Development in the O'Bannon Case, named after a former UCLA basketball player:
A three-judge panel of the U.S. Court of Appeals for the Ninth Circuit on Wednesday upheld the main thrust of a judge’s landmark decision last year declaring that NCAA rules violate federal antitrust law by restricting players’ ability to trade on their images. The decision
also struck down part of last year’s ruling, by Judge Claudia Wilken
of the U.S. District Court in Oakland, Calif., which would have allowed
football and men’s basketball players to be paid deferred compensation
of up to $5,000 per year.
Stating that the NCAA “is not above the antitrust laws” and that its
rules “have been more restrictive than necessary to maintain its
tradition of amateurism in support of the college sports market,” the
decision marks another victory for athletes lobbying for greater
compensation.
But it also states that allowing colleges to pay players the cost of
attendance in the form of scholarships is enough of a remedy. The panel
called the portion of Judge Wilken’s ruling about paying players $5,000
per year “erroneous,” questioning the district court’s judgment that the
payment would “be as effective in preserving amateurism as the NCAA’s
current policy.” ...
Full story at http://chronicle.com/blogs/ticker/in-obannon-case-appeals-court-agrees-that-ncaa-rules-violate-antitrust-laws/105301
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