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Penn State Decision // Related Legal Material

March 22, 2013

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NCAA asks federal court to dismiss Corman lawsuit

The NCAA today asked a court in Pennsylvania to dismiss a lawsuit brought by State Senator Jake Corman that seeks to prevent any money Penn State pays towards its obligations under the Consent Decree from going to child abuse victims outside of Pennsylvania.  Senator Corman relies in part on the newly enacted Pennsylvania Institution of Higher Education Monetary Penalty Endowment Act (the “Endowment Act”) to support his lawsuit, but the NCAA has challenged this new law as unconstitutional and unenforceable in a separate federal lawsuit.  Pennsylvania law cannot control how an organization like a private endowment can donate its money.  Further, Senator Corman does not have the legal authority to try to enforce laws, and his lawsuit cannot go forward without the involvement of Penn State. 

“We believe Senator Corman’s lawsuit has no merit, and that he is not empowered by law to even bring the case,” said Donald Remy, NCAA chief legal officer.  “The NCAA’s pending federal court action involves the proper Pennsylvania government officials and will determine whether the Endowment Act is constitutional and imposes any obligations on the NCAA.  Senator Corman sought to avoid federal court review of the Endowment Act by getting into state court the morning the Governor signed the Endowment Act, but we do not believe this gambit will be successful.”

The NCAA’s motion to dismiss can be found by clicking here.

March 14, 2013

NCAA continues to defend sanctions against Penn State

The NCAA took another step today (March 14) to defend its sanctions against The Pennsylvania State University.  Pennsylvania Governor Corbett filed a lawsuit in January seeking to invalidate some or all of the sanctions against Penn State on the basis of the antitrust laws.  As the NCAA’s initial brief made clear, the courts have already stated that antitrust laws do not apply when the NCAA is acting in a non-commercial capacity to regulate competition and enforce its own rules. 

Nonetheless, Governor Corbett filed a response largely premised on the allegation that the Penn State sanctions were the product of a conspiracy intended to benefit Penn State’s competitors on the football field.  

Donald Remy, NCAA Executive Vice President and Chief Legal Officer, provided the following statement: "As today’s filing in federal court makes clear, the allegation that somehow the NCAA Executive Committee conspired against Penn State is baseless and absurd, and Governor Corbett’s lawsuit should be dismissed."

 

March 11, 2013

Updates on Corman lawsuit

As has been widely reported, Penn State entered into a Consent Decree and agreed to pay a $60 million fine to the NCAA, which would be used to set up an endowment to prevent child sexual abuse. After a series of legal pleadings and enactment of a new state law, on February 26, Senator Corman renewed his request for a preliminary injunction, seeking an emergency order compelling the NCAA to redirect the fine to the State of Pennsylvania. Senator Corman’s new motion seeks to enforce the law Pennsylvania passed designed to change the terms of the Consent Decree. The NCAA, in a separate federal lawsuit, has challenged the law, arguing that it plainly violates the U.S. Constitution.

In its filing on March 8, the NCAA asked the state court to delay ruling on Senator Corman’s motion because: 1) the money has not yet been paid to the NCAA and will not be paid in the near future; 2) serious questions exist concerning whether Senator Corman even has a right to sue; and 3) the validity of the statue Senator Corman seeks to enforce is already being considered by a different court, where the proper representatives of the State are involved. On March 11, the Court directed Senator Corman to respond to the NCAA by Monday, March 18, 2013, signaling that there is no rush to evaluate the request for a preliminary injunction.

 

Feb. 20, 2013

NCAA asks federal court to strike Pennsylvania law

The NCAA today filed a lawsuit in federal court seeking to halt an attempt by state politicians to invalidate portions of the Consent Decree between Penn State and the NCAA. Specifically, the state lawmakers approved legislation that restricts funds intended to benefit victims of child sexual abuse nationwide. Our lawsuit asks the federal court to strike down the newly enacted Pennsylvania law that would require the $60 million fine, agreed to by Penn State, to be paid to the state instead. Read more.

 

Feb. 7, 2013

NCAA moves to dismiss Pennsylvania lawsuits

The NCAA today asked courts in Pennsylvania to dismiss two lawsuits that are seeking to invalidate some or all of the sanctions against Penn State University. Pennsylvania politicians filed both suits, and our filings today demonstrate that neither Governor Corbett nor State Senator Corman have authority to interfere with the agreement between Penn State and the NCAA.  Read more.