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$5000 a year cap on EA and NCAA settlements

NCAA filed their proposed settlement in California
EA

According to the terms of the proposed settlement the NCAA filed Monday, approximately 100,000 current and former college football and men's basketball players will be able to claim up to $5,000 per year for their appearances in NCAA branded video games.

Lawyers for the NCAA and former college athlete Sam Keller announced that they agreed on a $20 million dollar deal to settle the case regarding the use of the players name and likeness in video games. This is in addition to the $40 million dollar settlement established with Electronic Arts and the Collegiate Licensing Company. This brings the total up to $60 million in settlement funds.

The terms of the settlement were filed Monday and U.S. District Judge Claudia Wilken will hold a preliminary hearing Thursday in Oakland, California. If Wilken approves of the deal, settlements will begin within over the coming months. Keller's lawyers stated that they intend to create a cap per player since the suits are related. Players will receive $5000 per roster appearance (per year). So if a player appeared in four installments of the game they will receive $20,000. However, if that same player's picture appeared in the game, they would receive an additional $10,000. That player will essentially walk away with $30,000.

Keep in mind that these players still have to prove that they have a valid claim. Once that has been established the settlement about per player will be determined by the following factors:

  • The number of players who makes valid claims.
  • Whether a player was on a football or basketball roster.
  • Whether a player was also depicted as an avatar.
  • Whether a player's photograph also appeared in-game.
  • The number of years the player appeared on a roster in-game and/or had their picture appear used in the game.

The attorneys for the plaintiffs are seeking legal fees not to exceed $19 million as well as expenses not to exceed $3 million. Named plaintiffs will also receive an additional $5000 as an incentive payment. The settlement dictates that if after so much time all of the valid claims haven't been paid, the plaintiffs' lawyers will work with the schools in an attempt to find potential claimants.