A former college baseball player is suing the NCAA and its power conferences, accusing the leagues of wage-fixing through scholarship limits.
As reported by The Associated Press, the federal antitrust case was filed in Colorado last week by former Texas Christian University baseball player Riley Cornelio and seeks class-action status for college baseball and hockey players.
A former college baseball player is suing the NCAA and its power conferences, accusing the leagues of wage-fixing through scholarship limits.
As reported by The Associated Press, the federal antitrust case was filed in Colorado last week by former Texas Christian University baseball player Riley Cornelio and seeks class-action status for college baseball and hockey players.
“Defendant and its members operate as a cartel, and the capping of scholarship money at artificially low levels in these sports results in wage fixing amongst horizontal competitors in a market for services,” the complaint says, according to the AP report. “The anticompetitive effects are as clear as with any other wage fix, and it is an unlawful restraint under Section 1 of the Sherman Act.”
The NCAA, Atlantic Coast Conference, Big Ten, Big 12, Pac-12 and Southeastern Conference have an agreement in place to settle three antitrust lawsuits that challenged compensation rules. That settlement will distribute $2.78 billion in damages among former and current college athletes.
While still needing approval by a judge, the settlement also includes a plan to allow schools to implement a revenue-sharing system with athletes and increase the number of scholarship schools would be permitted — though not required — to hand out in most Division I sports, per the AP. Scholarship limits would be replaced by roster caps.
