Wilner (SJ Mercury News) - USC and UCLA planning to leave for B1G

[ZooCougar]

Who are they?

The vast majority of the ACC either know they won't be considered (Wake, BC, Ga Tech, Cuse, Pitt, Louisville, NC State) or realize they may not be considered (Va Tech, UVA, Fl St, Miami, Duke) if the entire conference is free of the GOR.

How would it be possible for a couple of schools to break this? The bulk of the conference will fight until the end to maintain it.

It doesn’t matter. It’s not going to stop anyone from leaving one way or another if they want to leave. They will pay up or negotiate.

 

[mike012]

How about the Kansas to Big East discussion claim? I’m thinking the Big 12 wants a GOR and Kansas has no interest. Work a deal with the big east and get a good exit fee setup for themselves. If PAC or BiG ever come knocking.

 

[Slasher]

How about the Kansas to Big East discussion claim? I’m thinking the Big 12 wants a GOR and Kansas has no interest. Work a deal with the big east and get a good exit fee setup for themselves. If PAC or BiG ever come knocking.

Kansas is not losing 30M to join the Big East. They can get out of the GOR right now like Oklahoma and Texas if they want to.

 

[nelsonmuntz]

I think we are about to find out how strong the ACC GORs are. I think the Big 10 is waiting on Notre Dame to make a decision about joining before they offer more PAC 12 schools. ND would have to break the GORs, but their penalty seems to be much lower than a full member.

Watch.

I think people are very naive with what is at stake.

Use words to explain how the Grant of Rights is not a Grant of Rights. When you sell your house, you can't just take it back 5 years later because you can get a better price for it today. Clemson's media rights were sold. That is the end of it.

Or the Grant of Rights is not really a Grant of Rights, which may be true, but then say that.

It is one or the other.

 

[FfldCntyFan]

I think people are very naive with what is at stake.

I remember taking a hiatus from the board due to someone who believed he wasn't naive enough to believe that we couldn't force Ollie to settle for pennies on the dollar on his contract.

I am not an attorney but I have reviewed/audited/approved more than enough contracts over the near forty years I've spent in the business world to understand how contracts work.

Yes, there is a dollar amount that will get any of the ACC schools out of the GOR (which will not include a departure fee) but realistically that number will be a couple hundred million dollars (perhaps more). The GOR won't be terminated because there aren't enough member schools in a position to want to unilaterally terminate the GOR. Getting out would be a case by case basis for the few schools who would know they have an offer. The vast majority of that conference will be left behind and those schools are fully aware of this. The conference will not terminate the GOR.

With the numbers I heard, ND (partial membership) may be willing to buy their way out if they could get their board to agree to join the BIG. Beyond that, nobody is spending the money to leave that conference.

 

[FfldCntyFan]

It doesn’t matter. It’s not going to stop anyone from leaving one way or another if they want to leave. They will pay up or negotiate.

They will have to pay up and the amount will be the result of a negotiation. The thing is the amount will likely exceed a quarter of a billion dollars. That does matter.

 

[Kolumbo]

Unlikely, but possible:

The ACC knows it's not running with the big boys. A couple programs go to each of the B1G, SEC, and maybe Big 12. That leaves the old Big East members and a couple others left over to figure it out. ACC implodes, GOR disappears.

Big East 3.0

 

[Zissou]

Use words to explain how the Grant of Rights is not a Grant of Rights. When you sell your house, you can't just take it back 5 years later because you can get a better price for it today. Clemson's media rights were sold. That is the end of it.

Or the Grant of Rights is not really a Grant of Rights, which may be true, but then say that.

It is one or the other.

I’m not arguing here, just offering a hypothetical.

What if the SEC takes Clemson and the SEC offers them a media rights cut that is 10% of the normal members cut, through an initial period of…. say, through 2036.

Clemson does get a nice entry bonus from the SEC.

That 10% of normal share has to go to the ACC. Suddenly it’s not as much as the ACC anticipated. The ACC cries foul and sues the SEC. They settle for a reasonable amount.

There is precedent for conferences giving new members smaller payouts.

Just a hypothetical.

 

[Zissou]

Unlikely, but possible:

The ACC knows it's not running with the big boys. A couple programs go to each of the B1G, SEC, and maybe Big 12. That leaves the old Big East members and a couple others left over to figure it out. ACC implodes, GOR disappears.

Big East 3.0

Even when the old BE lineup fell apart, UConn hung around to collect the exit fees.

The ACC survives.

 

[Chin Diesel]

who will be the first conference to kick members out? If the BIG 10 is adding teams 2000 miles away just to increase the average TV payout per school, then they have to be considering kicking out members who are signifcantly brining that number down and are redundant in recruiting like Purdue, Michigan State etc. UConn clearly is in the top 50 schools in the country in value while others are still in major conferences.

This is a very dumb thought which you chose to express. Purdue and MSU are going nowhere. They are huge institutional brands in the B1G.

 

[Zissou]

I remember taking a hiatus from the board due to someone who believed he wasn't naive enough to believe that we couldn't force Ollie to settle for pennies on the dollar on his contract.

The list is long of the yarders that were way overconfident of UConn’s position.

 

[Chin Diesel]

The ACC must be looking over their shoulders right now. The weak links Wake,
dook, G Tech and BC are not helping.

Clemson and FSU are probably making phone calls

Georgia Tech will be one of the most highly sought after schools for expansion and for raiding the ACC. New market for whomever grabs them, easy flights from all over the country, storied history and great academics.

 

[FfldCntyFan]

I’m not arguing here, just offering a hypothetical.

What if the SEC takes Clemson and the SEC offers them a media rights cut that is 10% of the normal members cut, through an initial period of…. say, through 2036.

Clemson does get a nice entry bonus from the SEC.

That 10% of normal share has to go to the ACC. Suddenly it’s not as much as the ACC anticipated. The ACC cries foul and sues the SEC. They settle for a reasonable amount.

There is precedent for conferences giving new members smaller payouts.

Just a hypothetical.

If the school isn't released from the GOR, the broadcast rights of all applicable games will belong to the ACC. It is very possible that the language of the GOR defines all conference games and non-conference home games as what is covered by the GOR.

Intentionally 'underpaying' a new member school (and compensating them elsewhere to make them whole) won't work in this case. The school will need to buy it's release from the GOR.

This is going to be a long game. Anyone thinking in terms of quickly putting all of the pieces in their final spot is too shortsighted. I doubt that the decision makers for the SEC and BIG are thinking on two to three years terms. They are looking at the next few decades.

 

[ZooCougar]

Use words to explain how the Grant of Rights is not a Grant of Rights. When you sell your house, you can't just take it back 5 years later because you can get a better price for it today. Clemson's media rights were sold. That is the end of it.

Or the Grant of Rights is not really a Grant of Rights, which may be true, but then say that.

It is one or the other.

Words?

Money
Lawyers
Negotiation
Laughter
Settlement

These things are written to be broken. The last lifeboats off the ship are being boarded. All bets are off.

Go ahead and think GOR will stop something you silly goose.

 

[nelsonmuntz]

I’m not arguing here, just offering a hypothetical.

What if the SEC takes Clemson and the SEC offers them a media rights cut that is 10% of the normal members cut, through an initial period of…. say, through 2036.

Clemson does get a nice entry bonus from the SEC.

That 10% of normal share has to go to the ACC. Suddenly it’s not as much as the ACC anticipated. The ACC cries foul and sues the SEC. They settle for a reasonable amount.

There is precedent for conferences giving new members smaller payouts.

Just a hypothetical.

This theory is that the SEC would effectively buy Clemson's media rights from the ACC. It would be a big number, but it is not out of the question theoretically. I am not sure why Clemson or ESPN would go along with it.

 

[ZooCougar]

If the school isn't released from the GOR, the broadcast rights of all applicable games will belong to the ACC. It is very possible that the language of the GOR defines all conference games and non-conference home games as what is covered by the GOR.

Intentionally 'underpaying' a new member school (and compensating them elsewhere to make them whole) won't work in this case. The school will need to buy it's release from the GOR.

This is going to be a long game. Anyone thinking in terms of quickly putting all of the pieces in their final spot is too shortsighted. I doubt that the decision makers for the SEC and BIG are thinking on two to three years terms. They are looking at the next few decades.

You really think the GOR will stop someone from joining the SEC or the B1G?

 

[huskymedic]

 

[nelsonmuntz]

@ZooCougar is trying to put himself in a situation to say "I told you so" no matter what happens.

 

[Zissou]

Intentionally 'underpaying' a new member school (and compensating them elsewhere to make them whole) won't work in this case. The school will need to buy it's release from the

Creative maneuvering can get you to the table to negotiate, even if the logic is stretched.

 

[pepband99]

This theory is that the SEC would effectively buy Clemson's media rights from the ACC. It would be a big number, but it is not out of the question theoretically. I am not sure why Clemson or ESPN would go along with it.

Yeah - this only would make sense (to me), if you had network movement.

SEC expansion moved big teams from FOX to ESPN. For ACC teams to go to the SEC, ESPN would have to do this for some reason, effectively paying more for the same content. I don't see it.

 

[Rufus]

I have not seen anything online detailing the financial details of this move.

Will USC or UCLA have to pay an exit fee to the PAC 12?

Will USC and UCLA receive the same seven year buy-in agreement the other B1G expansion schools had? Nebraska, Maryland and Rutgers did not receive a full share of revenues until Year 7 (RU and UMD took out additional loans from the Big Ten and still don’t receive a full share as they are now paying back their loans). All three schools had different deals - they were guaranteed to not make less money than their former conferences and the payouts increased gradually each year. Will USC and UCLA have a similar arrangement? They will at least need to buy into their shares of the Big Ten Network I’m assuming.

 

[Kolumbo]

Even when the old BE lineup fell apart, UConn hung around to collect the exit fees.

The ACC survives.

UCONN had no other options. The exit fees were just a small silver lining.

The SU fans are not very optimistic about the ACC's future. Texas, OU, USC, UCLA. It is officially a B1G and SEC world and then everyone else. This is good news for UCONN because no one in the everyone else category is comfortable now. Except when it comes to basketball.

 

[shizzle787]

The good news about this move for us is that I don’t see how our CR fortunes turn worse. We are either going to keep the status quo or join a rump ACC with the likes of BC, Syracuse, Pitt, etc.

 

[ZooCougar]

The good news about this move for us is that I don’t see how our CR fortunes turn worse. We are either going to keep the status quo or join a rump ACC with the likes of BC, Syracuse, Pitt, etc.

Indy and Big East insulated us from the turbulence. And gives us the freedom to take advantage with scheduling or otherwise.

 

[ZooCougar]

@ZooCougar is trying to put himself in a situation to say "I told you so" no matter what happens.

That’s what always happens anyways. It sucks being right all the time.

Please tell us how the GOR is airtight and will stop Miami, Clemson, FSU, UNC and Duke from leaving when they want to. As if every written agreement in college sports hasn’t already been violated.

I need a good laugh.