The tumultuous relationship between the Pac-12 Conference and the Mountain West Conference spawned an antitrust lawsuit in September, but in a newly filed motion to dismiss, the MWC says the Pac-12’s case is “little more than a gripe” and asserts the Pac-12 has confused antitrust law’s protection of “competition” with the conference trying to suppress competitors.
The Pac-12 sued the MWC in a California federal district court for imposing termination fees—the Pac-12 prefers the “poaching penalties” moniker—on the handful of MWC schools (Boise State, Colorado State, Fresno State, San Diego State and Utah State) that are joining the Pac-12 in 2026. The “penalty,” which the Pac-12 says is $55 million, “would significantly deplete the Pac-12’s resources to recruit additional schools and rebuild.” The penalty would also be in addition to applicable exit fees.
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The penalty stems from a scheduling agreement signed by the Pac-12 and the MWC in 2023 following the Pac-12 losing 10 member schools to other conferences, with only Oregon State and Washington State remaining. The agreement, which included a payment of $14 million to the MWC, ensured that Oregon State and Washington State would play MWC teams. It also contained language stating that if the Pac-12 recruited MWC teams, there would be penalties ranging from about $10 million to $138 million depending on the number of schools poached. The deal essentially sustained the Pac-12, which despite its name has only two members, while it tried to sort out its future. It was also designed to deter the Pac-12 from raiding the MWC.
As the Pac-12 tells it, the penalty is “duplicative” to the exit fee and is an “unnecessary and entirely punitive” scheme intended to damage the Pac-12’s ability to entice new members. A less…
Source link : https://sports.yahoo.com/mountain-west-urges-dismissal-pac-131403880.html
Author : Sportico
Publish date : 2024-11-26 13:14:00
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