the issue or am I off base here?

 

[CTFAN4LIFE]

If you go by that, the GoR will end in 2027 as the last date to pick up the contract was August 22, 2021? Is that correct? That’s where the commissioners out stepping his bounds on extending the date they can pick up the extension until Feb 2025 comes into effect.

Again, assuming that the above is correct, the ACC is trying to stall to see if ESPN will grant a new contract and hopefully a judge will rule that the GoR is still valid as there will be an ESPN contract in place. FSU and Clemson will state that the original contract was not extended and thus the GoR has expired allowing themselves to become free agents.

The ACC is saying the extension date was extended to Feb 2025 and the GoR will be extended through 2036 if ESPN picks up the extension. Phillips saying they are in negotiations leads me to believe that they believe that the extension doesn’t matter as long as ESPN has a contract by Feb 2025.

Is this a correct summary of the issue or am I off base here?

This is getting a bit outside my realm, but sounds generally accurate/plausible. Certainly this will play out in the next 6+ months - in the courts and in the negotiating rooms.

 

[Pat125]

If you go by that, the GoR will end in 2027 as the last date to pick up the contract was August 22, 2021? Is that correct? That’s where the commissioners out stepping his bounds on extending the date they can pick up the extension until Feb 2025 comes into effect.

Again, assuming that the above is correct, the ACC is trying to stall to see if ESPN will grant a new contract and hopefully a judge will rule that the GoR is still valid as there will be an ESPN contract in place. FSU and Clemson will state that the original contract was not extended and thus the GoR has expired allowing themselves to become free agents.

The ACC is saying the extension date was extended to Feb 2025 and the GoR will be extended through 2036 if ESPN picks up the extension. Phillips saying they are in negotiations leads me to believe that they believe that the extension doesn’t matter as long as ESPN has a contract by Feb 2025.

Is this a correct summary of the issue or am I off base here?

From what I understand, that is pretty much correct. The second ESPN/ACC agreement was amended and signed by ESPN reps and Phillips. This amendment extended ESPN’s option to extend to 2036.

The question is if this amendment was approved by the presidents. It seems that according to the bylaws, such an amendment would have to be approved by the presidents. I guess Florida St. contends no vote was taken, but should have.

Not sure if that means the GOR ends in 2027, even if ESPN agrees to extend by the “new” deadline. What if the presidents voted yes on the extension retroactively?

 

[billybud]

Pretty much...

Issues that matter....

1..Whether the Commisioner could unilaterally offer an extension to the time that the contract states that ESPN has to exercise the extension past 2027.

....My view....That when the option expired, 2021, the media contract ends in 2027. Period. Full Stop.

2...That the ACC, through the GOR, is only granted the media rights as necessary to meet the requirements of the ESPN contract. The ESPN contract...not any future ESPN contract.

...My view...It stands to reason that the then GOR also ends in 2027...even though it states 2036. This is my starting point. The option that was signed by ESPN and Phillips later that year can not be an extension of the expired option....it's a new option. The only way now to extend the contract after Feb 2021 is to amend the media contract and grant another option. That move required a vote by Members and a new GOR.

Basically, I am thinking that when the option was not exercised in 2021, the media contract clearly ends in 2027 and the GOR, by its language, has to align with that expiration date. And changing any of that requires a vote.

Phillips is basically treating the 2016 GOR - with the ending date in 2036 - as a document that controls how the media contract is to be interpreted. Basically, he is having the tail (GOR) wag the dog (the media contract) that the GOR is created to serve.

 

[Rappin'Rodney]

Florida Attorney General ends lawsuit against ACC over ESPN deal

 

[billybud]

Florida Attorney General ends lawsuit against ACC over ESPN deal

She got what she wanted...Once FSU legal got unredacted copies to use in their case, her case could be closed.

The ACC provided her the documents...trade secrets are protected.

 

[FfldCntyFan]

Billy,

Why do I have the feeling that you'd try to put a positive spin on a giant sink hole opening up in Tallahassee and swallowing up the entire FSU campus?

If I remember correctly, a huge part of your early argument was that the case would be heard in the state of Florida and they would rule more favorably towards FSU as FSU's interests and the state of Florida's interests would overlap.

I'm paraphrasing but that was one of your early points of emphasis

 

[billybud]

And why do I think that you hope for anything that is not favorable to FSU...

The court case in Florida in Judge Cooper's Court in Tallahassee is very much alive...and Judge Cooper received the unredacted ACC and had FSU receive it. And you are not informed if you think that it would be tried by the AG...not her jurisdiction notr job.

The Florida AG was instrumental in getting the portion of the ACC-ESPN Agreement, regarding it only being through 2027, out into the open and into public discourse. No longer can the ACC obfuscate and give 2036 as the date. She did her job...of enforcing Florida's Public Information law (which does include exempting trade secrets).

But as I stated way back, I think that the networks are complicit in moving to a P2....ESPN, owning both the ACC and SEC as properties, has to tread carefully to avoid interference suits. FSU and Clemson have made it clear that they are going to leave the ACC come hell or high water. That absolves ESPN and all other networks.

It is Kabuki theatre..as I have been posting..we'll see one way or the other.

 

[KryHavok]

And why do I think that you hope for anything that is not favorable to FSU...

It is Kabuki theatre..as I have been posting..we'll see one way or the other.

Not my place to speak for others, but FSU made its bed by staying and originally agreeing to the GOR with the ACC, voted or exerted its influence to keep UConn out of the ACC, and is merely mad that it can't make the money it thinks it deserves or gain the acceptance by its peers to be in the football championship hunt. It wants more yet thinks nothing of its hubris in screwing over UConn just so that the ACC can have Loserville (and oh my, has that worked out to the ACC's benefit). There may not be much sympathy for FSU round these parts. Who knows, maybe FSU "wins" and goes where it wants, and things finally break for UConn regarding CR...or not.

 

[billybud]

yep...maybe..or maybe not.. for UConn and FSU/Clemson...but little to lose for trying to maintain.

 

[FfldCntyFan]

And why do I think that you hope for anything that is not favorable to FSU...

The court case in Florida in Judge Cooper's Court in Tallahassee is very much alive...and Judge Cooper received the unredacted ACC and had FSU receive it. And you are not informed if you think that it would be tried by the AG...not her jurisdiction notr job.

The Florida AG was instrumental in getting the portion of the ACC-ESPN Agreement, regarding it only being through 2027, out into the open and into public discourse. No longer can the ACC obfuscate and give 2036 as the date. She did her job...of enforcing Florida's Public Information law (which does include exempting trade secrets).

But as I stated way back, I think that the networks are complicit in moving to a P2....ESPN, owning both the ACC and SEC as properties, has to tread carefully to avoid interference suits. FSU and Clemson have made it clear that they are going to leave the ACC come hell or high water. That absolves ESPN and all other networks.

It is Kabuki theatre..as I have been posting..we'll see one way or the other.

For what it's worth I am very concerned about UConn's well being and could not care less about FSU, or nearly any other school out there who believes they have some gripe about something.

My comment was on your framing everything as if it not only was handled by the ACC in some sinister manner to trick the virtuous academic institution that you are a fan of, but also that it was somehow so obviously engineered for the purpose of hurting FSU, the case will clearly be judged in FSU's favor.

The facts are FSU had a very good idea of what it was getting into when it signed away its media rights until 2036 and any information that it did not receive either would have been made available if requested or should have been cause to refrain from signing.

Things didn't turn out the way FSU anticipated because of what happened with other media deals outside of the ACC. This in and of itself is not reason for FSU to no longer be bound by an agreement they signed.

 

[Pat125]

Not my place to speak for others, but FSU made its bed by staying and originally agreeing to the GOR with the ACC, voted or exerted its influence to keep UConn out of the ACC, and is merely mad that it can't make the money it thinks it deserves or gain the acceptance by its peers to be in the football championship hunt. It wants more yet thinks nothing of its hubris in screwing over UConn just so that the ACC can have Loserville (and oh my, has that worked out to the ACC's benefit). There may not be much sympathy for FSU round these parts. Who knows, maybe FSU "wins" and goes where it wants, and things finally break for UConn regarding CR...or not.

A lot of good points. As someone that is more on the outside, I’m in the middle of what should happen.

As you said, Florida St. did sign the original GOR and the extension. And by doing so, they also accepted the exit fee, even though they voted against it along with Maryland. They had the opportunity to withhold their approval of the GOR if the exit fee wasn’t reduced. While I don’t approve of the slimy nature of the secrecy of the ESPN/ACC agreement, the Florida St. peeps should have known about the ESPN deadline to unilaterally extend the GOR by August 22, 2021. And if there was no such discussion amongst the conference members, Florida St. should have brought it up and insisted on a vote then. If they let it slide, allowing Phillips to extend ESPN’s decision, I could see the courts saying “too bad.”

On the other hand, being stuck in a GOR for 20+ years is onerous. Things change, which is certainly the case in college athletics. ACC should have made believe that conferences are about the schools and worked with Florida St. and Clemson on a separation agreement, of about say, $275 million (or wait until Feb 2025 to see if ESPN extends).

I am intrigued by UNC’s role here. They voted with Florida St. and Clemson against the recent expansion and against the ACC’s lawsuit. Not sure what to make of it.

And finally, your other point. Sometimes people forget this is a UConn site and/or forget how to behave as a guest in someone else’s house.

 

[huskymedic]

 

[LoyalFanCT]

is uconn inching closer to acc invite?

 

[billybud]

is uconn inching closer to acc invite?

In the college football world right now..who knows ?

Turning and turning in the widening gyre
The falcon cannot hear the falconer;
Things fall apart; the centre cannot hold;
Mere anarchy is loosed upon the world,
The blood-dimmed tide is loosed, and everywhere
The ceremony of innocence is drowned;
The best lack all convictions, while the worst
Are full of passionate intensity.

 

[buddy]

is uconn inching closer to acc invite?

I don't see it any longer. The ACC remnants will unite with the PAC 2. That gives 4 west coast schools plus the one in Texas. Maybe they would take Tulane. The perception of UConn football will be difficult to change in the near term.

 

[BlueHen]

I don't see it any longer. The ACC remnants will unite with the PAC 2. That gives 4 west coast schools plus the one in Texas. Maybe they would take Tulane. The perception of UConn football will be difficult to change in the near term.

Who knows, maybe the ACC remnants will be so disgusted by what football has done to their conference they will go back to their roots and grab the best basketball power out there.