Florida State, Clemson poised to settle ACC lawsuits with new revenue-distribution model in place, per report

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Florida State and Clemson will vote Tuesday on an agreement that would settle their four ongoing lawsuits against the ACC and a new revenue-distribution strategy, according to ESPN. While the terms of a settlement would have to be approved by the ACC Board of Directors and Clemson and Florida State’s respective boards of trustees, ESPN notes that the expectation is a deal will be reached. 

ESPN recently exercised its opt-in clause with the ACC, extending its media rights deal with the conference through 2036 while providing some relief for the ACC through turbulent times. The new revenue-distribution strategy, as proposed in the settlement, would distribute 40% of the television money evenly through the 14 longstanding ACC members — including Florida State and Clemson — with 60% of the revenue distributed on a ratings-based formula from the past five years. 

In addition, the total cost to exit the ACC is expected to drop below $100 million by 2029-30.

Florida State filed its initial lawsuit, which took aim at the league’s grant of rights and withdrawal penalties, against the ACC in December 2023. Clemson joined in March 2024, asserting that the ACC’s exorbitant exit fee and control of media rights after leaving the conference is ultimately unenforceable and prevents Clemson from doing what is right for its institution.

ACC extends media rights deal through 2036: What it means for Florida State lawsuit, conference realignment

Chip Patterson

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Source link : https://www.cbssports.com/college-football/news/florida-state-clemson-poised-to-settle-acc-lawsuits-with-new-revenue-distribution-model-in-place-per-report/

Author : Will Backus

Publish date : 2025-03-03 16:08:00

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