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Former Michigan Football Stars File $50 Million Antitrust Lawsuit Against NCAA

By  |  September 11, 2024

A group of former University of Michigan football players has filed a $50 million antitrust lawsuit against the National Collegiate Athletic Association (NCAA), demanding compensation for the commercial use of their names, images, and likenesses (NIL). According to Reuters, the players argue that the NCAA’s practices have violated antitrust laws by profiting from their NIL without compensating them.

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    The lawsuit, filed in federal court in Michigan on Tuesday, is led by former Michigan star athletes Denard Robinson, Braylon Edwards, Michael Martin and Shawn Crable. These players claim that the NCAA unfairly capitalized on their likenesses in advertisements and other commercial ventures, without sharing the profits. The case, which represents a proposed class action, seeks damages for players whose college careers predate 2016—when NIL rules were not as lenient.

    “Michigan football is arguably the most iconic or most recognizable brand in college sports,” said James Acho, the lawyer representing the players, in an interview. “To deny players the right to use their name to make money is not only wrong but unlawful. The NCAA will have to pay for that.”

    While the NCAA has declined to comment on the lawsuit, it is noteworthy that the University of Michigan itself is not a defendant in the case. Per Reuters, the Michigan players’ lawsuit joins a growing number of legal challenges brought by former athletes who seek compensation for their playing days prior to the 2016 NIL rule change, which now allows current student-athletes to profit from their names, images, and likenesses.

    Related: Judge to Weigh Landmark NCAA Settlement Proposal in Antitrust Lawsuit

    For years, the NCAA maintained strict control over athletes’ NIL, preventing them from monetizing their personal brands. However, in recent years, the organization has relaxed its regulations, following mounting legal and public pressure. In a proposed settlement in California federal court, the NCAA has agreed to pay nearly $2.8 billion to student-athletes who competed after 2016, and to establish a system that enables schools to compensate athletes moving forward. However, this settlement has faced legal challenges from various students and institutions, including South Dakota State University, according to Reuters.

    The Michigan lawsuit is significant because it seeks compensation for a different group—players from before the NIL rule change. Acho estimated that the class size of the lawsuit could involve hundreds or even thousands of former athletes. The plaintiffs have also asked the court to prevent the NCAA from dismissing the lawsuit on the grounds that too much time has passed since the players’ college careers.

    In the lawsuit, the former players claim the NCAA’s actions represent “repeated” and “continuing” violations of U.S. antitrust laws, a legal argument that could set a new precedent for how former athletes are compensated for their NIL. This case could further test the NCAA’s legal footing in the face of mounting challenges to its historic control over athletes’ economic rights.

    The case is titled Denard Robinson et al v. National Collegiate Athletic Association et al, filed in the U.S. District Court for the Eastern District of Michigan, case number 2:24-cv-12355-TGB-DRG.

    Source: Reuters