NCAA Scholarship Restrictions Under Investigation for Antitrust Violations

Multiple class actions have been filed against the National Collegiate Athletic Association (NCAA) regarding its scholarship restrictions, with plaintiffs' law firm Silver Golub & Teitell LLP (SGT) investigating whether these restrictions violate federal antitrust law. The NCAA limits Division 1 athletic scholarships to 85 players per team and restricts the value of each scholarship to the "Cost of Attendance," preventing schools from compensating players beyond this amount. These restrictions are enforced by member schools and have significant consequences for potential student-athletes, including being forced to attend schools they wouldn't otherwise choose, accept non-scholarship "walk-on" roles, or accept "blue-shirt" roles to comply with NCAA scholarship offer restrictions.

Key Takeaways:

  • SGT is investigating whether the NCAA's scholarship restrictions, including the limit of 85 players per team and the restriction on scholarship value, violate federal antitrust law.
  • The NCAA's limitations on athletic scholarships are enforced by member schools, including "Power 5" conference football teams, "Group of 5" conference football teams, and other NCAA Division 1 (FBS) Football conferences and teams.
  • The NCAA's restrictions on scholarship value bar schools from compensating players beyond the "Cost of Attendance," forcing players to accept alternative roles, such as "walk-on" or "blue-shirt" roles.
  • SGT believes these restrictions constitute illegal restraints of trade in violation of federal antitrust law.
  • Potential student-athletes who believe they were impacted by the NCAA's scholarship limits can contact SGT through their website, email, or phone number.
  • Attorney advertising: Prior results do not guarantee future outcomes.

Statistics:

  • The NCAA limits each Division 1 Football team to granting a total of 85 scholarships to players each year.
  • The NCAA limits the value of each Division 1 athletic scholarship to the "Cost of Attendance."
  • The NCAA prevents schools from compensating players beyond the "Cost of Attendance" amount.

Sources:

  • Silver Golub & Teitell LLP
  • SOURCE: /PRNewswire/