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The leaders of college sports are involved in “deep discussions” to reach a legal settlement that would likely lay out the framework for sharing revenue with athletes in a future NCAA business model, sources told ESPN.

The NCAA and its power conferences are defendants in an antitrust class action lawsuit, House v. NCAA, which argues that the association is breaking federal law by placing any restrictions on how athletes make money from selling the rights to their name, image or likeness. The case is scheduled to go to court in January 2025. If the plaintiffs win at trial, the NCAA and its schools could be liable to pay more than $4 billion in damages, which has motivated many leaders across the industry to seek a settlement.

Sources indicated that a turning point in the discussions, which have been ongoing, came last week in the Dallas area, where the power conference commissioners, their general counsels, NCAA president Charlie Baker, NCAA lawyers and the plaintiffs’ attorneys met. (They chose the Dallas area because they were already there for the College Football Playoff meetings, which were held in that area last week.)

While sources stressed that no deal is imminent, details about what a multibillion-dollar settlement could look like are expected to be shared with campuses in the near future. There are myriad variables to get to the finish line and still some obstacles and objections at the campus level, but sources indicate that progress has ramped up in recent weeks.

A settlement would provide some legal relief for a college sports industry that’s been peppered by lawsuits. It could also serve as a keystone piece to formulating a more stable future. With the settlement expected to cost billions in back pay for former athletes, it would likely also require the NCAA and conferences to agree to a system for sharing more revenue with some of the players moving forward.

Sources indicated the top-end revenue share number per school — once it’s determined — would be in the neighborhood of $20 million annually, although that’s yet to be settled. Whatever number is set by the settlement, individual schools will be able to opt in to share revenue up to that number with their student athletes at their discretion. (They could choose to share less, but not more.)

Texas A&M athletic director Trev Alberts, for example, recently told the Bryan-College Station Eagle that schools could be adding $15 million to $20 million to their budgets annually for what he termed a “new expense category” in college athletics.

What’s uncertain, for now, are the mechanics of how this could work. Do the schools buy the NIL of their athletes? How would Title IX be impacted?

The House case is one of four active antitrust lawsuits, all of which serve as a threat to some part of the NCAA’s remaining caps on how athletes are paid. In three of those cases, including the House case, athletes are represented by veteran sports labor attorney Jeffrey Kessler.

Kessler did not respond to a request for comment Monday. His co-counsel, Steve Berman, told ESPN on Monday: “Judge Wilken has told us that she expected us to be discussing settlement given the lengthy litigation over the issues and the parties’ familiarities with the strengths and weaknesses on each side. We are simply following the judge’s instructions and have nothing to report other than that.”

In an interview with ESPN earlier this month, Kessler declined to comment on any possible negotiations but said he felt a settlement was the quickest route toward transforming college sports.

“I can’t guarantee this, but I think [the defendants’] lawyers have told them they’re in all likelihood going to lose,” Kessler said. “If they lose, the damages are going to be gigantic. Further, they’ve been told that it’s much better for them to be active participants in settling and deciding their future lives and fate than it is to let the court impose it on them.”

The House case includes two separate classes of plaintiffs. The damages class is composed of former college athletes from the past several years who argue the NCAA owes them back pay for the money they could have earned if they had been allowed to sign NIL deals prior to 2021. The injunctive class includes current college athletes, who argue that any of the existing restrictions on what types of NIL deals athletes can sign are also illegal.

In court testimony, economic experts hired by the plaintiffs argued that the damages class missed out on more than $1 billion in NIL opportunities in the years leading up to 2021. In antitrust cases, the court makes the defendant pay triple the amount of actual damages as punishment if it has violated the law — hence the estimated $4 billion price tag of a legal loss.

“If we settle for the injunction class, it will involve an agreement of what the future will look like,” Kessler said. “If we settle for the damages class, that’s basically money for the past.”

Another pending antitrust lawsuit, Carter v. NCAA, which was also filed by Kessler, argues that the NCAA should not be able to keep schools from paying players directly for their performance. While the cases do not need to be settled together, it’s likely that both sides would want to reach an agreement that is substantial enough to keep them from ending up back in court for the Carter case in the near future. Sources indicated to ESPN that schools would likely want protection from future litigation as part of a settlement in the House case.

In professional sports, revenue sharing deals are typically reached through a collective bargaining agreement. While that might also be the route for college sports if schools decide to share more with players, there is some precedent for working out the details of labor agreements within the settlement of a lawsuit. The NFL, for example, settled a case with Reggie White in 1993 that established the rules for free agency and salary caps for the league. One of the lawyers who represented White in that case was Kessler.

Along with the threat of antitrust lawsuits, the National Labor Relations Board is also reviewing a pair of cases that aim to classify college athletes as employees and allow them to unionize.

NCAA leaders have remained firmly opposed to athletes becoming employees. However, Baker — who took over as the association’s president last March — said he wants to find ways for some schools to provide more to their athletes. He proposed in December creating a new subdivision of the wealthiest teams that would be required to pay at least half their athletes a minimum of $30,000 per year.

“If you look at what Baker has been out there doing, he seems to be very aware,” Kessler told ESPN earlier this month. “Some of his proposals he’s made in December — I’m not say it’s what we’d settle for — but it’s certainly moving in the direction of proposing to give much more compensation to the athletes. That’s what we’re advocating.”

The NCAA has also attempted for the past several years to convince Congress to create new rules to help govern college sports. Among the items it would like to see in a federal law is a clause that specifies that college athletes aren’t employees. Congress has thus far made no demonstrable progress on a bill, but a significant settlement that shows a commitment to future revenue sharing in the House case could convince some lawmakers to provide help to the NCAA.

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Knight’s Choice salutes in Melbourne Cup boilover

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Knight's Choice salutes in Melbourne Cup boilover

Knight’s Choice has won the 2024 Melbourne Cup, defeating Warp Speed and Okita Soushi in a thrilling finish at Flemington on Tuesday afternoon.

The massive outsider saluted for Irish-born jockey Robbie Dolan, who claimed victory in what was his first ever ride in the “race that stops a nation”.

In what was a gripping 164th staging of Australia’s most-watched thoroughbred race, Knight’s Choice proved too strong in a sprint to the finish, pulling over the top of Okita Soushi and holding off Warp Speed by the barest of margins.

Trained by John Symons and Sheila Laxon on the Sunshine Coast, Knight’s Choice was well down the betting across all markets. It was Laxon’s second Melbourne Cup triumph after she trained Ethereal to victory 23 years ago.

“This is the pinnacle of all pinnacles, this is the Melbourne Cup,” Symons said.

Zardozi rounded out the first four.

As the field approached the final few hundred metres it appeared as though Jamie Kah, aboard Okita Soushi, would become just the second woman to ride the winner in the Melbourne Cup. But Okita Soushi was swallowed up as the winning post neared, with Knight’s Choice beating Warp Speed to the line after a peach of a ride from Dolan.

“We’ll be singing tonight after a few beers,” Dolan, who was a contestant on the 2022 edition of “The Voice”, told Channel 9.

“It is amazing and a lot of people doubted this little horse. Doubt me now.”

Laxon was more than happy with the ride, with Dolan threading his way through the field from near last on the bend.

“He started the race, and he knew how to ride him. We didn’t give him instructions, he knew what to do,” she said.

“I love it being down for the Australians. The Australian horse has done it, and Robbie is Australian now as well, so I’m thrilled to win the Cup, and it is the people’s Cup, and that’s what it is all about.”

Knight’s Choice is just the sixth Australian-bred horse to win since 1993, and the first since Vow and Declare back in 2019.

The five-year-old gelding carried only 51kg to victory and was making its first start over the 3200m trip. It had most recently come off a fifth-placed finish in the Bendigo Cup, but had showed sparing little form this preparation otherwise.

“I watched every Melbourne Cup for the last 40 years. I thought my best chance was to get him to stay the trip and, hopefully, he can run home and do the quick sectionals he can on a good track and he proved everybody wrong,” Dolan said.

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Braves pick up Ozuna’s option, decline D’Arnaud’s

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Braves pick up Ozuna's option, decline D'Arnaud's

The Atlanta Braves exercised designated hitter Marcell Ozuna‘s $16 million option for the 2025 season Monday but declined to pick up catcher Travis D’Arnaud‘s $8 million option, making him a free agent.

The Braves also declined their $7 million team option on right-hander Luke Jackson.

Ozuna, who turns 34 next week, was named a Silver Slugger finalist Monday after batting .302 with 39 home runs and 104 RBIs, while not missing a game this season.

A three-time All-Star, Ozuna is a career .272 hitter with 275 homers, 880 RBIs and 1,514 hits in 1,469 games with the Miami Marlins (2013-17), St. Louis Cardinals (2018-19) and Braves.

D’Arnaud, 35, batted .251 and slugged 60 home runs in his five years with the Braves. He earned his only All-Star nod with the Braves in 2022.

Jackson, 33, went 4-3 with a 5.09 ERA in 52 relief appearances this past season, 16 of those with the Braves after they acquired him from the San Francisco Giants at the trade deadline in the swap that also brought Jorge Soler to Atlanta. The Braves traded Soler to the Los Angeles Angels last week.

Ozuna’s option had a $1 million buyout; D’Arnaud’s had none. Jackson had a $2 million buyout.

The Braves also announced they reinstated OF Ronald Acuna Jr., LHP Ray Kerr, LHP Angel Perdomo, RHP Spencer Strider and RHP Huascar Ynoa from the 60-day injured list.

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Peralta picks up option with Padres, Kim declines

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Peralta picks up option with Padres, Kim declines

SAN ANTONIO — Left-hander Wandy Peralta exercised his $4.25 million option to remain with the San Diego Padres on Monday.

Gold Glove infielder Ha-Seong Kim declined his $8 million mutual option to become a free agent and will receive a $2 million buyout.

Peralta was guaranteed $16.5 million under what could be a four-year deal. He had a $3.35 million salary this year, and the deal includes player options for $4.45 million in both 2026 and 2027.

The 33-year-old had a 3.99 ERA in 46 relief appearances this year. He was sidelined between July 9 and Sept. 4 by a left adductor strain.

Kim tore the labrum in his right shoulder on Aug. 18 and needed season-ending surgery. He hit .233 with 11 homers and 22 stolen bases in the final season of a $28 million, four-year contract.

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