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Pat Dye Field => War Damn Eagle => Topic started by: Snaggletiger on February 27, 2014, 02:12:22 PM

Title: Naaaa....This Won't Cause Any Problems
Post by: Snaggletiger on February 27, 2014, 02:12:22 PM
This has sort of flown under everyone's radar.  I see and hear things about it occasionally but when you really sit down and think about the implications if O'Bannon wins this suit.  Kiss college sports as we know it goodbye.  Look at some of the comparisons at the bottom. 

 
Jon Solomon | jsolomon@al.com By  Jon Solomon | jsolomon@al.com   
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on February 26, 2014 at 1:50 PM, updated February 27, 2014 at 9:43 AM   

How much money a college athlete could make if the Ed O'Bannon antitrust lawsuit succeeds remains an unanswered question. But documents unsealed in the case today provide at least one proposed model and shed insight into how pro leagues split revenue.

O'Bannon economic expert Daniel Rascher estimated that a football player on Alabama's 2010 team would have received $47,330 from live broadcasting revenue that year and about $190,000 over four years. By contrast, a football player at USC would have received about $27,651 and roughly $110,000 over four years.

Meanwhile, the NBA and NHL split licensing revenue evenly between the league and players, and the NFL provides players with roughly one-third, according to one document. The O'Bannon plaintiffs are attempting to remove restrictions against paying college athletes based on their name, image and likeness.

The NBA had designated its licensing details confidential, but U.S. District Judge Claudia Wilken ruled the NBA had not adequately explained how disclosing the information would impact future negotiations with the players' union. The details were part of a report by O'Bannon economic expert Roger Noll, who has argued for a 50-50 split of licensing revenue for college athletes, including TV money.

The 2011 NBA collective bargaining agreement calls for a 50-50 split of all licensing revenue. Noll's report listed 41 product license agreements from the NBA Players Association. Details about the companies with NBA licensing agreements are part of his report except for the length of contract and financial terms, which are redacted.

Noll wrote that the 2012 NFL collective bargaining agreement sets different "fractional splits" for different types of revenue, "but the players' fraction of broadcast revenue is 55 percent." The NHL's most recent collective bargaining agreement produced a 50-50 split of revenue, the report said.

"All of the examples above are a form of group agreement about sharing revenues when two types of parties collaborate to create a licensed product," Noll wrote. "The standard result is an even split of revenue. The implication for this litigation is that in the absence of NCAA restrictions, student-athletes also would receive a 50 percent, not zero percent, of licensing income."

The NCAA says group licensing in pro sports leagues does not include an athlete's name, image and likeness.


At a summary judgment hearing last week, O'Bannon attorney Michael Hausfeld faced some difficult questions from Wilken about whether the plaintiffs wanted college players to receive licensing payments during their college careers or have money put aside into a trust fund for after they leave. Hausfeld ultimately said he would be fine with an injunction allowing money to be put aside in a fund.

"I'm not issuing any injunctions until there's a finding of liability," Wilken said at the hearing. "And it probably wouldn't be a question of compromising, it would be a question of what had been shown to be a violation. So if you want to compromise, I'm all for it. And we'll talk about that later, but I wouldn't be compromising."

Other unsealed documents today reflected how much money college athletes could receive from licensing under damages calculations from Rascher. Some examples that were cited:

* A Michigan State men's basketball player in 2010-11 would have received about $275,675 that year from live broadcasting, compared to $191,512 from a UCLA player.

* Southern Miss football player DeAndre Brown would have earned $2,739 for 2008 yet could have made much more at nearby schools Ole Miss ($20,098) and Mississippi State ($22,395).

* Back in 2007, Utah defensive end James Aiono would have earned $1,886 a year at Utah, $3,336 at Utah State, and over $21,000 at Colorado.

* Memphis basketball player Jelan Kendrick would have been in line to receive $76,416 at Memphis in 2010, but over $219,000 at Tennessee.

* Gonzaga basketball star Austin Daye would have gotten $22,640 from Gonzaga in 2007, yet could have earned much more at nearby Washington ($150,058) and Washington State ($136,390).

The examples came from a report by NCAA expert Daniel Rubinfeld in an attempt to show competitive balance issues for teams if players were allowed to be paid.

Wilken, the judge in the case, said last week she has a "problem" with the NCAA's procompetitive arguments involving competitive balance, amateurism and integrating athletics with education. Wilken said the case will move forward to a trial starting June 9 if there is no settlement.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: GH2001 on February 27, 2014, 02:48:39 PM
Honestly, college athletics went goodbye in it's pure form when Walter Byers decided to make a few bad self centered decisions. Which mainly involved money deals and staged boycotts.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: The Six on February 27, 2014, 02:53:13 PM
Honestly, college athletics went goodbye in it's pure form when Walter Byers decided to make a few bad self centered decisions. Which mainly involved money deals and staged boycotts.

Pffft. Everyone knows Auburn and Cam Newton are to blame for all this.
 :sarcasm:

But seriously, you are correct.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: GH2001 on February 27, 2014, 02:59:37 PM
Pffft. Everyone knows Auburn and Cam Newton are to blame for all this.
 :sarcasm:

But seriously, you are correct.

It's a fact that many don't know about. Going back to the 50s. It opened the door to big tv deals and brand endorsements. Which got into even more multi media deals like games, etc. And just think...notre dame was at the center of all of it then too. I think Nike and ESPN were really the ones that tossed it into overdrive though.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: The Six on February 27, 2014, 03:01:56 PM
It's a fact that many don't know about. Going back to the 50s. It opened the door to big tv deals and brand endorsements. Which got into even more multi media deals like games, etc. And just think...notre dame was at the center of all of it then too. I think Nike and ESPN were really the ones that tossed it into overdrive though.

http://www.imdb.com/title/tt3057718/ (http://www.imdb.com/title/tt3057718/)

(http://ia.media-imdb.com/images/M/MV5BMTQ2NjI0NDU3Nl5BMl5BanBnXkFtZTgwMDU4OTgzMDE@._V1_SY317_CR5,0,214,317_.jpg)
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Townhallsavoy on February 27, 2014, 03:04:22 PM
It's a fact that many don't know about. Going back to the 50s. It opened the door to big tv deals and brand endorsements. Which got into even more multi media deals like games, etc. And just think...notre dame was at the center of all of it then too. I think Nike and ESPN were really the ones that tossed it into overdrive though.

It's quite the conundrum for me as I really love being able to turn on college football early Saturday morning and watch it until midnight never missing a big game once all year. 

But I also hate what it's become.  The players are mostly primadonnas looking for as many handouts as they can.  Coaches are paid ridiculous salaries.  Ticket prices are astronomical, and then there's the constant begging for booster donations to build that state of the art moat in the player's locker room.  And then the attention and importance of being in the spotlight has bred some of the worst types of fans possible. 
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Snaggletiger on February 27, 2014, 03:04:44 PM
What it comes down to is there will be no more recruiting.  No deciding between this school or that because of potential playing time, the style of offense/defense, the corching staff etc.  It will simply be a matter of "I can either play here and make $17,500.00/yr. or go there and make $38,000.00/yr."

The school with the most toys wins.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Snaggletiger on February 27, 2014, 03:06:08 PM
Oh, and guess who will foot the bill for this loss in revenue?  Anyone want season tickets if O'Bannon wins?
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Townhallsavoy on February 27, 2014, 03:09:10 PM
What it comes down to is there will be no more recruiting.  No deciding between this school or that because of potential playing time, the style of offense/defense, the corching staff etc.  It will simply be a matter of "I can either play here and make $17,500.00/yr. or go there and make $38,000.00/yr."

The school with the most toys wins.

And this begs the question - Should schools that can't compete financially be competing with the big schools anyway?

Let's be honest.  When we stick up for the little guy and the little schools, we're doing so because we're nice people who want to see fairness.  In reality, Auburn is near the top of the list in revenue and if we needed to pay each player $50k to compete, we could and we would. 

How many schools could pay the hefty player fee?  Just 10?  20?  You hit 30 and you have just about as many teams as are in the NFL.  You could funnel all of the talent into a handful of schools and tell every other team that they can have fun in their Division II. 
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: GH2001 on February 27, 2014, 03:18:07 PM
What it comes down to is there will be no more recruiting.  No deciding between this school or that because of potential playing time, the style of offense/defense, the corching staff etc.  It will simply be a matter of "I can either play here and make $17,500.00/yr. or go there and make $38,000.00/yr."

The school with the most toys wins.
Ironically, in the beginning d1 schools were like d3 schools are now. No schollys at all. The grant in aid was another Byers idea. It was magnet to attract athletes to play. He saw the possibility of making an attractive product for an audience thus securing his own job and the ncaa's existence. He made it the entity we see today. It simply existed to exist before that and needed a purpose. But what he did also totally gets away from what college athletics are supposed to be.

How Nike infiltrated into college athletics and how some scumbags pocketed from it is absolutely disgusting. And I mean middle men who were influencing coaches to put their kids in nike shoes for kick backs.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: GH2001 on February 27, 2014, 03:19:54 PM
It's quite the conundrum for me as I really love being able to turn on college football early Saturday morning and watch it until midnight never missing a big game once all year. 

But I also hate what it's become.  The players are mostly primadonnas looking for as many handouts as they can.  Coaches are paid ridiculous salaries.  Ticket prices are astronomical, and then there's the constant begging for booster donations to build that state of the art moat in the player's locker room.  And then the attention and importance of being in the spotlight has bred some of the worst types of fans possible.

This is what will wind up happening. The 32 or 64 team super conference has been mentioned. So basically we have a triple AAA farm league for the NFL at that point. I mean what's the difference?
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Buzz Killington on February 27, 2014, 03:25:06 PM
Quote
O'Bannon economic expert Daniel Rascher estimated that a football player on Alabama's 2010 team would have received $47,330 from live broadcasting revenue that year and about $190,000 over four years.

TigersXpert Buzz Killington estimates that they received much more than that.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Snaggletiger on February 27, 2014, 03:29:16 PM
And this begs the question - Should schools that can't compete financially be competing with the big schools anyway?

Let's be honest.  When we stick up for the little guy and the little schools, we're doing so because we're nice people who want to see fairness.  In reality, Auburn is near the top of the list in revenue and if we needed to pay each player $50k to compete, we could and we would. 

How many schools could pay the hefty player fee?  Just 10?  20?  You hit 30 and you have just about as many teams as are in the NFL.  You could funnel all of the talent into a handful of schools and tell every other team that they can have fun in their Division II.

The revenue sharing model used by the expert only took into account broadcasting revenue.  And it only used the big two sports, football and basketball, as examples.  If this comes to pass, every scholarship athlete, from tennis to tiddlywinks, will be entitled to some form of compensation.  There are a million and one ways to claim your likeness was used to promote your sport or the school.  And trust me, we lawyers will find a way to spin it so that because you used Brittney and Kasey's photo on that poster that's pinned up all over town with the girl's softball schedule on it....Brittney and Kasey are now entitled to part of the gate. 

I don't think it's far fetched to say a good many of the athletic programs at the smaller schools will cease to exist altogether.     
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Godfather on February 27, 2014, 03:41:46 PM
Per O'Bannon's numbers and using the comparative scale.

Each individual Auburn Basketball player is set to make $133.28 annually.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Snaggletiger on February 27, 2014, 03:49:35 PM
Per O'Bannon's numbers and using the comparative scale.

Each individual Auburn Basketball player is set to make $133.28 annually.

Can I get your address to send the bill for my monitor?
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: dallaswareagle on February 27, 2014, 03:54:36 PM
Per O'Bannon's numbers and using the comparative scale.

Each individual Auburn Basketball player is set to make $133.28 annually.


The 2012 Auburn football team owes money.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Townhallsavoy on February 27, 2014, 04:00:36 PM
This is what will wind up happening. The 32 or 64 team super conference has been mentioned. So basically we have a triple AAA farm league for the NFL at that point. I mean what's the difference?

Nothing.

And if the college kids are getting paid, why not just open up the NFL draft to anyone? 
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Kaos on February 27, 2014, 06:07:20 PM
Nothing.

And if the college kids are getting paid, why not just open up the NFL draft to anyone?

MLB draft already is. 
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: DnATL on February 27, 2014, 09:36:01 PM
And just think...notre dame was at the center of all of it then too.
In all fairness, I'm pretty sure Ed O'Bannon is no more than half Irish
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: The Prowler on February 28, 2014, 03:16:57 AM
Per O'Bannon's numbers and using the comparative scale.

Each individual Auburn Basketball player is set to make $133.28 annually.
Watching them play sure does feel like I'm getting it anally...oh wait, you said annually...carry on.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: CCTAU on February 28, 2014, 09:41:20 AM
This is what will wind up happening. The 32 or 64 team super conference has been mentioned. So basically we have a triple AAA farm league for the NFL at that point. I mean what's the difference?

The difference is that we are paying for it instead of the NFL!
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: AUChizad on February 28, 2014, 10:05:33 AM
MLB draft already is.
I don't get why all sports don't do what baseball does. Basketball used to do something similar, and then reverted.

I would imagine that their approach has a lot to do with how it's remained a true amateur collegiate athletic sport.

After high school, you make a choice. You either think you're hot shit enough to forgo college and skip straight ahead to the big leagues, or you go get your education. But once you've made that choice, if you chose pro you can't play at a college level, and if you chose college you're stuck with it for at least 3 years.

Makes too much sense for football, I guess.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Godfather on February 28, 2014, 10:07:22 AM
I don't get why all sports don't do what baseball does. Basketball used to do something similar, and then reverted.

I would imagine that their approach has a lot to do with how it's remained a true amateur collegiate athletic sport.

After high school, you make a choice. You either think you're hot shit enough to forgo college and skip straight ahead to the big leagues, or you go get your education. But once you've made that choice, if you chose pro you can't play at a college level, and if you chose college you're stuck with it for at least 3 years.

Makes too much sense for football, I guess.

Kids aren't developed enough in HS to jump to NFL immediately.  That would be a slaughter.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: WiregrassTiger on February 28, 2014, 10:10:07 AM
Kids aren't developed enough in HS to jump to NFL immediately.  That would be a slaughter.
True, except of course for the Bama commits.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: AUChizad on February 28, 2014, 10:25:06 AM
Kids aren't developed enough in HS to jump to NFL immediately.  That would be a slaughter.
Then they should be advised to go the college route.

They should have that freedom to choose for themselves, though.
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: CCTAU on February 28, 2014, 10:55:20 AM
Then they should be advised to go the college route.

They should have that freedom to choose for themselves, though.

I see what you are saying, but the infrastructure is just not there for basketball and football.

Baseball has always had the minor leagues. The guys spend several years there getting paid and developing. 

I just don't think there is a feasible market there for the other two.

So to answer your question...MONEY!
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: AUJarhead on February 28, 2014, 02:23:57 PM
In all fairness, I'm pretty sure Ed O'Bannon is no more than half Irish

Maybe O'Bannon has a flute, too...

(http://rottenink.files.wordpress.com/2013/02/leprechaun-1268847055.png)
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: Buzz Killington on February 28, 2014, 02:36:12 PM
Maybe O'Bannon has a flute, too...

(http://rottenink.files.wordpress.com/2013/02/leprechaun-1268847055.png)

I want da gold
Title: Re: Naaaa....This Won't Cause Any Problems
Post by: AUJarhead on March 03, 2014, 10:24:22 AM
I want da gold

Could be a crackhead.